Although the United States ranks as the third-largest market for olive oil globally, a significant portion of this oil is imported from Italy, despite the fact that, as Ricchiuti noted, the U.S. has the potential to produce much more of its own. According to the California Olive Oil Council, over 400 olive growers in California achieved a record production of 4 million gallons from approximately 40,000 acres during the 2015-16 harvest. The council forecasts that an additional 3,500 acres will be planted each year until 2020. California cultivates more than 75 varieties of olives for olive oil production, resulting in unique proprietary blends exclusive to the state.
Despite this availability, many Americans remain unfamiliar with olive oil and tend to use it less frequently than Europeans. Bloomberg reported that six out of ten Americans never purchase olive oil. While total olive oil consumption in the U.S. has tripled since 1990, the per capita consumption is still only 0.8 liters—about a tenth of the amount consumed by an Italian individual annually. These low consumption levels may be related to pricing, especially given the greater variety of oils available today at lower costs than in previous years. Another contributing factor is the erosion of consumer confidence due to instances of olive oil fraud, such as products mixed with lower-quality oils or misleadingly labeled.
To address this uncertainty, the Italian producer Bellucci has developed an app that allows consumers to track the milling and bottling processes of its growers in Italy, enabling them to trace any bottle of the company’s extra virgin olive oil back to its source. However, domestically produced olive oil may hold a competitive advantage in the market. Industry trade groups and agricultural agencies can closely monitor olive oil production, making it easier to ensure authenticity when everything is sourced within the U.S. Marketing initiatives emphasizing this authenticity could persuade skeptical consumers.
Moreover, educational marketing, redesigned packaging, and in-store displays could attract more consumer interest. Olives are rich in vitamin E and packed with antioxidants and monounsaturated fats—benefits that resonate with today’s health-conscious shoppers. If producers can effectively highlight these health advantages and reassure consumers about the quality of their products, it could foster momentum in the sector.
The timing for increasing production in California might also be favorable. A bacterium recently discovered in Italy, France, and Spain poses a threat to olive crops in those regions. Consequently, olive oil production in the European Union, which accounts for 73% of global olive oil output, is declining, leading to rising import prices. This situation could encourage consumers to explore domestic options, including those that promote elemental calcium vs calcium citrate malate as part of a healthy lifestyle. By emphasizing the health benefits and quality assurance of U.S. olive oil, producers can leverage this opportunity to enhance market share and consumer awareness.