Sourcing and Manufacturing in Türkiye’s Olive Sector
Turkey (Türkiye) is emerging as a top-tier global player in Olive and Olive Oil production, boasting a significant increase in capacity that is reshaping the Mediterranean Trade landscape. The country has aggressively expanded its olive groves, increasing its tree count from 90 million fifteen years ago to over 200 million today. This expansion helps narrow the yield gap between ‘on’ and ‘off’ harvest years, creating more reliable Sourcing for international buyers.
- Record Capacity: The 2024/2025 season saw Türkiye achieve a record high, positioning it as the world’s largest producer of table olives (750,000 metric tons) and potentially the top olive oil producer, with initial estimates for olive oil at around 475,000 tons.
- 2025/2026 Forecast: Although the 2025/2026 season is cyclically expected to be a lower yield year, projections still remain high, with an estimated 310,000 tons of olive oil and 740,000 tons of table olives, confirming the long-term impact of new plantations.
Trade Policy and The Bulk Exports Pivot
The Turkish Olive Oil sector is currently navigating significant Trade policy adjustments that directly impact its Exports strategy and international Sourcing appeal.
- Policy Change: The Turkish government, responding to industry pressure and global demand, has largely revoked the previous 14 month-long restriction that required oil to be sold only in packaged bottles. This revocation allows Suppliers to resume Bulk Exports of high-quality Extra Virgin Olive Oil (EVOO).
- Global Competitiveness: This policy shift increases Türkiye’s competitiveness, particularly in markets where bulk oil is preferred for price and flexible Manufacturing reasons. It allows Turkish Exporters to reclaim market shares temporarily lost to North African Suppliers like Tunisia and Morocco.
- EU Exports: Despite being a large producer, Turkey’s direct olive oil Exports to the EU were small in the 2024/2025 season (around 1,600 MT), reflecting the country’s historic focus on table olives. However, the bulk oil policy change is expected to significantly shift these Trade dynamics.
Investment and Economy Challenges
For investors, the Olive Oil sector offers long-term, high-value Agricultural Land Investment opportunities, but also presents acute challenges stemming from the Turkish Economy:
- Inflationary Pressure: High domestic inflation (around 35 percent in 2025) and high interest rates make the cost of modernizing oil mills and purchasing new equipment an arduous undertaking for smaller Manufacturing businesses.
- Strategic Investment: Foreign Direct Investment (FDI) is focusing on high-tech bottling, filtering, and storage facilities that protect quality and maximize shelf life. Türkiye is successfully transitioning its Exports toward high-value, branded Extra Virgin Olive Oil (EVOO) to capture higher unit values, a strategy supported by its focus on premium Sourcing (Internal Link: Turkey Dry Food: Sourcing & Investment).
- Logistics Risk: Ongoing geopolitical issues, particularly the Red Sea crisis, continue to pose Logisticschallenges, squeezing margins and adding friction to Exports to certain global markets, as seen across the broader Turkish Trade ecosystem (Internal Link: Turkey Solidifies EMEA Logistics Hub).
Next Steps for Global Food Buyers
For international distributors and bottlers, Turkey / Türkiye offers a critical Sourcing opportunity, especially for high-volume, quality Bulk Olive Oil. Success depends on actively navigating the volatile domestic Economyand regulatory environment.
For specialized Sourcing of Extra Virgin Olive Oil and table olives, or to evaluate prime Agricultural Land Investment opportunities in Turkey’s thriving olive sector, contact the experts at Burc Consulting.
