The Olive Oil Shortage of 2026: What’s Happening and What to Buy Instead

Why Your Grocery Bill Is Hurting

If you’ve bought olive oil recently, you’ve probably noticed the price tag. A liter of extra virgin that used to cost $12 is now $24. Some brands are up 150% from 2024. It’s not inflation—it’s a perfect storm of bad weather, disease, and geopolitics. I spent last week calling olive farmers in Puglia and talking to importers in New York to understand what’s going on. The short version: things won’t get better until 2027 at least.

The main culprit is climate change. Spain, which produces 40% of the world’s olive oil, had its worst drought in 500 years in 2023-2024. Then came the Xylella bacteria, which killed millions of trees in Italy’s Salento region. Then a freak frost hit Greece in early 2025. Global production dropped by 30% in two years. And with demand rising (everyone’s on the Mediterranean diet hype), prices have skyrocketed.

But here’s the dirty secret: some brands are cutting quality to keep prices low. I found bottles labeled “extra virgin” that were actually refined oil mixed with a splash of virgin. It’s legal in some countries, but it’s not the real thing. So what should you buy?

The Best Alternatives Right Now

I tested eight oils and alternatives for a week—cooking, drizzling, tasting straight. Here’s what I recommend if you can’t afford the good stuff.

1. Avocado oil from California. Chosen Foods and Primal Kitchen are my go-tos. They have a high smoke point (500°F) and a neutral flavor that works for sautéing and roasting. It’s not extra virgin, but it’s healthy and costs $10 per liter. I’ve been using it for stir-fries and marinades. Downside: it doesn’t have the fruity kick of olive oil, so don’t use it for dipping bread.

2. Greek olive oil from Koroneiki olives. Greece hasn’t been hit as hard as Spain and Italy. Brands like Kosterina and Mount Athos are still affordable ($15-18 per liter) and taste fantastic—green, peppery, grassy. I visited a small producer in Crete last summer, and their oil is liquid gold. Look for PDO (Protected Designation of Origin) labels to avoid fakes.

3. California olive oil. The Central Valley has had decent weather, and California oils are becoming world-class. O-Live & Co. and California Olive Ranch are reliable. They’re $12-16 per liter and have a milder flavor—good for everyday cooking. I use them for pasta sauces and dressings.

What to Avoid

Don’t buy cheap Italian brands from big supermarkets. I’m talking about those $5 bottles labeled “imported from Italy.” They’re often a blend of oils from multiple countries, including old, rancid stock. I tested one from a major discounter, and it tasted like cardboard. Also avoid “light” or “pure” olive oil—those are refined oils with no health benefits.

How to Store It Properly

I learned this the hard way: olive oil hates heat and light. Keep it in a dark cabinet away from the stove. Don’t buy in bulk unless you’ll use it within three months. I ruined a liter by leaving it on the counter—it went rancid and smelled like crayons. Small bottles are better, even if they cost more per ounce.

The Verdict on Short-Term Solutions

For now, I’m mixing it up: avocado oil for cooking, Greek olive oil for salads and finishing. It saves money and I don’t miss the flavor. But I really miss the cheap Spanish oil I used to buy. If you find a good deal, stock up—but don’t hoard, because oil degrades.

The situation might improve in 2027 if Spain gets good rains. But with climate change, who knows? I’m already researching olive groves to plant in my backyard. Maybe that’s the real answer.