Australian olive oil production is up, around 22 million litres this year compared to just 15 million litres in 2014, but exports overall were down by close to 9%, on 30 June 2015, according to Lisa Rowntree, CEO of the Australian Olive Association. “Export prices are better at the moment, so a lot of growers have found it more profitable to export their olive oil than sell domestically," she said.
The tide is already turning for olive oil exporters though, with the AUD hovering around the US 70c mark, and the wealthier portion of Asian consumers eagerly seeking out high quality authentic Australian olive oil because of the health benefits. “I think the export figures will change next year because of our low Australian dollar, and a number of Asian countries and other markets have seen significant increases in exports.”
Ms Rowntree also believed that Free Trade Agreements with China, Japan and South Korea have had a positive impact on exports, but unfortunately olive oil was excluded from the FTA with China. "It appears that traditional markets that use a lot of oil have an existing market that they want to protect,” she said. “That was certainly China’s view. They produce a lot of vegetable oil that they don’t want anything to compete with.”
Smaller growers tend to have good niche overseas markets where they get better prices for their olive oil, according to Ms Rowntree. Malaysia, Singapore, South Korea and New Zealand were examples of markets that saw a sharp rise in exports, while traditional markets such as Italy and Spain remained static or declined. Malaysian exports went from 9 tonnes to 41 tonnes in 2015, Singapore from 7 to 32, and Canada saw a 363% increase, taking 109 tonnes of Australian olive oil up from 23 in 2014, making it the 7th largest importer overall.
New Zealand imported 587 tonnes, making it the fourth largest market for olive oil exports, and Papua New Guinea took 36 tonnes. Italy and Spain took the bulk of exports, even if less than previous years, at 1,423 and 1,036 tonnes respectively. China came in at number 3, with 639 tonnes and the USA was number five taking 263 tonnes.
For more information
Lisa Rowntree, CEO
Australian Olive Association
Phone: +61885736545
e-mail: ceo@australianolives.com.au
Website: www.australianolives.com.au