Introduction to the Olive Oil Market:
Olive oil, as the name suggests, is an oil extracted from olives which is a traditional tree crop of the Mediterranean basin. The constitution and value of Olive Oil diverges with altitude, time of harvest and the process used during its extraction. Olive Oil primarily contains oleic acid, with a smaller amount of fatty acids, together with linoleic acid and palmitic acid. Due to its properties, Olive Oil has a wide range of application in food, beverages and cosmetics industries, it’s also known to have therapeutic properties.
Olive Oil Market can be segmented into its types, applications and source.
- Source: We can differentiate two categories, organic and conventional sources. Among these, the organic segment is known to have the higher volume share due to the high demand and health benefits customers and professionals associate with organic products.
- Types: Pure olive oil, virgin olive oil and extra virgin olive oil, this last segment can further be subdivided into extra virgin olive oil, organic extra virgin olive oil. Among these types, the Extra Virgin Olive Oil is undoubtedly the one with the higher value sales due to the rise of demand among the targeted customers.
- Application: On this basis, Olive Oil Market can be segmented into food, beverage and pharmaceutical industry. It has a larger utility in food industry, and so its application in this industry is being anticipated to have higher value share compared to the other applications.
The drivers and restraints of the Olive Oil Market:
Due to its nutritional value and its taste, olive oil demand has known a steady rise of demand among the consumers. The health benefits linked with the use of olive oil is the one of the reasons for the increase demand in the its market, experts expect it to further go up in the upcoming years.
Olive oil is an anti-oxidant agent, it is being used in anti-aging creams as well, it helps in keeping hair roots healthy and it is being used as a Pre-shampoo treatment. Olive oil is widely used in the treatment of many chronic diseases, it helps in the treatment of Coronary heart disease, hypertension and more than a few types of Cancers for instance: Breast Cancer and Colon Cancer. The product’s antimicrobial properties helps in the treatment of many infections.
Extra Virgin olive oil has gained major popularity due to its chemical free processing techniques, its organic origins, coupled with increased nutritional content. Additionally, the growing usage of olive oil in culinary domains is likely to rise its market demand. However, limited production of olives in some geographic areas joined with oscillation in olive oil prices have stalled the market growth but the ever-growing increase in demand for olive oil for cooking is projected to create profitable openings to the global olive oil market.