Olive as a New Crop. Paul Vossen University of California 133 Aviation Blvd. Santa Rosa, CA Woodland March 19, 2009 Ag History Center

Transcription

1 Olive as a New Crop Woodland March 19, 2009 Ag History Center Paul Vossen University of California 133 Aviation Blvd. Santa Rosa, CA pmvossen@ucdavis.edu

2 Presentation Topics What is happening in California / World Market and Standards Production Systems Varieties Harvest Mechanization & Labor Small & Large Scale Economics

3 Tasting of Oils Olive oil is not just a FAT Condiment - Spice to Flavor Food

4 Taste 1 st Oil

5 Two 1 o reasons for interest in olive oil Mechanization & Health

6 Why Olive Oil? Lower grade soils Easy to grow Few pests Low water use Lower quality water Mechanized Healthy - tastes good Big market Vertical integration Sales all year

7 Why Olive Oil NOT? Large investment Slow to full bearing Small profit margin Lots of competition Expensive harvest Ignorant consumers Small scale profit is in direct sales only

8 BASIC NUMBERS Establish = 3 rd yr. SHD ~ $6,000 MD ~ $3,000/acre Years to full production = Average yield = 3 to 5 t/acre = g/acre Bulk price = $30-75/gallon $20/½ liter bottle = $ /gallon 150/gallon SHD: cost $13 grow + $12 process/gallon ($25) MD: cost $35/gallon ($80/gallon with high land values) Best scenario - $28,000/acre (w/o land value) Average scenario - $13,000/acre (w/o land value) (Direct sales): growing, harvest, processing & bulk storage (no bottling or marketing costs)

9 What Other Costs? % Land (Capitol Recovery) 13% to 25% Overhead 4.7% to 5.5% Bottling (½ L) ,650 /acre 6-7% Marketing 17% to 18% Potential Profit $6-14,000/acre with lots of work and risk NO DISTRIBUTION

10 WORLD OLIVE ACREAGE Spain ~ 6 million 25% Tunisia ~ 3.8 million 16% Italy ~ 3.5 million 15% Greece 2.5 million 11% Portugal 1.3 million 6% Turkey 1.2 million 5% Morocco 1.1 million 5% Syria 1.0 million 5% Argentina 245,000 1% Australia ~ 100, % USA ~ 27,000 table 0.10% ~ 20,000 oil 0.08% World ~ 24 million Plantings increasing in Europe, North Africa, and new world SHD in 1994 = 15 acres = 135,000 acres Paul Vossen

11 WORLD OLIVE OIL PRODUCTION Morocco 2.5% Syria 3.7% Turkey 4% Portugal 1.6% Other 4% Libya, Egypt, Israel, Jordan, Lebanon, Yugoslavia, Croatia, France, USA, Mexico, Argentina, Chile, Brazil, Peru, South Africa, China, New Zealand, Australia Tunisia 7.2% Greece 17% 400,000 t/yr Italy 24% 520,000 t/yr Spain 36% 800,000 t/yr 36 50% Total World Production: ~ 2.2 million metric t/yr IOOC Data Paul Vossen

12 Traditional Medium High Density

13 24 million acres worldwide Spain Paul Vossen

14 Spain Paul Vossen

15 Paul Vossen

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17 Spain Paul Vossen

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19 Paul Vossen

20 Trunk shaker and inverted umbrella WRAP AROUND Paul Vossen

21 Over-the the-row harvest Paul Vossen

22 SPANISH OLIVE OIL TRENDS 6 million acres of olives 80 % non irrigated 1 ton/acre 1 million new acres in last 10 years Irrigated 4 tons/acre annually Super-high high-density System (80,000 acres) New plantings have no EU subsidy * EU subsidy ~ $0.70/liter & $ /acre ECO 1 ton/acre = $106/acre 4 tons/acre = $423/acre

23 Large Mills

24 7 lines 1,000 tons/day 40,000,000 kilos/year Paul

25 Olive Oil NOT Petroleum

26 Italy ~ 2 million acres

27 Italy

28 Italy Paul Vossen

29 Italy Paul Vossen

30 Italy Paul Vossen

31 Italy Paul Vossen

32 Paul Vossen

33 Small scale production fantastic quality Paul Vossen

34 Large Italian Companies

35 Italy Trends 20-24% 24% of production with 15% trees 6,300 Mills mostly artisan (5 tons/day) Some large in the South 85% of oil Tuscany = 3.2% Small properties and high labor costs No new plantings No excess production Buys bulk refines blends - resells

