ECONOMY

Olive oil output to rise, putting pressure on prices

MADRID (Reuters) – World olive oil output will rise to 2.87 million tons in the market year which began on November 1, up from 2.63 million previously, estimates from the International Olive Council showed yesterday. The Madrid-based IOC also forecast Spain would remain the world’s biggest producer in 2008/09, with 1.11 million tons, followed by Italy with 560,000 and Greece on 370,000 tons. Olive oil prices have slumped as production has risen in recent years. Front-month January oil was last traded at 1,960 euros ($2,468) per ton on the MFAO exchange in the southern Spanish town of Jaen, down 1 percent on the day.