Rain Falls On Prices

As we had mentioned earlier, it is thought that Spanish olive oil production in 2008-09 will be more or less equivalent to last year's figures - approaching 1.6 million metric tons. Yesterday's considerable rainfall in Jaén province in any event managed to have an instant effect on futures prices. September delivery trade 2 to 3 cents off prior prices, and both bid and ask sank 2 cents for almost all deliveries, this followed by another 1 cent drop today. Cash prices remain firm at the same 2.28-2.34€/kg, depending on grade, levels that they have been at for several weeks now. And, as has been the case on several occasions this summer, volume of sales is concentrated almost exclusively in virgin olive oil. Lampante sales remain tremendously weak, with EVOO not much better.