36 Greece Paul Vossen

37 Greece Paul Vossen

38 North Africa Paul Vossen

39 Portugal 5,000 acre ranch Colossus harvest

40 Grape harvester for young trees and Colossus for mature trees

41 Morocco Antique Technology Paul Vossen

42 Paul Vossen

43 REFINING OLIVE OIL What to do with crude pomace oil, rancid oil, or oil from rotten olives Neutralizing Washing Odor Removal Paul Vossen Color Removal

44 Olive pomace being loaded into a hopper at an olive pomace refinery ery

45 Paul Vossen

46 Paul Vossen

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48 Paul Vossen

49 SUPERMARKET OILS Paul Vossen Bottom Line on Imports 99.3% of US olive oil is imported Most are poor quality and low priced

50 Cheap imports typically have defects #1 Defect = Rancid - old oils (not fresh) #2 Defect = Fusty - cheap oils - low cost producers from ground harvested or poorly handled fruit #3 Defect = Heated Flavor - Mix of refined & pomace oil up to IOC standard of nondetectable

51 Australia

52 Australia Paul Vossen

53 Argentina Paul Vossen

54 Medium Density 26 x 13 ft

55 Argentina Paul Vossen

56 Argentina Paul Vossen

57 Chile Paul Vossen

58 Chile Paul Vossen

59 Chile Paul Vossen

60 New World Imports Good Quality - Good Price Australia Chile Argentina

61 OLIVE OIL STANDARDS Extra Virgin Olive Oil Less Than % Free Acidity Less Than 20 ppm Peroxide Level Made Mechanically Taste Panel Rating of Zero Defects Taste Panel Rating of Some Positive Attributes Paul Vossen

62 NINE GRADES 1. Extra Virgin 2. Virgin 3. Ordinary 4. Lampante (Lamp) 5. Refined 6. Olive Oil 7. Crude Pomace Oil 8. Refined Pomace Oil 9. Olive Pomace Oil VIRGIN REFINED Paul Vossen

63 Sterol Content Tocopherols Polyphenols - Pigments Fatty Acid Profile Saturated Fatty Acids in 2-position2 Unsaponifiable Material Wax Content Stigmastadienes Erythrodiol + Uvaol Hydrocarbon Content Presence of trans fatty acids Color Aspect Free Acidity Peroxide Value UV Absorbency (bitterness & stability) Water and Insoluble Impurities Flash Point Metal Traces Halogenated Solvents Sensory Characteristics IOC STANDARDS Paul Vossen

64 Three Olive Oil Products Bulk & Low cost Refined $5.99 to $9.99/bottle $23-30 per gallon Medium Priced Imports Low to? Quality $5 to $13.99/bottle $30-50 per gallon Specialty Premium $10 30 per bottle $ per gallon Paul Vossen

65 Legal Standards Enforcement Laboratory Sensory Paul Vossen

66 USA MARKET 1. Olive Oil (extra light - refined) 2. Extra Virgin (bulk and retail) Problem: No US law enforces Extra Virgin Standard Only practical way to distinguish is by flavor Paul Vossen

67 Solutions USDA & CDFA Standards 2009 Independent Taste Panel Marketing Order (Commission) California oils = < 0.2 Free Acidity = < 10 ppm Peroxide = UV within IOC limits = Taste fresh with no defects Paul Vossen

68 Producing Extra Virgin Olive Oil Simple as Good Fruit no rot not frozen 2. Handled carefully no damage short storage 3. Processed quickly in modern clean equipment 4. Stored well clean stainless steel - purged 5. Sold within a year or less

69 Evolution of World Olive Oil Production and Consumption + USA Consumption (1,000 metric tons) PRODUCTION WORLD 1990/91 1, /96 1, /97 2, /04 3, /05 3, /06 2, % CONSUMPTION WORLD USA 1990/91 1, /96 1, /97 2, /04 2, /05 2, /06 2, % +146% Mercacei # 50 Feb-April 2007 Paul Vossen

