AreaSpain

Commodity GroupOilseeds, oils and meals

CommodityOlive oil

Date01/05/2020

Policy CategoryConsumption and marketing

Policy InstrumentMarket regulation

DescriptionCalled for an extension of the European Union’s 2019/20 olive oil storage aid programme, in a bid to provide further support to prices and facilitate the sector’s recovery prior to the start of the new marketing season.

NotesSPAIN – market regulation (olive oil): After the completion of the European Commission’s olive oil storage aid scheme for the 2019/20 season that benefited in particular Spanish growers (see MPPU Mar.’20), in May, the Spanish Government called for an extension of the scheme to raise market prices and facilitate the sector’s recovery prior to the start of the next marketing year – explaining that the COVID-19 pandemic had aggravated the crisis of the olive oil market. In order to prevent future price collapses, Spain also proposed to include the olive oil sector in the EU’s Common Market Organization (CMO) regulation, which provides for the use of public intervention and other market tools to overcome temporary market disturbances. Meanwhile, the Government reached agreement with national industry associations over a series of corrective measures at domestic level.