Spain orders 12% olive oil holdback to curb price drop from big harvest
Why it matters: The measure pulls about 188,000 tonnes off the market as Spain expects 1.6 million tonnes of output in 2026-27.
Spain ordered olive oil producers to keep 12% of their output off the market and in storage until September 2027, aiming to prevent a bumper crop from pushing prices down too far. The Agriculture Ministry said the rule would remove about 188,000 tonnes from sale. Spain, the world's largest olive oil producer with roughly 40% of global output, expects 1.6 million tonnes in the 2026-27 season, up 23% from the prior season after favorable spring weather. The requirement applies to each mill's cumulative monthly production, and producers can choose which oil categories to store and whether to use their own or outside facilities. The government said it could adjust the measure from Dec. 31 depending on how the harvest develops.