70 PRODUCTION Y CONSUMPTION 1990/ / tm Production Consumption / / / / / / / / /9 1999/0 2000/1 2001/2 2002/3 2003/4 2004/5 2005/6 2006/7 Production Consumption

71 Olive Oil Consumption 2006 World PER CAPITA (liters) By Country 1. Greece France Italy Libya Spain Australia Cyprus Algeria Portugal Lebanon Syria Belgium Tunisia Croatia Palestine UK Jordan Netherlands Israel Canada Morocco Turkey Luxemborg USA 0.77 Mercacei # 50 Feb-April 2007 Italy 30% Spain 20% Greece 9% USA 8% France 4% Syria 3% Other 26% Paul Vossen

72 Mediterranean Diet Pyramid Paul Vossen

73 USA Olive Oil Production, Consumption, & Imports Production: 1.5 million L (0.06% world-0.7% USA) Consumption million L (8.1% world) Exports = 17 million L (7.7% USA) Imports million L (99.3% USA) From Italy 71% From Spain 15% From Turkey 5% From Greece 2% From Australia, Chile, Argentina 7% Paul Vossen

74 CHANGES IN OLIVE OIL CONSUMPTION FROM 1990 TO 2005 Country Whole Country Per Capita Argentina + 50% +131% Australia + 107% + 338% Brasil + 85% + 145% Canada + 145% + 513% United States + 121% + 428% Japan + 625% + 2,260% Mexico + 62% + 229% Russia -20% -54% European Union + 53% + 23% Parras Rosa, Torres Ruiz, Senise Barrio, and López Ortiz 2006 Paul Vossen

75 TO MEET CURRENT USA DEMAND for OLIVE OIL 70 million gallons = 265 million liters We would have to plant 300,000 acres of oil 5 t/acre & 42 gallons/ton How much might demand increase? Paul Vossen

76 Olive Oil in California Paul Vossen

77 California oil olive GROWERS & ACREAGE North Coast 268 growers 1,535 acres Central Coast 59 growers 376 acres S. Coast & S. Cal. 17 growers Sacramento Valley 94 growers San Joaquin Valley 39 growers 70 acres 3,216 acres* 707 acres* Sierra Foothills 51 growers 264 acres TOTAL 528 growers 6,168 acres (2005 to 2008) planted ~ 12,800 acres (660 growers ~ 20,000 acres Paul Vossen

78 CA Olive Oil Production Outlook ~ 500,000 gallons ~ 660,000 gallons ~ 860,000 gallons ~ 1,160,000 gallons CONSERVATIVE France produces ~ 1,000,000 gallons Paul Vossen

79 USA Production: < 1% Texas & Arizona > 99% California Central Valley Lower land cost Abundant cheap water Low cost labor & housing Hotter drier Higher yield Flat or more flat Paul Vossen Coastal & Foothill California High cost land Limited expensive water High cost labor & housing Cooler more moist Lower yields High quality perception

80 Existing California Approaches Small 1-55 acres Hand harvest Expensive Inefficient Exceptional quality Big variety Medium <100 acres Shaker or Colossus harvest Efficient Exceptional quality Big variety Large > 100 acres Grape harvesters Very efficient Big volume Excellent quality Limited variety

81 Two Main Systems Super High Density (High Density) 670 to 907 trees/acre Grape harvester Three varieties High Investment Cost Early Return Short Life Difficult to Manage Medium Density trees/acre Shaker or Colossus Any Variety Low investment Cost Late Return Long Life Easy to Manage

82 Direct Sales Unique Varieties Exceptional Quality Local Organic Good Story Small Scale Perception of High Value Unreasonable costs Yields: wide range

83 Boutique Industry Coastal & Foothill areas Small acreage Specialty varieties Vertical integration (fruit-oil-marketing) Attractive bottles Specialty marketing Prestige Acres planted in CA in the last 15 years ~ 3,000 High prices low volume high costs Creates a good market for everyone Paul Vossen

84 Medium density spacing x trees/acre Paul Vossen

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87 Harvest Challenge Small Scale Hand and Hand Assisted Devices Very slow Makes harvest > 50% of production cost

