European heatwave slashes harvests, pushing olive oil and food prices higher

Across the continent, record-breaking heat, prolonged drought and wildfires are curtailing food production and driving up prices, with olive oil poised for another price surge. French growers’ association Légumes de France says thousands of tonnes of salad greens, carrots, leeks, garlic and onions have been lost, and some crops may see output cut by half. In France’s wine regions, grape development is delayed, leading to an anticipated 10 % drop in yields and the earliest harvest on record in Champagne.

Spain’s agriculture ministry predicts cereal output will drop from 24 million to just over 18.5 million tonnes, despite farmers’ use of drought-tolerant varieties and irrigation. The European Union has lowered forecasts for sunflowers, maize, potatoes and soybeans, while Romania and Italy report more favorable conditions. The ASAJA trade body notes fire damage to orchards, vineyards and olive groves, and heat-related pest and disease pressure.

Olive-oil producers, including representatives from Citizens of Soil and Filippo Berio, warn that burned or ash-covered trees and drought stress will reduce fruit and push prices above £7 per litre in the UK. Analysts stress that higher production costs, rather than export restrictions, will be the main market impact.