Market Overview of the United States Olive Oil Market

The United States Olive Oil Market is riding a wave of steady and resilient growth as consumers increasingly gravitate toward healthier dietary choices and premium food products. As of 2024, the market is valued at approximately US$ 2.99 billion and is anticipated to grow at a compound annual growth rate (CAGR) of 8.14% from 2025 to 2033. This growth trajectory could see the market reaching an estimated US$ 6.04 billion by 2033, according to insights from Renub Research.

Factors Driving Growth

Health Consciousness and Dietary Shifts

A primary driver of this robust market expansion is the growing awareness of olive oil’s cardiovascular and anti-inflammatory benefits. Consumers are increasingly opting for oils rich in monounsaturated fats, such as olive oil, over traditional saturated and hydrogenated fats. The olive oil market is experiencing a significant shift, with consumption soaring from roughly 28,000 metric tons in 1970 to over 400,000 metric tons in the present day. Such trends suggest olive oil may account for nearly 5% of total vegetable oil consumption in the U.S.

Versatile Applications

Olive oil has transformed from a specialty imported product into a mainstream household staple. Its versatility transcends the kitchen; it’s utilized in various sectors, including personal care, cosmetics, and even pharmaceuticals. The rising popularity of organic and extra virgin olive oil varieties showcases consumers’ preferences for high-quality, healthy options that fit seamlessly into modern lifestyles.

United States Olive Oil Market Outlook

As consumers increasingly prioritize health in their cooking habits, olive oil—extracted from olives primarily grown in Mediterranean regions—continues to gain traction. Recognized for its high concentration of beneficial compounds, olive oil is becoming a cornerstone of healthy living in American kitchens.

Expanding Applications

Beyond cooking, olive oil’s moisturizing and antioxidant properties are leading to greater usage in skincare, haircare, and wellness supplements. As the demand for clean-label, plant-based, and functional ingredients rises, olive oil’s relevance is expanding across multiple industries. This evolving landscape is supported by restaurants and food manufacturers extending their olive oil offerings, with e-commerce platforms providing broader access to premium varieties.

Key Growth Drivers

Increased Demand for Healthy Oils

One of the most significant growth sectors within the olive oil market is consumer preference for health-oriented cooking oils. As American households seek alternatives to less healthy fats, olive oil’s reputation for improving heart health and reducing inflammation has solidified its status as the go-to choice. This shift is catalyzed by the widespread endorsement of the Mediterranean diet, further accelerating olive oil adoption in everyday cooking.

Surge in Organic and Premium Olive Oil

The market is witnessing an explosive demand for organic and premium olive oils. Consumers are increasingly drawn to cold-pressed and extra virgin varieties, attracted by their superior taste and nutritional profiles. Notably, the industry has seen new entrants; for example, Kosterina, a Mediterranean food and beauty brand, has recently rolled its products out to over 600 Target stores, illustrating the rising retail demand for high-quality olive oil.

Foodservice Industry Growth

The foodservice sector is a vital growth engine. Restaurants, caterers, and food retailers are expanding the use of olive oil in menu items, thanks to its versatility. Today’s consumers favor healthier options, which has led to a rise in Mediterranean-inspired dishes that center around olive oil as an integral ingredient.

Challenges in the Market

Price Volatility

Import dependency makes the U.S. olive oil market susceptible to global price fluctuations. Disruptions from weather conditions in major olive oil-producing countries like Spain and Italy can cause supply shortages, resulting in price increases that prompt consumers to consider alternatives.

Concerns of Fraudulent Products

Another major hurdle is the presence of counterfeit and low-quality olive oil products. Misleading labels can lead to a lack of consumer trust, as some products falsely marketed as extra virgin olive oil can erode brand credibility. The industry is responding with calls for stricter quality standards and enhanced traceability systems.

Segment Analysis

Refined Olive Oil

Despite being less popular than its extra virgin counterpart, refined olive oil holds a significant slice of the market, particularly among cost-conscious consumers and commercial kitchens. With a lighter flavor and lower price point, it’s often preferred for frying and baking.

Extra Virgin Olive Oil

The Extra Virgin Olive Oil (EVOO) segment dominates the premium market. Esteemed for its rich taste, aroma, and health benefits, EVOO is increasingly favored by culinary enthusiasts. This has prompted retailers to diversify their offerings, particularly in organic and sustainably sourced options.

Packaging and Application Trends

Preferred Packaging

Glass bottles, especially dark ones, are the favored choice for olive oil packaging. Their ability to shield oil from light and oxidation preserves quality. Meanwhile, a growing emphasis on sustainability is promoting demand for recyclable packaging that distinguishes premium brands.

Alternative Packaging Solutions

Flexible pouches and innovative containers are emerging as appealing alternatives, highlighting their lightweight design and reduced carbon footprint. For example, Neolea has introduced extra virgin olive oil in eco-friendly aluminum cans, designed to sustain flavor while promoting sustainability.

Regional Insights

East Coast Consumption

The eastern United States, including states like New York and Florida, leads in olive oil consumption due to diverse culinary preferences and a strong appetite for premium products. Specialty retailers play a crucial role in driving growth in this market segment.

Northern State Dynamics

States like Illinois and Massachusetts benefit from high awareness levels and strong retail frameworks supporting the organic and farm-to-table movements, further contributing to olive oil adoption across the region.

Competitive Landscape

Key players in the U.S. olive oil market include:

• Pompeian, Inc.
• Bertolli
• Filippo Berio
• Colavita USA, LLC
• STAR Fine Foods
• Goya Foods, Inc.
• California Olive Ranch Inc.
• Olivari
• Olivina, LLC

These companies prioritize product innovation, sustainability initiatives, and premium branding strategies to enhance their market presence.

As we navigate through a landscape rich in opportunities, the U.S. olive oil market stands poised for growth, with increasing consumer awareness and application diversity reinforcing its compelling trajectory.