88 1:1 ratio $400/ton

89 1:1.8 ratio $222/ton Harvesting olives with air powered combs

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91 Comb Rake Heads

92 Comb Rake Heads

93 1:2.6 ratio $160/ton

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95 1:2.8 ratio $140/ton

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97 Boutique Production - CA Cultural Operations ~ $1,000 Harvest & Transport ($350/ton) ~ $1,000 Processing, Storage, Marketing, Overhead, Capital Recovery Yield of 2.5 tons per 45 gallons per ton Cost $ 80 per gallon and 500-ml bottle is $11.15 Retail $ 300 per gallon Paul Vossen

98 200 CA Artisan Olive Oils 148 Entered into LA Fair (2007) Paul Vossen

99 Very Expensive Oils $130 to $280 per gallon

100 Medium Scale Bulk & Direct Sales Unique Varieties Exceptional Quality Local Organic & Conventional Good Story Mostly old table olive orchards Reasonable costs Yields: very good

101 Perfect sized tree Natural Form 8 year old tree Spaced 22x11 14 ft. tall 12 ft. wide Single trunk Heavy crop Good growth Easy light management Shake or Colossus

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104 Skirted & Hedged

105 We don t t know yet??

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107 Olive Tree Shaker Wrap Around 1:3.2 ratio $120/ton

108 Paul Vossen

109 California Prune Harvester

110 California Pistachio Harvester

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112 Harvest Efficiency/ton Hand: $350-2,000 Hand held combs & shakers $ Trunk shaker nets ground $ Trunk shaker wrap around $ Over-the the-row grape $40-80 Over-the the-row colossus?? $75

113 Paul Vossen

114 Trees for Wider Spacing Vigor is high High Density System Low to medium precocity Wide range in fruit size Fruit matures from early to late Greatest range in flavors & oil styles ft needed between rows In-row spacing between trees = 9-11 ft Typical spacings 18x9 20x10 22x11

115 The VARIETY Choice 1. Tree Vigor Harvest method 2. Removal Force Harvest method 150 varieties = 90% 3. Fruit Yield Precocity 4. Oil Yield % quantity and extractability 5. Oil Flavor Style 6. Cold Hardiness 7. Maturity Season 8. Disease Resistance 9. Pollination 10. Fruit Size 11. Pit to Pulp Ratio 12. Salt Tolerance 13. Growth habit

116 Leccino Coratina ITALIAN Bosana Frantoio Pendolino Taggiasca

117 Cornicabra Picual de Jaén Cornesuelo SPANISH Hojiblanca Verdale Mission Picudo

118 Chalkidiki Kalamon Koroneiki GREEK Mirtoia Adramitini Megaritiki

119 Aglandau Picholine FRENCH Tanche Bouteillan Salonenque Grossane

120 Chemlali Souri Picholine Marocaine N. AFRICA MIDEAST Ayvalik Algeria Lebanon Morocco Syria Tunisia Turkey Zaity

121 Varieties with Potential Ascolano Coratina Frantoio Hojiblanca Kalamon Leccino Mission Picual Picudo Sevillano

122 Oil Quality Factors flavor & stability Variety ~ 40% Maturity ~ 40% Processing ~ 15% Growing Conditions ~ 5%

123 Style Generalities Mild Arbequina Ascolana Empeltre Kalamon Leccino Pendolino Maurino Picudo Sevillano Taggiasca Medium Aglandau Barnea Bosana Bouteillan Farga Hojiblanca Manzanillo Mission Strong Arbosana Chemlali Coratina Cornicabra Frantoio Koroneiki Moraiolo Picual Picholine

124 Cold Hardiness in Olives Hardy Arbequina Aglandau Ascolano Bouteillan Coratina Hojiblanca Leccino Maurino Mission Pendolino Picudo Picual Sevillano Sensitive Empeltre Frantoio Koroneiki Manzanillo Moraiolo Taggiasca Moderate Kalamon Picholine

125 Ripening Season Early Arbequina Ascolana Empeltre Farga Leccino Picual Sevillano Medium Arbosana Barnea Bouteillan Manzanillo Mission Moraiolo Pendolino Late Bosana Cornicabra Coratina Frantoio Hojiblanca Kalamon Koroneiki Picholine Picudo Taggiasca

126 Varieties - Superior Productivity 1. Arbequina, Arbosana, and Koroneiki 2. Barnea, Blanqueta, Leccino, Hojiblanca, Manzanillo, and Picual.

