Olive Oil Market Segment

Tunisia has comparative advantages in olive oil production.

0 %

The world’s olive acreage in Tunisia.

0 %

Irrigated making

Base oil quality is relatively high, and cost is relatively low. Given the significant barriers to entry in global olive oil production, including climate and the time required for trees to reach their prime yield, Tunisia has untapped potential to increase exports globally

The main markets for the export of Tunisian olive oil

In the U.S. market, olive oil and its fractions are the strongest class for Tunisian agriculture exports.
Tunisian exports to the United States accounted for $445.8 million in 2016 of which $78.2 million was olive oil. Olive oil exports have a significant opportunity to increase.

Olive oil is typically a commodity with one origin substituting for another without the consumer noticing a difference. This is particularly true in the United States, where olive oil consumption per capita is less than one liter versus Italian consumption of 12.5 liters or Spanish at nearly 15 liters per capita

Per capita consumption of olive oil by country

Culture of American consumers

With the purchase of one liter per year

U.S. consumers often do not recall the brand they purchased previously or the quality of one brand versus another. Therefore, much of the difference in consumer preferences in the United States is perceived as preferences for Italian or Spanish olive oil depending upon the consumer's upbringing.

Mediterranean Olive Oil

Tunisia has traditionally exported the majority of its oil in bulk to other countries

Tunisia has traditionally exported the majority of its oil in bulk to other countries, where it is repackaged and
resold. As a result, Tunisia does not capture much added value, despite the high quality of the product. For
example, retailers ranging from Whole Foods Markets, to Costco, to Walmart sell Tunisian olive oil.

Olive oil market is fiercely competitive

requires considerable financial resources

However, the packaging and branding is often shown as “Mediterranean Olive Oil” rather than a Tunisian product
that “may include” olive oil from a handful of Mediterranean countries and is not exclusive to one origin or another.a higher value-added labelled segment for the U.S. market. As discussed further below, however, this market is fiercely competitive and requires considerable financial resources. Consumers often purchase “Italian” olive oil, not knowing that it is in fact, a product of Tunisia and/or other countries blended and/or bottled in Italy. It may be tempting to target