Iberian olive oil mills face mass closures, UNIA study warns

A study by the Aula Oleícola Innova at the Universidad Internacional de Andalucía (UNIA) warns that more than 600 olive oil mills, known as almazaras, are expected to close in the Iberian Peninsula over the next decade. This represents approximately 27% of the current facilities in Spain and Portugal.

The research, conducted by experts Juan Vilar and Sergio Caño, indicates that small-scale and traditional mills are most at risk due to an inability to compete with highly industrialized groups. Key drivers of this decline include rising costs of inputs, labor shortages, and the need to meet increasingly strict sustainability and traceability regulations.

Furthermore, extreme fluctuations in olive production volumes create economic instability. The study notes that mills currently require an additional 1.3 million kilograms of olives annually to reach an economic break-even point. Without the ability to scale or modernize processes, the sector is expected to undergo significant concentration, where only the most efficient and high-volume facilities survive.