Olive oil is the latest commodity to see huge price hikes as it faces extreme weather during its production.
The average price in August was 130% higher compared to the year before. Global prices for olive oil were at $8,900 per ton in September driven by extremely dry weather in the Mediterranean, according to a report by the United States Department of Agriculture.
Spain is the world’s largest exporter of olive oil and has suffered from intense drought for months.
Olive oil production in Spain has dropped to 610,000 tons, a 50 percent decrease in production when compared to its usual 1.3 million to 1.5 million tons produced.