127 Varieties Superior Oil Yield 1. Coratina, Koroneiki, and Picual 2. Arbequina, Arbosana, Empeltre, Frantoio, Hojiblanca, Leccino, Manzanillo, Mission, Picudo, and Taggiasca.

128 High Quality Flavor Oil Varieties 1. Arbequina, Bosana, Frantoio, Koroneiki, and Picudo 2. Arbosana, Ayvalik, Cornicabra, Coratina, Hojiblanca, Leccino, Moraiolo, and Picholine Marocaine.

129 Very High Stability Oil Varieties Coratina, Picual, Koroneiki, and Mission

130 Varieties Superior Cold Hardiness Arbequina, Arbosana, Leccino, Hojiblanca, and Picual.

131 Varieties Superior Disease Resistance Arbosana, Blanqueta, Bouteillan, Frantoio, Koroneiki, and Leccino.

132 Olive Pollination Some varieties are very self fertile (maybe) Most are self sterile Barouni and Sevillano are incompatible Manzanillo and Mission are incompatible Frantoio and Leccino are incompatible Some are somewhat self incompatible Set better with cross pollination especially with bad weather Pollenizer within 200 feet

133 Taste Oil # 2

134 Varietal Trial Coastal Picual MI: 3.9 ( ) Overall Quality Average Balance Average Complexity Average Aroma Intensity Average Total Flavor Intensity Average Fruit Intensity Average Bitterness Average Pungency Average Sweetness Average Astringency Average Paul Vossen

135 Olive Oil Flavor Characteristics Mission Cultivar Harvestd (MI 3.8) - Sonoma Ripe Fruit Green Fruit Artichoke Grass (fresh Cut) Green Olive Fruit Other Banana Tropical Buttery Floral Nutty Other Ripe Fruit Ripe Olive Fruit Other(specify) "nettle" Wood/hay/straw Spice (specify)"cinnamon" Tomato Leaf Eucalyptus Mint Green Tea Green Banana Green Apple Herbaceous Specific Flavor Characteristics Paul Vossen Flavor Strength

136 Olive Oil Tasting Wheel Richard Gawel

137 Bigger Producers in CA Paul Vossen

138 Large Scale Better quality than defective imports Take advantage of California Good marketing - tastings Bulk Volume Low cost High yield

139 Super-High density spacing x trees/acre Paul Vossen

140 SHD Plantings in the World France 1% Morocco Tunisia 5% 5% Country USA Chile Portugal 10% 11% 13% Spain 55% 0% 10% 20% 30% 40% 50% 60%

141 Big SHD Production - CA Cultural Operations ~ $900 Harvest & Transport ($80/ton) ~ $400 Overhead, Capital Recovery Equipment & Land Yield of 5.0 tons per 42 gallons per ton Cost ~ $13 per gallon or $3.44 per liter Bulk $ 30 per gallon Paul Vossen

142 $ 210 per acre $ 42 per 5 tons/acre Paul Vossen

143 Pulled over-the-row machine

144 Australia Comparison Colossus vs. Shaker (07) Overhead Work = 24 hrs/day Trees/hr = 79 Ave. kg/tree = 18.0 Cost/hr = $ Cost/kg fruit $0.28 Shaker Work = 12 hrs/day Trees/hr = 74 Ave. kg/tree = 19.8 Cost/hr = $ Cost/kg fruit $0.23 Adolfo Levin Paul Vossen

145 Australian Harvester Comparison Trees per hour Side-by by-side shaker Braud grape (small trees only) Coffee (small trees only) Gregoire grape (small trees only) Colossus Leandro Ravetti Paul Vossen

146 California New Plantings Paul Vossen

147 September to September Paul Vossen

148 Arbequina Arbosana Paul Vossen Koroneiki

149 Taste Oil # 3

150 Varieties Based on System Super-High Density ( trees/a) Arbequina Arbosana Koroneiki High Density ( trees/a) All varieties Except for SHD Chiquitita FS-17, I-77, Don Carlo, Favolosa, Diana, etc.

