4 2005 ENGLISH EDITION Magazine num.

3 Nurstech - October 2004

Orchards
Interview with Bill Colleges super-high density California) Santa Rosa JuniorCarriere (President Borges of orchard

Industry Growing Olives

California Olive Oil industry Survey Statistics

Health of Plants Research

Superintensive orchards show less signs of fuit fly damage Interview with Dr. Joan Tous
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Summary
Editorial, page 3
Our Industry is Born Again!

Orchards, page 4
Cover: Guillermo Romero (California Olive Ranch, Inc.)

Olive Glenn Orchards, Interview with Bill Carriere, President, Borges of California

Olive Oils, page 7

California Olive Ranch Brings Home the Gold!

Machinery, page 8
New systems for the application of herbicides in olive orchards.

Industry, page 11
California Olive Oil industry survey statistics.

Research, page 18
Interview with Dr. Joan Tous

News, page 22
USDA Standards FDA aproval Law suit againts Napa Valley Naturals.
High density olive orchards magazine Direction: Xavier Marques E-mail: xmarques@nurstech.com http://www.olint.com

Edition:

NURSTECH 612 East Gridley Road Gridley, California 95948 (USA) Phone: 530 846 0404 Fax: 530 846 2549 E-mail: xmarques@nurstech.com http://www.nurstech.com

EDITORIAL From the Editor

Our Industry is Born Again!

ear readers: first of all we would like to express our gratitude to our promoters and thank our readers for their positive feedback about our magazines last edition. They have been invaluable in helping us select new topics for this edition, which we hope will be of interest to you. In this our Fourth Edition of Olint magazine we have included several articles and industry news. We deemed it important to give our readers a global view of the California industry, which is detailed in the statistical survey authored by Paul Vossen and Alexandra Devarenne (University of California). It attests to the significant increase in the number of super intensive plantations throughout the state, and shows the new technologies and olive varieties being used. This survey is an excellent tool to quantify and analyze the size of our industry. Also, we have interviewed producers like Bill Carriere; due to his connection with Borges and Star Fine Foods, Bill has extensive knowledge about the oil industry and is president of one of the states largest walnut producing companies. Other news articles more technical in nature deal with the introduction of novel techniques for herbicide application in super intensive plantations. There is also an interview with Dr. Joan Tous, an engineer best known for having led the team that developed the Arbequina i-18 clone. During last year the California Olive Oil Council continued its rapid rate of growth and achievement, not only as far as the number of members but also the number of olive oils it certified. Thanks to this organization our industry is now becoming established and starting to receive the attention it deserves. Last year

the COOC requested from the USDA a revision of the standards for grades of olive oil, which had not been modified since 1948. Also noteworthy is its legal victory against a producer over the issue of mislabeled olive oils. This victory sets a precedent for other producers and oil importers, who have decided to abandon these fraudulent practices as a result. An intense drought is afflicting the main European producers this year, particularly Spain. Over 80% of European plantations consist of dry-farming operations, which means that not only this years, but also next years harvest will be affected due to lack of new shoot growth. Two consecutive years of diminished European production, combined with unfavorable Euro-Dollar exchange rates, are causing imported oil prices to rise. It is a positive development for California producers. Worldwide consumption of olive oil continues to rise. This trend can be attributed in part to prosperous nations like Japan and the United States recognizing the health benefits of olive oil and, in general, the Mediterranean diet. The Food and Drug Administration has authorized olive oil to be marketed as reducing the risk of heart disease. That conclusion has been reached in two other occasions and is the result of intense and detailed studies. Coronary heart disease is the #1 killer of both men and women in the United States. A recent study by American scientists confers olive oil the same properties as the antiinflammatory Ibuprofen. It can be stated that a radical change has taken place during the past year: olive cultivation for oil production in California

is no longer just a recreational activity; it offers very interesting rates of return, plus it is an excellent option for agricultural companies that want to diversify. The establishment of large-scale commercial plantations in the state leads us to predict the construction of additional highcapacity mills, which will make it possible for small producers to process or sell their olives to bigger companies for processing and commercialization. Such is the case of California Olive Ranch, near Oroville (Butte County). The high quality of its oils was recognized last year at the Los Angeles County Fair Olive Oil competition where it won several awards. As result of increased demand the California Olive Ranch is now contracting with producers who are interested in selling their olives. All the aforementioned factors account for olive cultivation in California being perceived today as a very attractive, technologically advanced investment, a sure bet for the future. Now we can really say that our industry is born again!

