**2. Olive cultivation in Albania**

Albania is one of the few countries in Europe and the only country in the Central-East Europe that has the favourable climatic and geographical conditions for olive cultivation. The olive cultivation story in Albania is very old. The people of the rural areas are used with the cultivation of olives, and a good tradition has been heritage from one generation to the other.

The demand for olive oil and table olives in the domestic market is very high. On the other hand, with an adequate technological improvement in the olive processing industry, this product could be traded in the international market.

Olives are among the most important fruit tree crops grown in Albania, covering an estimated 8% of the arable land. As shown in Figure 1, the Albanian olive production zone covers the entire coast from Saranda (South) to Shkodra (North) and inland river valleys in the districts of Peqin/Elbasan, Berat/Skrapar, and Tepelene/Permet.

Olive tree in Albania is cultivated in the regions along the western costal lowland. Geographically 3.3% is cultivated in the plain zone and 96.7% in the hilly zone. In 77% of the

local raw material needed for the oil processing industry. In addition, the distribution infrastructure linking to the markets is also poor. With current prices and expected yield, the farmers do not have the incentives to grow oil-bearing plants because of the low economic returns. Furthermore, many processing plants had been destroyed after the 1990s. However, if Albania reaches an average yield, similar to that of its neighbouring countries (Greece and Italy), there will be a great potential for Albania to develop an olive industry comparable to its neighbours with similar climatic and soil conditions. To make this a reality olive productivity has to increase along with a favourable marketing situation conducive to exports. The surface plant with olives is 42 thousand hectares, with a total number of olive trees of around 5 million. Because of the insufficient services olive tree have low growth rates with a very high yield fluctuation. The result is mall quantity and low quality olive oil. Almost 10.3 million US \$ have been invested in the olive oil processing industry since 1992.

The olive and olive oil sector is an important segment of Albanian primary production and agro industry. Primary production of olives accounts for approximately 16% of total fruit output in value, including grapes. The number of planted trees is nearly 5 million and is rapidly increasing, as a response to sustained demand, good prices and government

Official data on olive oil production show an output ranging between 6,400 Mt (Million ton) in bad harvest years and 11,900 Mt in good harvest years. There is a structural production deficit of approximately 1,000 Mt per year, mostly covered by imports of bottled olive oil from Italy and other EU countries. Main production areas of olives for olive oil are in the center and south of the country. In these areas, 90% to 95% of cultivars are for olive oil

Processing industry has a specializing and modernizing trend, producing mostly olive oil and table olives (15-20% of total olive production). Official data for 2009 show that there are 108 enterprises processing all edible oils including olive oil, and 16 enterprises processing table olives. The structural deficit of table olives is covered mainly by imports from Greece.

Albania is one of the few countries in Europe and the only country in the Central-East Europe that has the favourable climatic and geographical conditions for olive cultivation. The olive cultivation story in Albania is very old. The people of the rural areas are used with the cultivation of olives, and a good tradition has been heritage from one generation to the other. The demand for olive oil and table olives in the domestic market is very high. On the other hand, with an adequate technological improvement in the olive processing industry, this

Olives are among the most important fruit tree crops grown in Albania, covering an estimated 8% of the arable land. As shown in Figure 1, the Albanian olive production zone covers the entire coast from Saranda (South) to Shkodra (North) and inland river valleys in

Olive tree in Albania is cultivated in the regions along the western costal lowland. Geographically 3.3% is cultivated in the plain zone and 96.7% in the hilly zone. In 77% of the

The major part of the processing machinery in use is obsolete.

subsidies for expanding the production base.

production. (Leonetti et al, 2009)

**2. Olive cultivation in Albania** 

product could be traded in the international market.

the districts of Peqin/Elbasan, Berat/Skrapar, and Tepelene/Permet.

farms olives are cultivated in organized plantations whereas in the remaining 23% of the farms this culture is found in a not organized form. The olive concentration in plantations gives the possibility for more careful services and the use of adequate technologies. According to the data taken from INSTAT (Institute of Statistics, 2008), the dynamic of the surface and the number of the olives during the years is as follows.

