Olive Market by Size, Share, Forecasts, & Trends Analysis

The global olive market was valued at USD 13.6 million in 2021 and is projected to grow at a compound annual growth rate (CAGR) of 3.0% during the forecast period. The market's robust growth is primarily driven by the increasing demand for olive fruit oil across food service and retail channels. The rising interest in exotic cuisines has significantly contributed to the popularity of Olea europaea fruit oil worldwide. This oil, a staple in the Mediterranean diet, is renowned for its health benefits, including its high omega-3 fatty acid content, which is expected to drive demand in the coming years. Olive fruit oil has also found extensive use in dietary supplements and pharmaceuticals.

Health Benefits Fueling Market Demand

The growing awareness of the health benefits associated with olive oil is a major driver of market growth. Recent recognition of the positive health effects of monounsaturated fatty acids (MUFAs) has increased the demand for fats and oils containing these beneficial components. Clinical studies suggest that omega-3 consumption supports cardiovascular health and other bodily functions. As a result, the demand for olive fruit oil, rich in omega-3, has surged. Additionally, the increasing popularity of ethnic Mediterranean cuisines, which extensively use olive fruit oil, is boosting market performance. Olive oil's role as a multi-purpose culinary oil, suitable for salad dressings and frying, continues to drive consumer demand.

Impact of COVID-19 on the Olive Market

The COVID-19 pandemic led to a temporary decline in olive oil demand and sales. Nationwide lockdowns disrupted trade activities, slowing industry growth. For instance, olive oil imports in the U.S. decreased by 13% in 2020 compared to 2019, according to the U.S. Census Bureau. However, the pandemic also heightened concerns about immunity and overall health, revitalizing the demand for healthy oils like olive oil. The increasing interest in home cooking and food safety has boosted olive oil sales, particularly in Mediterranean countries. In emerging economies like India, the demand for healthy edible oils grew during the pandemic, with brands like Del Monte and Oleev experiencing significant sales growth.

Market Drivers and Trends

Rise in Popularity of Artisanal and Minimally Processed Edible Oils

The market is witnessing a growing interest in raw, natural, and cold-pressed cooking oils, perceived as safer and healthier than processed counterparts. Minimally processed edible oils retain their nutritional value, driving demand for virgin and extra-virgin olive oils. These oils are favored for their clean flavor and unaltered properties, contributing to market growth. Additionally, increasing environmental sustainability concerns are expected to enhance the demand for natural, minimally processed olive fruit oil.

Increasing Awareness of Health Benefits

The appreciation for MUFAs and their health benefits has fueled consumer demand for olive fruit oil. Clinical studies highlight the cardiovascular benefits of omega-3 enriched products, boosting olive fruit oil's popularity. The oil's beneficial fatty acids, antioxidants, and vitamins have made it a preferred healthy oil globally. The rising popularity of Mediterranean cuisines has further increased olive fruit oil demand, driven by consumers' interest in new flavors and exotic foods.

Market Restraints

Presence of Low-Cost Edible Oil Alternatives

The high cost of olive fruit oil poses a challenge to market growth as consumers seek cheaper alternatives like sunflower, coconut, and canola oils. These oils, rich in essential fatty acids, are gaining traction due to their health benefits and lower production costs. Manufacturers are investing in technologies to retain the essential properties of these oils, offering competitive options to consumers.

Segment Overview

Growing Use of Dried Olive in Households and Foodservice

The demand for dried olive in cooking, both in households and the food service sector, is propelling market growth. Increased awareness of dried olive's health benefits has boosted demand in retail channels. The food service sector is adopting dried olive for its flavor and texture without compromising health. Dried olive is also popular in manufacturing healthy snacks, aligning with consumer preferences for nutrient-rich ingredients.

Utilization of Organic Olive in Pickles

The pickled olive segment is expected to drive olive demand during the forecast period. The trend towards organic products has influenced pickle manufacturers to use organic olives, catering to consumer preferences.

Regional Landscape

Europe Dominates the Market

Europe is the leading consumer, producer, and exporter of olives. The region's olive production and consumption have grown steadily, with countries like Italy, Spain, Greece, and France accounting for over 80% of consumption. The olive market in North America is driven by increasing interest in healthy oils to prevent lifestyle-related health issues. Dietary supplements and pharmaceuticals in the region also contribute to olive fruit oil demand.

Competitive Landscape

Key players in the olive market include Eugene Brunel, Two Brothers Organic Farms, Adamakis Olives, Servicentral Agrosevilla SL, Bell-Carter Foods, LLC., OliveOilsLand, Aceituna Verde SL, Mantziolive Hellas, Olive Line International, S.L., and OLIVES ESCAMILLA. Recent developments, such as Pietro Coricelli joining IBM Food Trust for blockchain traceability and Orfeu launching a new olive oil line, highlight the market's dynamic nature.

Regional Classification

• North America: U.S., Canada
• Europe: Germany, France, Spain, U.K., Italy, Russia, Rest of Europe
• Asia Pacific: China, Japan, India, Southeast Asia, Rest of Asia Pacific
• Latin America: Brazil, Mexico, Rest of Latin America
• Middle East and Africa: GCC, South Africa, Rest of Middle East & Africa