Oil: Spain withdraws 12 per cent of its production from the market to prevent prices from plummeting
The 2026–2027 marketing year is forecast to yield 1.6 million tonnes, an increase of 23 per cent on the previous year
Spain has ordered olive oil producers to withdraw 12 per cent of their production from the market and store it until September 2027, to prevent a bumper harvest from driving prices down.
The measure, which could also have a positive impact on prices – which are currently falling – of the Italian product, will cover approximately 188,000 tonnes of oil, the Ministry of Agriculture stated in a press release.
The measure aims to regulate supply in order to improve and stabilise the functioning of the market and the sector, explained the ministry, which forecasts production of 1.6 million tonnes for the 2026–2027 marketing year – a 23 per cent increase on the previous year. Mild temperatures and heavy spring rainfall have contributed to what is set to be the fourth-largest harvest in the country’s history. The government will be able to amend the measure from 31 December onwards, depending on production trends.