ORCHARDS

Olive Glenn Orchards

Interview with Bill Carriere, President, Borges of California
O: Can you describe the history and activities of your company? Olive Glenn Orchards is a three-way partnership with the Carriere Family, Corporation Borges, and a private group lead by John Post from Ag. Advisors. We purchased the property we are standing in officially in 2003. We planted the first planting in June 2004. Lets see, that was 125 acres, this is 125 planted in late September/early October of the same year 2004. We have 112 acres planted this June. We are going to plant another 112 acres in October of this year and 86 in the fall of 2006, a total of 560 acres approximately. This includes 20 acres of Arbosana clone I-43, 20 acres of Koroneiki clone I-38 and the balance in Arbequina clone I-18.
First planting, June 2004

he was advising with California Olive Ranch. We went to a field day, and talked to John. We then proposed a joint venture. John wanted to do something on his own. He has his own business and didnt want to be the farmer day to day. We wanted to do the farming day to day so the partnership made sense. He has great expertise and knowledge of the trees and the cultural practices and of course Borges-Star Foods has connections in the olive oil industry . We wanted to diversify our operations. We toured many orchards and mills in Spain. I think it was great because of the 3-way partnership with John, Borges and us to put the things together. O: What are the future goals of Olive Glenn Orchards? We will finish the next olive planting this fall. That will be the 4th planting. Then we have the 5th planting for the fall of 2006.We now have 450 and another 110 acres eventually. It depends on what we do with the prunes and the manzanillo olives. There is plenty of land around to expand. As we were talking earlier, we are going to build a processing plant using similar strategy as we are in the walnuts. We have the base acreage which keeps the mill efficient and then we can source olives potentially from others around. This will give investors that plant 40 acres or so an opportunity. This is a big investment. Someone who plants 500 acres will probably build their own plant as well. If someone plants 40 acres, we may be able to help them out. Long term is to develop this orchard into its own brand, selling it through our partnership with California Olive Ranch, or through our partnership with Borges, Borges USA, Star Fine Foods and selling a little bit on our own. I dont think well ever be in the position like the little olive mills in Spain that sell all of their production at the farm gate. That would be great but I dont think we

O: What are the other products you produce and their acreage? Olive Glenn Orchards has only almonds. But we are part of the Borges group and obviously have olive oil connections in Spain. Borges of California is the company that most of our investments are under. We have 1300 acres of walnuts, also we are buyers and traders of walnuts and almonds as well. O: When and why did you first become interested in olives? Well of course being connected with Borges, we have had an interest in olive oil for a long time. I was actually approached a long time ago by Joan Tasias a friend of Antonio Pond. He wanted to see if we were interested. He knew we had interests in Spain. It seemed very interesting at that time but we werent ready and didnt have enough experience or exposure. The last few years, before we made the investment, John Post, being our advisor for many many years and his father before that, mentioned that

Certainly in the next 20 years there will not be an over supply of California olive oil.
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"I am not looking at Spain as competition; I am looking at them as consumers."

Bill Carriere, first arbequina I-18 plants

are going to get there any time soon. Maybe all of the above.We need to take advantage of all the links in the chain that we have. O: What is your opinion regarding the future of the olive oil industry in California? The potential is there for unlimited growth. Certainly in the next 20 years there will not be an over supply of California olive oil. Prices will be affected a little by the world market but there is always going to be a niche for California anything, whether its olive oil or walnuts, it doesnt matter. O: What do you think about the quality of California olive oil? Well see. From what weve had with tastings, and awards California Olive Ranch and other small producers have been winning, I have no reason to think anything different. One of our challenges is to get the consumers, California consumers, first to appreciate the difference between pomace oil and extra virgin. Thats a big challenge. O: Do you think diversification is important for agricultural companies in the state? Yes. That is one of the major reasons we went with John and Borges. It made

sense. Diversification was a factor. Do we plant 500 acres of almonds when the price is at its historical high. Its going to cycle, its just a matter of when. With walnuts we already have our base. Theres really more walnuts we can store from some other places. Build brands rather that more acreage. So we are kind of in our infancy where we are planting acres to get the base first, then we will build our brand and our marketing strategy. O: You are involved in the almond industry. Do you think there are similarities between almonds and olives? Some similarities are the soil types and where you can plant them. A lot of people say you can plant olives anywhere and they wont die. Well thats true, but if you want good production Im still convinced you need decent soil and decent water. The almonds are not going to stay at $3.80 a lb. For the short term, yes. When the almond industry goes back through the cycle, prices will come down . I think olives are a good alternative. Were planting almonds but we are also planting olives. If I had my choice between almonds and olives today I would have to choose olives because in the short term almonds are going to have to peak sometime soon and come down. By the time we get into production with almonds perhaps the price will be back down. Where olives I think has a longer term upward. But as far as similarities in the

