Home / Business / Politico: Greece cannot extract wealth from its oil | ECONOMY

Politico: Greece cannot extract wealth from its oil | ECONOMY

A comprehensive report on the valuable Greek olive oil and the mismanagement of olive oil producers in our country hosted by the online edition of Politico.

In the article "Greece fails to get its wealth from its oil", Politico describes how, despite our country being the third largest producer in the world, it is not a great power in olive oil. Specifically, the publication not only accounts for the amount of olive oil produced in our country but also for the unusually high proportion of the "extra virgin" category.

Greek olive oil is renamed Italian olive oil and edible olives have escaped US tariffs

"Greece has difficulty converting this advantage into exportable" gold ". […] Most are sold in bulk in Italy at a ridiculous price, where it is dropped and sold at high prices with an Italian label. Only 27% of it Greek production has a Greek label, according to the Bank of Greece. "

For this situation, many agricultural cooperatives accuse, while others claim that farmers do not know how to guarantee a consistent quality for traders. "Whoever blames it," Politico notes, "hundreds of millions of euros of added value are directed to Italy in this way."

"We destroy gold", olive oil

"Why do we destroy gold?" Asks Thassos olive grower Stavros Kollalas in his Politico report. Kolalas decided to cut off the agricultural cooperative and drop its own olive oil. However, as the report notes, olive growers in Greece have few trees, so the cooperatives need to produce this year's oil.

The report cites that "for many years politicians have treated agricultural cooperatives as a field to settle their political supporters, who wanted to become rich". In fact, Politico reports that local cooperatives are asking their members up to € 30,000 to participate in international events promoting olive oil abroad, when the real cost is estimated at one tenth of the above value.

Olive oil and export opportunities

"We were tired of needing
we sell for 3.40 or 3.50 euros per kilo when it
the production cost is EUR 5.30, he says
Mr. Colallas today, according to
Politico, exports its own
olive oil for € 1

3.50 per bottle
France, Germany and the United Kingdom.

Vassilis Pyrgiotis, an expert
consultant for the production of olive oil,
argues that farmers should not do so
to abandon the cooperatives.
Greece's biggest problem
the industry is like every farmer
moving individually. "Great buyers
want quality guarantees on
significant quantities. It is
the reason we have to work together »
states himself.

But Pyrgiotis says in the publication that there are signs of improvement in dealing with the situation. Exports of packaged, standardized olive oil increased to more than 30,000 tonnes in 2018 compared to the 10,000 tonnes exported in 2005. However, Politick's columnist estimates that Greece could export as much as 400,000 tonnes this year.

Source link