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Starting an olive oil business is one of the most attractive decisions for entrepreneurs passionate about agriculture, gastronomy, and high-quality products. Extra virgin olive oil (EVOO) is currently enjoying strong international recognition, but the path to starting an olive oil business or launching an EVOO brand is full of obstacles that are worth understanding from the very beginning.
In this article, we analyze the main challenges involved in setting up an olive oil project and share practical advice on how to overcome them successfully, especially in relation to EVOO business viability, olive oil sector regulations, and the need to avoid common mistakes when launching an EVOO brand.
If you want to go deeper, we recommend consulting our business plan in the olive oil sector.
One of the first challenges is cost. Starting an olive oil business requires a significant investment: land acquisition, olive grove planting, irrigation systems, olive mill machinery, certifications, and commercialization. All of this directly affects EVOO business viability.
How to overcome it:
Assess whether it is better to start with your own production or purchase oil from third parties in order to focus on developing a premium EVOO brand.
Take advantage of European, national, or regional support programs.
Define a business plan for EVOO with realistic projections over 5–10 years.
A young olive grove takes between 4 and 7 years to reach full production. This means that revenues may be delayed, a key aspect of EVOO profitability analysis that many entrepreneurs underestimate.
How to overcome it:
Combine your own olive groves with agreements with external olive mills.
Create complementary business lines such as oleotourism or tastings.
Design a business plan that includes the transition phase, supported by a solid EVOO profitability analysis.
The olive oil sector is highly regulated, from production and quality standards to labeling requirements. This is where many entrepreneurs are unaware of olive oil sector regulations, which can lead to serious problems.
How to overcome it:
Rely on specialized legal advice in the agri-food sector.
Stay informed about regulatory changes, especially if you plan to export.
Pay close attention to EVOO packaging and labeling, as a single mistake can prevent the product from being sold in entire markets.
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Every year, dozens of new brands are launched, and only a few survive. Consumers seek authenticity, sustainability, and experiences. Without a clear strategy, it is easy to fall into common mistakes when launching an EVOO brand.
How to overcome it:
Build a unique brand story focused on developing a premium EVOO brand linked to territory and tradition.
Take care of EVOO packaging and labeling as key marketing tools.
Invest in digital marketing for EVOO to reach global audiences and improve visibility.
The success of a brand depends on maintaining quality year after year. One good harvest is not enough.
How to overcome it:
Work with a master miller who ensures consistent processes.
Implement quality control and traceability systems.
Train in olive oil tasting to better understand your own product.
Spain leads the global market but competes with countries such as Italy, Greece, Portugal, Turkey, and emerging producers like Australia, Chile, and the United States. Standing out requires strategy and differentiation to position a premium EVOO.
How to overcome it:
Carry out a market study for EVOO before launching the brand.
Focus on quality niches instead of competing on price.
Participate in EVOO fairs and international competitions to gain visibility.
The olive oil sector requires multidisciplinary knowledge: agronomic, technical, commercial, and digital.
How to overcome it:
Define key roles at the beginning of the project.
Rely on external collaborators in the early stages.
Train the team in a quality-driven culture and business vision.
Starting an olive oil business is an exciting challenge that combines tradition, innovation, and strategy. The challenges are many—investment, regulation, differentiation, global competition—but with preparation they can become opportunities.
In addition, a well-structured project is more likely to attract EVOO investors and plan appropriate exit strategies for EVOO investors when the time comes.
This article provides an introductory overview. Each project is unique and must be analyzed with a tailored strategic plan.
The ESAO Executive MBA – Olive Oil Business Consultancy provides the training needed to transform your idea into a solid, profitable olive oil business ready to compete internationally.
Content developed by the teaching team of the Escuela Superior del Aceite de Oliva (ESAO), under the technical supervision of Susana Romera, Technical Director and Co-founder of ESAO.
Our associated expert faculty, with extensive international experience in the olive oil sector, is selected on a tailored basis according to the topic and needs of each project, ensuring maximum quality, rigor, and practical applicability.