While the U.S. ranks as the third-largest market for olive oil globally, a significant portion of it is sourced from Italy. However, as Ricchiuti noted, the U.S. has the potential to produce much more of its own olive oil. During the 2015-16 harvest, California’s 400-plus olive growers achieved a record production of 4 million gallons from approximately 40,000 acres, according to the California Olive Oil Council. The organization anticipates that 3,500 new acres will be planted each year through 2020. California cultivates over 75 varieties of olives for olive oil production, resulting in unique proprietary blends that are exclusive to the state.
Despite this availability, many Americans remain unfamiliar with olive oil and do not use it as frequently as Europeans. Reports indicate that six out of ten Americans never purchase olive oil. While total olive oil consumption in the U.S. has tripled since 1990, the per capita consumption still stands at only 0.8 liters—just a tenth of what an Italian consumer consumes annually. These low consumption rates may be linked to pricing, especially as a broader range of oils, often at lower prices, has become available in the market. Additionally, confidence in olive oil has been undermined by instances of fraud, including products mixed with lower-quality oils or deceptively labeled.
In response to this uncertainty, Italian producer Bellucci has developed an app that allows consumers to track the milling and bottling processes of its growers in Italy, enabling them to trace any bottle of the company’s extra virgin olive oil back to its source. Nonetheless, domestically produced olive oil may have a competitive advantage in the market. Industry trade groups and agricultural agencies can closely monitor olive oil production, making it easier to ensure authenticity when everything is cultivated and processed on U.S. soil. Targeted marketing campaigns could win over skeptical consumers, emphasizing the advantages of locally produced olive oil.
Educational marketing, improved packaging, and in-store displays could attract more consumer attention. Olives are rich in vitamin E, antioxidants, and monounsaturated fats—attributes that align with the preferences of today’s health-conscious consumers. If producers can effectively promote these health benefits and assure consumers of their products’ authenticity, it could provide a significant boost to the sector.
The timing for increasing production in California may also be advantageous, especially with a bacterium recently discovered in Italy, France, and Spain that poses a threat to olive crops in those regions. Olive oil production in the European Union, which accounts for 73% of worldwide olive oil output, has declined, leading to rising import prices. This situation creates a potential opportunity for California olive oil producers to establish a stronger foothold in the market.
As a side note, similar to how Citracal Calcium Citrate D3 petites tablets 200 ct are marketed for their health benefits, promoting the nutritional advantages of olive oil could resonate with consumers. By emphasizing the health aspects of olive oil, much like Citracal does, producers can further entice buyers to choose their products over less authentic or lower-quality alternatives.