The Economic Development of the Greek Olive-oil Industry with Special Reference to Messenia Province

This study examines the economic development of the Greek Olive Industry. Its focal point is the impact of recent socio-economic processes on the structure and organisation of the industry. In the first part, which is concerned with the rural sector, it is argued that olive cultivation and its development through time, has been constrained by a number of social, structural and institutional factors which are identified and their influence is then discussed. It is contended that recent changes due to the imposition of the EEC regime have brought about socio-economic processes which have considerably affected the mode of organisation of the rural sector in particular and the whole industry in general. In the second part of this study, which is concerned with the urban sector, it is argued that during the last decade, rapid change has transformed the outlook of the second-stage processing of the industry. This change has affected the structure in two ways. First, there has been a large increase inkhe number of small packing units which operate in domestic market niches and compete for a share in the export trade. Secondly, there has been a concentration of output and economic power in the hands of three leading packers, two multinational subsidiaries, and the cooperative enterprise Eleour7_giki. The financial base of this industrial change, though, is somewhat artificial. In particular, expansion in production and the modernisation process which has been taking place recently, are largely based on the CAP support system to the second-stage processing and packing, and also to large amounts of earnings which every year go through tax evasion. Abstract List of Tables List of Figures Glossary Acknowledgements INTRODUCTION PART ONE Page III I v XVII X X X X VList of Tables List of Figures Glossary Acknowledgements INTRODUCTION PART ONE Page III I v XVII X X X X V 17 TABLE OF CONTENTS CHAPTER ONE OLIVE-OIL AND OLIVE CULTIVATION IN THE ECONOMY OF RURAL GREECE THE CULTIVATION OF THE OLIVE TREE: ENVIRONMENTAL CONDITIONS AND EVOLVING TECHNIQUES OF PRODUCTION Introduction 1.1 Physiological Characteristics and Historical Development 1.2 The Influence of Environmental Factors 1.2.1 Climate and Temperature 1.2.2 Rainfall 1.2.3 Soil 1.3 Methods of Cultivation and the Pattern of Production 1.3.1 Soil Cultivation and Weeding 1.3.2 Fertilisation 1.3.3 Irrigation 1.3.4 Alternating Production Pattern 1.4 The Application of New Techniques 1.4.1 Choice of Environment 1.4.2 Land Preparation 17