The Mediterranean has long been the heart of premium extra virgin olive oil (EVOO) production, and Southern Italy—home to ancient olive groves and a rich agricultural heritage—plays a pivotal role in this global industry.
However, 2024 has been a challenging year for olive oil producers, with extreme weather conditions causing significant disruptions to production.
At Lucaniae, we understand the impact of these challenges on our customers.
This blog post will explore the reasons behind this year’s price increase and explain how Lucaniae is committed to maintaining sustainable pricing while ensuring the sustainability of our products.
The Challenges Facing Southern Italy’s Olive Oil Industry
Southern Italy has experienced an unprecedented combination of climatic challenges this year, leading to a marked decrease in olive oil production. These factors include:
1. Drought Conditions
Persistent droughts have reduced water availability for olive trees during critical growth periods. Olive trees are naturally resilient, but prolonged water stress affects both yield and fruit quality, leading to fewer olives and less oil.
2. Excessive Heat Waves
Record-breaking heat waves during the summer months caused damage to the trees’ flowering and fruit-setting processes. High temperatures can lead to fruit drop, reducing the overall harvest.
3. Rising Production Costs
Farmers are also grappling with rising costs for irrigation, labor, and materials. Combined with lower yields, these increased costs have made this year particularly tough for producers.
These challenges have resulted in a sharp drop in olive oil production across Southern Italy—by as much as 50% in some regions—driving up market prices globally.
Lucaniae’s Commitment to Fair Pricing
As a company rooted in the traditions and values of Southern Italy, Lucaniae is deeply committed to supporting our producers while ensuring that customers can continue to enjoy the finest extra virgin olive oil without prohibitive price increases.
While the global olive oil market has seen price hikes of 30–50% or more, we’ve made a conscious decision to limit our price increase to an average of 6.5%, in line with Dutch inflation rates. Here’s how we’re making this possible:
Streamlined Supply Chain
By optimizing our logistics and reducing unnecessary costs, we can absorb some of the financial pressures without compromising on quality.
Long-Term Vision
Our commitment to fair pricing is part of a broader strategy to build trust and loyalty with our customers while ensuring the sustainability of our producers for future generations.
Why Supporting Sustainable EVOO Matters
Extra virgin olive oil is more than just a staple of Mediterranean cuisine; it is a cultural treasure that supports biodiversity, traditional farming methods, and rural economies. By choosing Lucaniae, you are not only enjoying premium-quality olive oil but also contributing to the resilience of Southern Italy’s agricultural communities.
Closing Thoughts
This year’s challenges highlight the importance of supporting sustainable agricultural practices and fostering a deeper connection between producers and consumers. At Lucaniae, we are proud to play our part by ensuring fair pricing and sharing the stories of the hardworking farmers who make our exceptional olive oil possible.
Thank you for being part of the Lucaniae family and for supporting a brighter future for Southern Italy’s olive oil industry. Together, we can navigate these challenges and continue to celebrate the beauty and richness of extra virgin olive oil.
For more information about our products or to share your thoughts, please feel free to contact us.