Uruguay’s agricultural ministry and some independent agronomists expect another bumper olive harvest this year due to improved agronomic techniques and more groves entering maturity, Olive Oil Times reported.
The officials expect production to continue to rise in the medium term, according to the 15 February report, barring unseasonal frosts which impacted previous harvests.
Basing its preliminary estimates on the state of flowering and fruit set in the groves, the ministry said in a recent report that it expected the 2023 harvest to exceed last year’s near-record yield.
According to data from the International Olive Council, South America’s smallest olive oil-producing country yielded 2,000 tonnes in the 2021/22 crop year, slightly below the previous year’s record total of 2,500 tonnes.
“The state of the olive groves in Uruguay has improved with the rainfall received,” Sergio Gómez, the Uruguayan director of Onoser, who advises many of the country’s largest producers, was quoted as saying.
As a result of production finally starting to exceed consumption in the country consistently – which has remained steady at about 1,500-2,000 tonnes/year – the ministry said that locally-produced olive oil had started replacing imports in restaurants and on supermarket shelves.
Despite this changing trend, Uruguay still imports 60% of the olive oil consumed domestically, mainly from Argentina, Chile, Italy and Spain, according to the report.
However, the higher-end portion of the market had become increasingly dominated by Uruguayan brands, the report said.
The rise in Uruguayan olive oil surpluses had also led more producers to shift their focus to exports. According to ministry data, Uruguay exported nearly 300 tonnes of extra virgin olive oil – valued at more than US$1.2M – to five countries last year.
The largest recipient by value was Brazil, which imported 84 tonnes of olive oil valued at US$455,000. Most producers expected Uruguay’s northern neighbour to remain the most significant market due to the country’s modest production and higher demand.
By volume, Uruguay exported more olive oil to Spain – 134 tonnes valued at US$428,000 – than any other country. Other recipients included neighbouring Argentina, Paraguay and the USA.
According to the ministry, the boost in exports and local sales helped producers mitigate the impacts of inflation, which led to significant increases in energy and fertiliser prices.
