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NewsOils and Fats Sector Coverage

Structural Hurdles in Morocco's Olive Oil Sector: 11,000 Traditional Mills Impede Quality and Export Ambitions

Fats and oils processing
October 18, 2026
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زيت النخيل أصبح وقودا لسيارات السباقات

Morocco's olive oil industry is grappling with a sharp industrial paradox that threatens its international competitiveness, as a deep gap emerges between modern infrastructure and the widespread presence of traditional mills. While approximately 67% of the national harvest is directed toward crushing, official data indicates that the dominance of traditional units directly contributes to rising acidity levels and a decline in global quality standards.

The current manufacturing map reveals about 948 modern and semi-modern units with an annual capacity of 1.8 million tons. In contrast, the traditional fabric remains overwhelming, with nearly 11,000 mills operating outside strict regulatory oversight, particularly in rural areas, where they receive crops from small farmers and lack basic technical control standards.

Geographically, the Fez-Meknes region leads processing operations with 62% of national capacity, followed by Marrakech-Safi at 16%, while the remaining shares are distributed across the Tangier-Tetouan-Al Hoceima, Oriental, and Beni Mellal-Khenifra regions. Despite the Ministry of Agriculture's expectations to produce 200,000 tons of oil this season—a 105% increase—the quality classification of the product remains a cause for concern.

Statistics from the Professional Interprofessional Olive Federation (Interprolive) show that Extra Virgin Olive Oil (EVOO) represents only 10% to 15% of total production, while the share of Virgin oil ranges between 25% and 35%. The major dilemma lies in the fact that 'Lampante' oil, which is unfit for direct consumption, accounts for 25% to 40% of output. This is attributed to poor storage conditions in plastic bags and crushing processes that lack temperature control.

This reality limits Morocco's export capabilities; Virgin oil shipments in 2024 reached only 8,593 tons, valued at $79.7 million. To address this structural imbalance, the 2030 contract-program aims to inject 16.9 billion MAD in investments, with government support totaling 8.3 billion MAD. The goal is to raise production to 3.5 million tons of olives and reach 100,000 tons in exports—an ambition contingent upon modernizing the crushing system and transitioning traditional activity toward organized channels.

Source: Le 360 Arabe