151 Super-High High-Density Currently based on 3 varieties Specific patented clones Lower vigor High precocity Good characteristics New ones on the way Others DON T work!

152 More fruit at an earlier age Precocious Better set under vigorous conditions Non Precocious

153 Variety Characteristics Arbequina Vigor - L Precocity - H Yield H Flavor M Stability L Ripeness E Cold H Removal I Disease = Arbosana Vigor - VL Precocity - VH Yield H Flavor I Stability M Ripeness I Cold H Removal I Disease = Koroneiki Vigor - L Precocity - M Yield H/A Flavor R Stability H Ripeness L Cold S Removal VD Disease =

154 VARIETY FLAVORS Arbequina Aromatic, nutty, buttery, fruity, sweet Arbosana fruity, grassy, pungent Koroneiki herbaceous, green tea, fruity, ripe banana, bitter, pungent

155 3 rd Year Orchard Paul Vossen

156 Paul Vossen

157 Small sized tree Un- Natural Form Difficult light management Grape harvester

158 Works Well Mini central leader

159 Starting to get too big

160 Works Well Too wide Too thick

161 Thinning out to increase light

162 Hand Pruning

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164 Removes crop but efficient HEDGING

165 Topping Periodically according to vigor Removes a narrow top

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167 How much & when?

168 Center Tree Pruned

169 Vigorous Varieties in HD

170 Too close spacing

171 5-Year Old Picual 13 x 6.5 ft

172 Pruning to Keep Trees Small

173 Excess Vigor Poor fruit set and shading

174 Big Producers

175 Bulk and Retail

176 Comparison of HD and MD Super-High Density ( trees/acre) Few varieties High early production Light competition OK later production Big investment Unknown life span Good for large farms Medium Density ( trees/acre) All varieties work OK early production No special mgmt. Good later production Med investment Long life span OK for small farms Paul Vossen

177 Really Good Management High Density Year 3 = 0.5 tons Year 4 = 3 tons Year 5 = 4 tons Year 6 = 5 tons 7-8 to 3-4 alternate Super High Density Year 2 = 0.5 tons Year 3 = 5 tons Year 4 = 7 tons Year 5 = 5 tons 5-7 to 2-3 alternate

178 Super-High High-Density Yields Kg/ha 10.3 t/a Maximum observed 6.3 t/a Mean observed 3.1 t/a 3-66 t/a 5000 Minimum observed Orchard age (years) Joan Tous 2006

179 Establishment Cost Comparison of SHD and HD Systems in Italy SHD (4x1,5m) HD (6x6 m) Soil prep & layout Trellis or stakes 1, Trees + planting 6,400 1,200 Irrigation system 1, Total 10,400 2, X Tombesi Perugia, Italy

180 Investment Costs - /ha (Spain) 2 to 2.5 X Intensive 4,000 /ha Hedgerow 9,000 10,000 /ha trees/ha Joan Tous 2006

181 Pruning hours/ha (Spain)2 2 X Intensive hours/ha Hedgerow hours/ha trees/ha Joan Tous 2006

182 Harvest Costs - /kg (Spain)¼ to ½ X Shaker + umbrella /kg 1 ha / day Straddle harvester /kg 3-4 ha / day trees/ha Joan Tous 2006

183 Comparing harvesting costs in Israel ⅓ X Trunk shaker - $ 1,650 / ha. Overhead harvester - $533/ ha.

184 Continuous Flow System Paul Vossen

185 Continuous Flow System Paul Vossen

186 Paul Vossen

187 Paul Vossen

188 Paul Vossen

189 Automation Paul Vossen

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191 Yield of Olives / acre 1 TON PER ACRE 2 TONS PER ACRE 3 TONS PER ACRE 4 TONS PER ACRE 5 TONS PER ACRE > 6 TONS PER ACRE Poor management Weeds Drought - Pests Excessively vigorous or very weak growing conditions Poor pollination frost damage Alternate off year Poor Management Shading Pests Excessively vigorous or weak growing conditions Poor pollination hot-dry wind during bloom. Alternate off year Marginal Climate Foothills or Coastal Shading problems Poor bloom weather Alternate off year Good Management - Properly Spaced OK vigor and growing conditions Good Management Alternate on year Perfect growing conditions and doing everything right Excellent Management Alternate on year Perfect growing conditions and doing everything right

