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International olive oil body bullish on India

Rasheeda Bhagat

Special promotion efforts planned during 2007-09

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Bharat Matrimony

Recently in Turkey

As the International Olive Oil Council explores its mandate to increase the production and consumption of table olives and olive oil in world markets, even while keeping a strict eye on the quality, for 2007 its Promotion Division will target the Indian market, Mr Habib Essid, Executive Director of the Council, told Business Line.

In Istanbul last week to participate in the Anatolives olive exhibition organised by the Zeytindostu Olive and Olive Oil Association of Turkey, he said: "India is a very important potential market and a challenge for the International Olive Oil Council in the next 10 years is to have a balanced market, bring about an increase in the area planted as well as productivity, and introduce the super intensive variety of olives. All these factors will have an impact on the supply of the product, and will help us in our objective of increasing consumption in both traditional and new markets."

Between 2007-2009, the Council has identified India, Russia and Japan as promising markets where special promotion efforts will be directed.

Mr Essid said he was impressed by the efforts made by the Turkey's olive cultivators to increase the area under cultivation.

"Last year, 25 million olive trees were planted in Turkey; that gives you an idea of the efforts taken here to make Turkey a leading player in the production of table olives and olive oil. Also, in the areas I visited, they have made great efforts at pruning the trees, which is important for the yield. The Turkish Government is also giving good incentives for new areas brought under olive plantation."

He said the Turkish olive growers had one specific advantage in that "the variety what they grow can be used for table olives and olive oil. Some varieties of olives allow you to do both. Another positive is that the cultivators are themselves aware that their storage and production techniques, marketing, etc have to improve. When you know what's your problem, you can solve it much better and quicker."

On which governments of the International Olive Oil Council member countries had done the most in encouraging olive cultivation, he said: "The Spanish and Syrian governments have done the most to promote olive cultivation; and now Turkey is doing the same."

Consumption

Coming to its mandate of increasing olive oil consumption, Mr Essid said that the European countries had a meagre per capita consumption of 6 kg and there was room for increasing it. "For the next 15 years, it is very important for us to find new markets, and I'll be visiting India in March to explore the possibilities there."

On the higher cost of olive oil being a deterrent for price sensitive markets such as India, Mr Essid said: "Well, olive oil is not a common product, and you need to convince the consumer that the price they are paying is worth it because of the beneficial effects on health; extra virgin olive oil is particularly good for health. Also, last year the prices went up because of lower production in Spain, which produces almost 30-35 per cent of world production, and this decrease impacted world prices."

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