When it comes to healthy fats, few products rival the quality and flavor of extra virgin olive oil. A cornerstone of Mediterranean cuisine, its distinctive fruity yet bitter taste and fresh, pungent aroma evoke memories of sun-drenched summer holidays.
For many chefs, a generous drizzle of high-quality olive oil is essential to finishing salads, seafood, and pasta dishes. At Italian restaurants, it’s common to indulge in bread dipped in olive oil, sometimes even overshadowing the main courses. Beyond its culinary appeal, extra virgin olive oil boasts numerous health benefits: it is rich in antioxidant polyphenols, promotes heart health, improves skin and hair, reduces inflammation, and may even offer protection against cancer.
However, in recent years, the price of this so-called “liquid gold” has risen sharply. While a litre of extra virgin olive oil could be purchased for around HK$70 in the early 2000s, current prices rarely fall below HK$120, even during sales. Specialty stores sometimes offer premium varieties at staggering prices—far beyond simple inflation adjustments.
The surge in cost is driven by multiple factors. Global inflation following the COVID-19 pandemic has impacted many commodities, but extra virgin olive oil prices have nearly doubled over the past four to five years. Rising health consciousness worldwide has increased demand, while climate change has severely affected production. Countries like Spain, a leading olive oil producer, have suffered from droughts, heatwaves, and tree diseases, which have reduced crop yields and quality.
Faced with these challenges, many consumers are exploring alternatives—particularly for uses like salad dressings, gazpacho, or hummus, rather than cooking oil. Unfortunately, options remain limited. Rapeseed oil offers a neutral flavor and is often touted as healthy. Nut oils, such as walnut oil, provide a pleasant taste but tend to be even pricier than olive oil.
Avocado oil has gained popularity due to its reasonable price and availability. However, a closer examination reveals most commercial avocado oils are refined rather than cold-pressed or extra virgin. This refining process involves heat, which diminishes flavor and nutritional value—much like the difference between ordinary olive oil and extra virgin.
To reduce reliance on olive oil, one might consider diversifying salad dressings with Asian-inspired ingredients like fish sauce, lemon juice, soy sauce, and sesame oil, or incorporating creamy slaws made with mayonnaise or yogurt. Nevertheless, the unique texture and flavor of cold-pressed olive oil remain difficult to replicate.
Looking ahead, expanding olive oil production to Mediterranean countries in North Africa could help meet growing global demand. These regions have the climate and land to become significant players alongside traditional producers such as Spain, Italy, France, and Greece.
While not a financial expert, it’s clear that if extra virgin olive oil prices continue to climb, investing in this “liquid gold” could prove wise.
