Food Forum: Getting The Low Down on EVOO

Category managers at retail and distribution levels need a more in-depth education on olive oil. By David Neuman Tom Mueller, celebrated author of the best-selling book about the olive oil trade, Extra Virginity, cites that “approximately 69% of the olive oil for sale in the U.S. is doctored.” The controversy about olive oil, and more specifically, extra virgin olive oil (EVOO) has been making headlines since the New Yorker ran Mueller’s original piece, Slippery Business, in August, 2007. Yet the majority of grocery buyers and category managers often know little about the category or even the actual oils they buy for their shoppers. The ongoing controversy and legal issues in the EVOO category have done little to motivate retail, distribution and wholesale decision makers from offering necessary training to educate these purchases. What is interesting is that olive oil, a $1 billion-plus industry in 2014, is one of the larger dollar-drivers of sales at food retail. How many products in the dry grocery side of the business sell for $8-$18 for a 17-ounce bottle and typically deliver 25-45% gross margin? Every chain selling wine has a professionally trained wine buyer or sommelier influencing purchase decisions. Wine is a complex, globally sourced product, also with a checkered past. Sounds similar to today’s olive oil category. So why are these olive oil buyers not receiving the same type of support? In San Francisco this past May, a full-day conference at the California Bar Association congregated olive oil experts, industry leaders, legal experts and trade media to discuss topics such as the legal issues in the news today, how buyers can make better choices, nutritional benefits of high-quality EVOO and valuable science that would help eliminate label fraud. Yet, after months of being publicized, only two retailers were in attendance. Having been responsible for producing, importing, marketing and selling high-quality olive oil for 10 years, I can honestly say I have met less than a dozen truly knowledgeable buyers that understand this complex category. Sadly, those that do not have the time or access to crucial product training are vulnerable to being taken advantage of when making purchase decisions. Here are some questions I implore buyers to ask brands: How was harvest? Did quality change since you last showed me your olive oil? If there was a difficult harvest, such as Italy’s this past year, will that affect taste? If so, how will that be explained? On the label? If prices increase, and quality decreases, is it fair to expect shoppers to stay loyal to brands? What is the difference between a Med-Blend and a single country of origin? How can the oil producer/seller guarantee to the chain/importer that the product that states “extra virgin olive oil” on the label (which is a legal standard of identity in the U.S.) actually meets that claim? How does super high-density production or medium-density production of olives affect the quality and the phenolic profile versus handpicked old world harvesting? How does the buyer taste oil presented to them to ensure they are making wise choices if they have never attended an official tasting course? The debate and controversy surrounding olive oil is far from a solution. Legal cases are constantly filed, buyers remain confused, and consumers, our primary responsibility, are still misinformed and ultimately cheated in many cases. The only answer for all those involved in the buying chain—from farm-to-table—is to have a strong working knowledge of what olive oil is and understand how they can prevent wrongfully labeled products from making it to customers’ kitchens. This worked with organic products in 2002 with the passing of the USDA NOP. It can work for olive oil. David Neuman is CEO of Gaea North America. He can be reached at [email protected].