192 Yield of Oil / Ton of Olives Olive Variety Water Status - Ripeness Green over-watered Sevillano Ripe Sevillano - Green Ascolano Very ripe Sevillano Ripe Ascolano Over-watered, green Arbequina or Manzanillo Very ripe deficit-irrigated irrigated Ascolano Ripe over-watered Arbequina or Manzanillo Green over-watered Frantoio, Leccino Very ripe Arbequina or Manzanillo Green over- watered Mission - Ripe over-watered Frantoio, Leccino Ripe Frantoio, Leccino Green Mission Deficit-irrigated irrigated Arbequina or Manzanillo Ripe over-watered Mission Ripe, deficit-irrigated irrigated Frantoio, Leccino Ripe Mission, Picual Very ripe, deficit-irrigated irrigated Mission, Picual Oil Yield / Ton 10 gal - 4 % 15 gal - 6 % 20 gal - 8 % 25 gal % 30 gal - 11 % 35 gal - 13 % 40 gal - 15 % 45 gal - 17 % 50 gal - 19 % 55 gal - 21 %

193 Olive Oil Profitability Potential in California Positives Basic Resources Big USA Market Competitive cost with mechanical harvest Low water use crop Excellent CA Quality High CA Demand Low Import Quality Early Productivity Good Prices EU Subsidy decline Negatives Cheap imports Must market Quality to US Consumers Unknowns of SHD System tree mgmt. Unknowns of MD System Efficiency Paul Vossen

194 $ Summary SHD vs. HD (per acre) HD = ½ investment cost = + $3,000 (1 st yr.) HD = 5 more years to full production 10 th yr. (HD) $24,042 (SHD) $45,990 (-$22,000) 21 years to break even with SHD HD = 1 ton + (20%) per acre = +$1,250 HD = 3x harvest cost with shaker (-$84) HD= ½ pruning cost of SHD = +$200 HD =? Harvest cost with colossus HD =? Higher value oil cultivars? $/gallon

195 Paul Vossen University of California Cooperative Extension 133 Aviation Blvd. Santa Rosa, CA (707) Paul Vossen

196 What to look for in an olive oil Fresh olive taste Not fermented or rancid (no defects) Some bitterness Some pungency Attractive fruitiness Depends on use

197 Taste oil # 4

198 Understanding of Olive Oil Quality

199 UC Research Taste Panel 15 point profile sheet Cooperation with international panels Intensity of aroma, bitterness, pungency, fruit intensity, sweetness, total flavor, astringency, defects, complexity, balance, finish, overall quality, and positive flavor descriptors: Grass, herb, mint, artichoke, buttery, floral, apple, citrus, tropical, green tea, tomato, banana, berry, etc. Paul Vossen

200 Cook s s Illustrated Magazine Tasting Paul Vossen

201 OPPOSITE RESULTS GOOD OILS: Too bitter & pungent Too strong BAD OILS: Defect not recognized Familiar olive oil flavor Paul Vossen

202 Taste oil # 5

203 Good Fresh Oils in Bulk at a Decent Price $50-$70 $70 per gallon

204 FRESH OLIVE OIL (extra virgin) Grown in Placer County 25 acres of Olseninni Family Estate Woebegone Rd, Loomis, CA (916) % Picudo, 18% Bosana, & 45% Zaity Harvested December 10, 2008 Processed December 11, 2008 at the Corti Mill in Sacramento (1569 Folsom Blvd.) Polyphenol Content: 1,234 ppm Free Fatty Acid: 0.12% Peroxide Level: 8.3 meqo 2 Characteristic spicy flavor that is a balanced and complex blend of herbaceous grassy green and tropical ripe fruit flavors

205 Taste oil # 6

206 Sensory and Production Courses Paul Vossen

207 Robert Mondavi Institute Olive Center Paul Vossen

208 Paul Vossen

209 Paul Vossen University of California Cooperative Extension 133 Aviation Blvd. Santa Rosa, CA (707) Paul Vossen