Thread: Profit
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Old August 19th, 2000, 04:43 AM
Brian Chatterton
 
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Profit

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<pre>Steve

I am sticking to my guns with the 20%. I am assuming growers want to
make a profit but that comes from the yield of oil and the price.
The percentage oil is firstly dependent on the time of picking. If
you wait long enough almost anyone can get 20% but the yield will be low
because a large percentage of the fruit will have fallen on the ground.
In the past these were picked up but labour cost make this impossible
besides the quality of fruit on the ground is poor - really bad. The
percentage oil changes over the picking season and growers need to
obtain the best combination of oil yield and quality/price. The amount
of oil per kg of fresh fruit is a minor factor in the profit equation as
it only alters processing costs by a tiny fraction.
Secondly the percentage oil varies with the season. There are heaps
of research results from all over Italy and some from California that
show there is about 5% variation in % from the same trees picked at the
same time from year to year. Some were quoted in the Australian Olive
Grower in April from Provincia di Grosseto in southern Tuscany.
Thirdly the unfortunate fact seems to be that high oil percentages
come from environments that do not produce the best oil. Most of the top
oils in central Italy are produced from olives that have less than 20%
oil. It is not that Italian economic are different (although many people
say they are - particularly The Economist in London) but the high price
compensates for the low percentage and the low yield.

I still think that the Olive Production Manual gets itself into a
muddle in Table 23.1 on page 144 as none of these variables are taken
into account and oil percentage in an incredible range are provided. For
example Moraioli (Moraiolo) is recorded as having 18 to 32% oil. If
only! Where was the 32% recorded?


Cheers Brian Chatterton


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