Spain's CNMC Criticizes Forced Olive Oil Withdrawal Measure
What happened
Spain's Ministry of Agriculture implemented a forced withdrawal of 188,000 tons of olive oil to prevent a collapse in procurement prices, following a surge in supply. The National Commission on Markets and Competition (CNMC) criticized this intervention. The CNMC stated that artificially restricting supply could undermine market competition and block the reduction of prices for consumers.
From english.pravda.ru
Why it matters
The withdrawal was triggered because the total olive oil volume exceeded 120% of the average of the two most productive seasons over the last six years. Although procurement prices have dropped, retail prices remain near 10 euros per liter because supermarkets are selling inventory acquired during a drought three years ago.
From english.pravda.ru
Who's involved
- SpainImplemented the forced withdrawal of olive oil and is subject to CNMC criticism.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- SpainSpeculative
Consumers might face sustained high retail prices for olive oil because supermarkets are selling inventory acquired during previous high-price periods.
Keep exploring
The entities involved
-
Spain
country in southwestern Europe with territories in Africa