Fig. 1. Map of Albania showing olive cultivation area (USAID, 2011)

According to Figure 2 the surface of olive plantation and the number of olive trees has increased by four times in the year 1990 compared with the year 1938. After the 1990s, as the result of the late processing of the Land Agrarian Reform in this sector, the olive production industry has suffered a lot of considerable damages. As many other sectors of the country's economy, this sector was characterized by a visible depreciation in the main indicators. Huge olive blocks like those in Fier, Mallakaster, Berat and Lushnje were burned and destroyed. The transformation of the State Farms into private economies in this sector of the economy has been very slow. Even today, there are regions where the reform changes have not yet been completed. Table 1 shows olive production and yield in the main regions of the country and Table 2 describes in numbers the overall country situation.

Although there has been a considerable investment in the new olive plantations, the production investments and the services for this culture have been minimal. Today the olive production has low and fluctuating yields. The extensive character of the olive cultivation and the insufficient treatments that are usually done to the olives are the cause of this phenomenon. The yield fluctuation in the olive production has been and still is a serious phenomenon for our country. According to statistical data, the ratio between an "empty" year (year with very low production) and the year with a good production is very high.

Olive Oil Sector in Albania and Its Perspective 499

**Number of olives** 

1 Berat 628 492 22,0 10841 2 Delvinë 127 126 3,3 419 3 Durrës 57 52 19,3 1004 4 Elbasan 364 331 10,0 3315 5 Fier 347 311 12,7 3955 6 Gramsh 2 2 20,3 31 7 Gjirokastër 5 4 34,4 150 8 Kavajë 75 75 13,4 998 9 Kruje 104 87 4,5 393 10 Kuçovë 39 37 20,4 753 11 Laç 10 10 13,0 126 12 Lezhë 18 15 9,9 148 13 Lushnjë 227 209 19,5 4070 14 Mallakastër 197 161 20,9 3362 15 Peqin 65 64 6,5 412 16 Përmet 2 1 12,8 15 17 Sarandë 312 310 6,6 2048 18 Skrapar 1 1 11,6 14 19 Shkodër 93 81 6,0 485 20 Tepelenë 43 43 8,6 373 21 Tiranë 318 294 9,1 2664 22 Vlorë 532 495 13,0 6436

**TOTAL 3564 3200 13,1 42012** 

Table 2. Number of heads, yields and olive production according to the regions, 2009

According to the age of the olives there is a visible distinction that divides the olive

1. Centennial olive plantations are mainly found in the urban areas of Sarandë, Vlorë, Berat, and Elbasan. These are native varieties with high economic values that consist of

2. Olive plantations planted after the 1960s, which are found by the sea and in the central

(Ministry of Agriculture, Food and Consumer Protection, 2010)

the main part of olive production of the country.

**3. Olive age and cultivars in Albania** 

plantations into two groups;

part of the country.

**(000 trees) Yield** 

**(Ton) Total In production** 

**(Kg/tree)** 

**Production** 

**Nr. Region** 

Fig. 2. Olive trees and trees in production for the period 1938-2008 (INSTAT, 2010)


Table 1. Olive production data for the main regions 2009 (Ministry of Agriculture, Food and Consumer Protection, 2010)

Fig. 2. Olive trees and trees in production for the period 1938-2008 (INSTAT, 2010)

**Number of olives** 

**Total In production**  1 Berat 628 492 22,0 10841 2 Vlorë 532 495 13,0 6436 3 Elbasan 364 331 10,0 3315 4 Fier 347 311 12,7 3955 5 Tiranë 318 294 9,1 2664 6 Sarandë 312 310 6,6 2048

**TOTAL 2501 2233 13,1 29259** 

**REPUBLIC 3564 3200 13,1 42012** 

Table 1. Olive production data for the main regions 2009 (Ministry of Agriculture, Food and

**(000 trees) Yield** 

**(Kg/tree)** 

**Production (Ton)** 

**Nr Region** 

Consumer Protection, 2010)


Table 2. Number of heads, yields and olive production according to the regions, 2009 (Ministry of Agriculture, Food and Consumer Protection, 2010)
