Olive Oil
Drought in Spain is creating concerns of poor prospects for one of its main exports, Olive oil, for which output may tumble at least 40%. Prices of
Extra Virgin Olive Oil rose 10% last month. The increases reflect concerns that hot and dry conditions are to prompt a repeat of 2012, when olive oil production halved, only to rebound strongly in 2013-14, which ends in September- in part because the previous crop’s poor performance allowed for improved flowering and fruit setting.
Corn
Ukraine’s grain exports could fall by up to 22% in the newly started season, due to the threat of cold conditions to corn, apart from the fallout from the country’s political crisis. According to estimates, Ukraine has exported 26m-27m tonnes of grain in the 2014-15 season, representing a fall of 6.3m-7.3m tonnes year on year. Ukraine’s corn harvest will fall to 24.5m-25.5m tonnes this year, from levels in 2014 which hit a record 30.9m tonnes, according to the International Grains Council and the US Department of Agriculture.