Olive grove in the south of Albania, Saranda |
The largest exporters of olive oil last year were Spain, Italy, Portugal, and Greece. These countries together contributed to 89% of the world sales volume. On the other hand, Albania is the leading producer in Western Balkans, and its production accounts for 0.6-1% of the European Union's olive oil production.
With these indicators, an analysis of recent years shows that orchards for farmers have an average size of 0.3 hectares, several times smaller than Greece, where the average area reaches 1.6 hectares. This fragmentation of land does not help the export scheme, and it is suggested that producers unite their orchards and establish refining points.
"I think the government should intervene by creating associations and cooperatives to act as intermediaries in the olive oil trade. Today, we often see in the villages of Myzeqe and Vlora Italian traders who come and buy oil with cash, with plastic jerry cans in the informal market. For us, being a weak economy, it may seem interesting because we sell the oil immediately, but in the long run, it is detrimental to farmers and olive oil producers," says Marin Suli, an olive oil producer.
But the market does not always go smoothly, as what stood out in 2022 was trading at a low price, divided into two phases. Initially, olive oil was sold for 350-400 lekë per liter until March 2023, and later from April to August, it was sold for 550 lekë per liter.
With this price, it seems that Italians and Greeks emerged as winners, making quick purchases and selling it as their own product.