OLIVE OIL CRISIS: Prices Sink To A 10-Year Low Crushing Spain, Italy And Greece

olive oil

Photo: Flickr – if winter ends

Nothing seems to be going right for the debt-laden countries in southern Europe.According to the Financial Times Javier Blas, wholesale olive oil prices are at 10-year low:

“The market is in serious crisis,” said Pekka Pesonen, head of the Copa-Cogeca farming union in Brussels. “This crop is vital for the main producing countries in terms of maintaining employment in their rural areas.”

The price of premium-quality extra virgin olive oil in the wholesale market fell this month to $2,900 a tonne, the lowest since 2002 and down more than half from nearly $6,000 a tonne in 2005, according to the International Monetary Fund.

Olive oil is also suffering from a major supply glut and increased competition from cheaper vegetable oil alternatives.

SEE ALSO: Here’s How Greece Can Dominate The Lucrative Global Olive Oil, Feta Cheese And Greek Yogurt Business >

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