The Syrian table olive market represents about 2 percent of the internal olive oil market value (final consumption prices); in other words it is a by-product of the main market.
Syrian total production of table olives (Karabeej and Al-Hindy, 1996) has changed from 49 000 tonnes in 1984 to 82 000 tonnes in 1994 (+67 percent). IOOC statistical data for 1989/90 and 2000/01 (Table 7.18) show that the production was 35 000 tonnes in 1989/90 and 142 000 tonnes in 2000/01.
This represents, respectively, 4.4 percent and 10.7 percent of world’s output and 7.1 percent and 8.5 percent of the total consumption (60 000 and 110 000 tonnes). There has been a flow of export in the last year (8 000 tonnes). Some change in the sub-sector can be noticed, in relation to the world data, concerning the growing production, consumption and export. Actually, if Spain was and still is the first producer (220 thousand tonnes in 1989/90 and 415 in 2000/01 - i.e. 70 percent of the total of the EU production), the USA ranks from the second place in 1989/90 to the present sixth place (91 to 60 thousand tonnes) and Turkey ranks second (from 80 to 224 thousand tonnes) while Syria reaches the third position in 2000/01.
Table 7. 18 Table olive in 1989/90 and 2000/2001 (Mt)
|
1989/90 |
Production |
Import |
Consumption |
Export |
|
Algeria |
5 000 |
0 |
5 000 |
0 |
|
Argentina |
32 000 |
0 |
14 000 |
18 000 |
|
Cyprus |
2 500 |
1 500 |
4 000 |
0 |
|
Egypt |
16 000 |
1 500 |
17 500 |
0 |
|
European Union (12) |
372 0001 |
27 000 |
287 000 |
127 500 |
|
Israel |
14 000 |
0 |
13 000 |
2 000 |
|
Jordan |
9 000 |
500 |
9 000 |
1 000 |
|
Lebanon |
5 000 |
1 000 |
6 500 |
0 |
|
Libyan Arab Jamahiriya |
2 500 |
7 000 |
9 500 |
0 |
|
Morocco |
70 000 |
0 |
50 000 |
40 000 |
|
Syrian Arab Republic |
35 000 |
0 |
60 000 |
0 |
|
Tunisia |
11 000 |
0 |
8 500 |
1 000 |
|
Turkey |
80 000 |
0 |
80 000 |
8 000 |
|
United States of America |
91 000 |
80 000 |
164 000 |
2 000 |
|
Other countries |
43 000 |
77 000 |
120 500 |
0 |
|
Total |
788 000 |
195 500 |
848 500 |
199 500 |
|
|
|
|
|
|
|
2000/01 |
|
|
|
|
|
Algeria |
33 500 |
0 |
33 000 |
0 |
|
Argentina |
30 000 |
2 000 |
12 500 |
29 000 |
|
Cyprus |
8 500 |
500 |
8 500 |
0 |
|
Egypt |
70 000 |
500 |
62 000 |
10 000 |
|
European Union (15) |
576 0002 |
56 500 |
454 000 |
205 500 |
|
Israel |
19 500 |
5 000 |
19 000 |
2 000 |
|
Jordan |
24 000 |
0 |
23 500 |
500 |
|
Lebanon |
7 000 |
1 000 |
8 000 |
0 |
|
Libyan A. J. |
2 500 |
3 000 |
5 500 |
0 |
|
Morocco |
80 000 |
0 |
21 000 |
62 500 |
|
Syrian A. R. |
142 000 |
0 |
110 000 |
8 000 |
|
Tunisia |
11 500 |
0 |
11 000 |
500 |
|
Turkey |
224 000 |
0 |
125 000 |
32 000 |
|
United States of America |
60 000 |
111 000 |
185 000 |
4 000 |
|
Other countries |
45 500 |
176 500 |
214 000 |
7 500 |
|
Total |
1 334 000 |
356 000 |
1 292 000 |
361 500 |
Source: IOOC.
|
1 |
France |
Greece |
Italy |
Portugal |
Spain |
|
|
2 000 |
80 000 |
50 000 |
20 000 |
220 000 |
|
2 |
France |
Greece |
Italy |
Portugal |
Spain |
|
|
1 800 |
85 000 |
65 000 |
8 700 |
415 800 |
These are followed by a group of countries producing from 70 000 to 85 000 tonnes (Egypt, Morocco and for the EU Greece and Italy). As for consumption, the EU ranks first (287 000 tonnes and 450 000 tonnes) followed by the USA (164 000 and 185 000). The EU countries (e.g. Spain) and Morocco are the main exporters, whereas the USA and the EU are the main importers.
The survey has focused on the main table olive suppliers: farms and wholesalers. More than half of the olive tree farms (56 percent) produce table olives: 28 percent up to 200 kg and 15 percent from 200 to 500 kg. There are also farmers producing more than 500 kg to over 2 tonnes (14 percent). For some farms this is a profitable business, particularly small farms (69 percent) while larger ones are more specialized in olive oil production.
The second supplier is the wholesale market. However, the table olive business is very limited; only one third of wholesalers supply this product, 21 percent up to 200 kg and 12 percent up to about one tonne. From a detailed investigation of wholesaler firms per destination of their supply, it results that Syrian consumers prefer to buy the original product (not processed olives) directly at the farm or at the wholesale level to transform it at home in the traditional way. Wholesalers sell processed product to retailers but also to other wholesalers and processing firms (not processed olives). One has to remark that wholesalers are actually mixed traders (wholesaler, retailers and processors).
There are also exporters (processing-exporter firms) interested in this business which means that an export flow exists. But available information is not sufficient to analyze this issue, even though the statistical data permit to conclude that this is not a very important aspect for the Syrian sub-sector economy, at least until the 2000s. It can be claimed that table olive export is of some interest in nearby Gulf countries and there are contacts with Spanish importers, always in bulk supply.
In this regard, one can distinguish three different markets for the table olive sub-sector (and not only in Syria):
i) the non-processed olive market for local consumption; this means that consumers (families) buy olives and process them at home. It is a very local market in many producing countries at the countryside and small town level
ii) the wholesale bulk processed olive market: many wholesalers process a small quantity of olives in the traditional way or sell olives, collected at the farms, to specialized processors who supply the local market, national firms or importers in other countries
iii) the main consumer countries (producers or not) are characterized by two different final markets:
a) small firms which are not marketing oriented: strategy based on low-middle range prices and local or regional markets
b) large firms which are marketing oriented: strategy based on middle-high range prices, high costs for advertising and promotion, and national or international markets.
Syrian processing firms and wholesalers-exporters should think about this classification and their strategic goals.
