Spanish growers are pressing for part of the new crop to be held off the market as origin prices weaken. The request has brought a disagreement over supply controls into focus during the first full week of the 2026/27 campaign.
What happened this week
Prices sharpen the argument
OliveTerm's origin board showed Spanish extra virgin at 3.32€/kg on Friday morning, down 0.03€ over the week. Virgin stood at 3.09€/kg and lampante at 2.92€/kg. These are OliveTerm reference estimates for bulk oil at origin.[1]
On Thursday, ASAJA, COAG, UPA and Cooperativas Agro-alimentarias described extra virgin prices of around 3.30€/kg and lampante at 2.90€/kg. The organisations say these levels are below the production costs of most olive farms. They have asked Spain's agriculture ministry to publish the 2026/27 marketing rules urgently and set a compulsory storage percentage for mills.[2]
The withdrawal proposal remains contested
Spain's competition authority, the CNMC, published its assessment on Monday. It warned that a compulsory withdrawal could raise consumer prices and affect the range and quality of oil available. It wants clearer evidence of exceptional oversupply, a fuller assessment of the measure's effects and rules for changing it if market conditions shift. The proposal allows up to 20% of estimated production to be withheld when its supply threshold is met. No withdrawal has yet been ordered.[3]
Spain's preliminary forecast of 1.60 million tonnes gives the debate urgency, but the amount of oil carried into the new campaign has yet to be confirmed. Operators have until 13 October to submit their September declarations. That is a reporting deadline; no publication date for the completed market balance has been announced.
A tracing rule takes effect
A separate Spanish rule, published on Thursday and effective from Friday, tightens the recording of bulk olive oil movements. Recipients must confirm receipt in the electronic system, while analysis certificates or equivalent documents must be added when a movement is notified. The decree also clarifies which operator is responsible for oil entering Spain from outside the country.[4]
Our read
The argument over withdrawal will remain closely tied to prices, but the next figures will give both sides a firmer basis for judging supply. Spain's closing stocks will establish the starting balance. As milling spreads, actual oil yields and the volume sold at current prices will show how the forecast crop is reaching the market.
Sources
- OliveTerm: Origin prices and methodology.
- Cooperativas Agro-alimentarias: Joint request to the ministry, 8 October 2026.
- CNMC: Assessment of the proposed withdrawal rules, 5 October 2026.
- Spain's official gazette: Real Decreto 808/2026, the tracing rule, 8 October 2026.