Part
01
of one
Part
01
What is the market size of the US olive oil industry?
Hello! Thank you for your question regarding the market size of the olive oil industry in the USA both for consumption and production. In short, the USA produced about 14,000 MT of olive oil in the 2015-16 season and consumed about 316,000 MT of olive oil in 2016. Of the $2 billion olive oil market in the USA, $73 million is generated from local production. Below you will find an explanation of the methodology and findings in detail.
METHODOLOGY
In order to answer this request, we looked at multiple reports from trusted sources such as Bloomberg, AGMRC, CFDA, Statista and other sites to find information about the olive oil production and consumption in the USA. We were able to get the dollar as well as the tons metrics for the consumption and production.
FINDINGS
About $2 billion in sales for olive oil was generated by the USA, making it the world's 3rd largest market as of 2016. Of the $2 billion revenue, $73 million was contributed from domestic production. According to Statista, the USA consumed about 316,000 metric tons (MT) of olive oil in the year 2016. This is a decrease of about 23,000 MT when compared to 2015.
While the production overseas has been seeing a steady decline, the USA has a bigger opportunity to make its mark in the olive oil production industry dominated by Spain, Italy and Greece. This would mainly be because of the growing demand for the product in the USA combined with the decline in production in Europe because of weather-induced problems.
For the 2015-16 season, the estimated olive oil production for the USA by the International Olive Oil Council was about 14,000 MT which according to this report is on track for the season. It is to be noted that, in the USA, California is the only recognized state for commercially growing olives. It produced about 13,300 MT of olive oil till December 12, 2016. Within California state and thus the USA, California Olive Ranch accounts for about 65% of the total production. It had a revenue of about $82 million in 2015. Projections are that its revenues will triple by 2019.
The USA also sees massive olive oil imports from across the world. In 2016, about 331,368 MT of olive oil was imported into the USA whereas, in 2015, the imports were about 313,000 MT valued at $1.2 billion. About 45% of the oil imports are from Spain, followed by 43% from Italy.
The exports of the olive oil produced in the USA stood at 7,141 MT in 2015 which is estimated to be of $23.8 million value. The exports majorly were to Canada, Mexico and Taiwan.
Only 6% of the extra-virgin olive oil consumed within the USA is supplied from local production. However, this is an increase of about 5 percentage points when compared to 2006-7.
CONCLUSION
1. The USA produced about 14,000 MT of olive oil in the 2015-16 season and consumed about 316,000 MT of olive oil in 2016.
2. Of the $2 billion olive oil market in the USA, $73 million is generated from local production.
3. California Olive Ranch accounts for about 65% of the total olive oil production in the USA.
Hope you find this information useful. Thank you for using
Wonder! If you have any more questions, please let us know.