Olive oil price may rise, some say too early to tell

olive oil
(File photo: Ameer Khalifeh/Jordan News)
AMMAN — This year, the olive yield is expected to be 20–30 percent higher than last year, said Olive Oil Producer and Mill Owner Syndicate spokesman Mahmoud Al-Omari, citing result of studies conducted by the Ministry of Agriculture.اضافة اعلان

Yet, despite the bounteous crop expected, Omari said the price of olive oil is going to go up.

Farmers face a range of challenges, he said, “from the high costs of production to the high prices of fuel and energy, all of which will be reflected in the price of a gallon of olive oil”.

Ismail Al-Batayneh, a farmer from Irbid, told Jordan News that “climate change had affected farmers negatively.” forcing them to buy larger quantities of water to irrigate olive trees to avoid the “damage caused by drought”.

At the same time, he said, “the frost that affected Jordan in March damaged a large number of agricultural crops and caused significant financial losses to farmers” who will try to “compensate their losses by raising the price of olive oil”.

Since “farmers bear all the financial burden brought about by the high prices of oil derivatives, high cost of water for irrigation, and fertilizer prices, they will be compelled to sell their crops at a higher price,” Ismail said.

According to the director-general of the Jordan Farmers’ Union, Mahmoud Al-Oran, “the expected rise in the price of olive oil could be attributed to the region’s exposure to the March frost, which damaged much of the agricultural crops, which are expected to be lower than in previous years.”

He also said that “the amount of rainfall over the previous two years, 2020 and 2021, was lower than the average annual rate, and this had forced farmers to rely on supplementary irrigation, acquiring water tanks.”

Oran suggesting closing “border crossings to imports of oil from neighboring countries, and preventing smuggling, in order to preserve and support the distinctiveness of our national product.”

The head of the Jordan Valley Farmers Union, Adnan Khaddam, reiterated that “the climate change had an impact on agricultural crops” and that “the high cost of production poses a financial burden and forces farmers to raise the price of olive oil so that they can cover the costs and make a profit.”

He, however, believes that “it is early to talk about an increase on the prices of olive oil.”

Head of the Jordan Farmers Association Ibrahim Al-Sharif told Jordan News that the “production costs have increased and production has decreased, and this will affect the price of olive oil.”

The Ministry of Agriculture spokesman could not be reached for a comment.

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