The almonds are not going to stay at $3.80 a lb, prices will come down. If I had my choice between almonds and olives today I would have to choose olives.
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industry, both are considered healthy products. O: What do you think about a mechanized high density olive cultivation as a viable alternative for farmers ? Well in California in general I think labor is such a huge cost, its probably the only way you can do it. Picking Manzanillo olives is a huge cost. One of the major costs of the whole thing is picking. Its conducive to drip irrigation which is a water savings, there are certain efficiencies there. Obviously mechanical harvesting is a big one. These trees can grow very well in some rice soil so who knows, maybe we can plant them in a lot more places than we thought. So far, this has been an excellent use of this soil. They are growing great. Climate is good. I think we have some microclimate differentiation between this side of the valley and the other side so we can harvest earlier, so theres an advantage. Less rainfall as well. O: You have a lot of connections in the olive oil industry worldwide and particularly in Spain. Right now Spain is the largest producer of olive oil. What do you think about Spain as a long term producer compared to California? From what I have seen, they are going to be forced, just as we are, to switch to this type of planting. There is always going to be traditional plantings. They have trees that are hundreds if not thousands of years old. I have seen quite a few plantings of this high-density thing, not just in Spain but also in Australia, Chile, Argentina and Morocco. Spain will always be a producer in my mind. I am not looking at Spain as competition; Im looking at them as a consumer. Its not a weird thought to think that we might export some of this oil. Its got California on it. Most of the world, feel anything from California has a little premium just because its from California. They think beach and Hollywood and whatever. I think Spain will always be a producer as will Italy, as will all of these countries. I think California is unique. We can plant all of these different crops, put California by it and it has a premium. O: Do you think that with this system California producers will be able to compete with the European producers?
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Definitely! Initially there were some questions as to why were planting this when Spain is so cheap. There are always other countries that are cheap. Well they said the same thing about Pistachios, and now we are the world leader in Pistachios. They said the same thing about Almonds, now we are the world leader in Almonds. California has the unique ability to market their products. With the highdensity plantings we have overcome the big problem, labor. Yes, we use a lot of water but not as much as some crops and we have the water. You cant plant in the middle of the desert where there is no water. Its just like other crops. Ive seen walnuts in Spain. They have gone to great lengths to make their yields come up even close to ours. We have a huge advantage here. Q: What do you think about the prospect of the USDA changing the standards of olive oil by the end of the year? I think that is great. The current standards are from the 1940s or before. This is a world market. We need to be on par with the world. I think all legitimate producers whether they are here or in Europe, Borges included, have asked, How much hazelnut oil have you included in your oil? They say absolutely none How much pomace oil do you label as extra virgin, they say none. How much virgin do you label as extra virgin, they say none. We want everybody to be on the same playing field, even internationally. Its to our advantage naturally, because we are planning on producing 100% extra virgin top quality. We want everyone on the same playing field, I am in support of that. O: The good news this year has been the approval of the FDA to sell olive oil as a product that reduces the risk of heart disease. What do you think about it? Definitely. We are working on the same thing with walnuts. The FDA needs to treat whole foods differently than manufactured foods. Walnuts are a whole food. We didnt sprinkle Vitamin D on it and then say it is a high source of Vitamin D. It has Omega-3s in it naturally. For us to say its high in Omega-3 is easy for them to certify. Olive oil should be certified as a whole food, because there are no additives or preservatives added. It should be treated differently just like walnuts.

John Post, Gus Lohse and Bill Carriere at his first planting one year later

OLIVE OILS

California Olive Ranch Brings Home the Gold!

Grown and Pressed in the Fertile-Rich Sacramento Valley, All Four Extra Virgin Olive Oil Varieties Honored In Prestigious Tasting Competition

ach of the four extra virgin olive oils produced by California Olive Ranch, the countrys largest and most innovative olive oil orchard and mill, received prestigious gold medal recognition as part of the world renown 2005 International Olive Oil Tasting Competition. The four distinctive oils grown and produced by California Olive Ranch Arbequina, Arbosana, Koroneiki and Estate Reserve Blendcompeted against more than 300 extra virgin olive oils from 18 participating countries. In addition to the gold medal honors, the Arbosana and Estate Reserve Blend earnedBest of Class awards. Now in its sixth year, this special olive oil competition was organized by the Los Angeles County Fair in cooperation with the California Olive Oil Council (COOC), and judged by an international panel of olive oil taste experts. With a velvety texture and rich green color, California Olive Ranchs extra virgin olive oil is derived from three olive varieties relatively new to California agriculture and American consumers. Arbosana and Arbequina olives are native to the Barcelona region of Spain while Koroneiki olives are most commonly associated with Greece. All three olives produce their best oil when harvested early while the fruit is still green, providing the freshest taste and highest level of antioxidants for a balanced and peppery finish. With more than 300,000 olive trees growing on 500 acres of land in

Oroville, California Olive Ranch is the most technologically advanced olive orchard in the country today. In fact, the company was the first in the United States to utilize a Super High Density tree planting system (common in the wine industry) that allows a significantly greater number of trees per acre, a dramatic increase in annual yields per acre, and an ability to harvest their first crop much earlier. California Olive Ranch trains their olive trees to grow on a trellis, which allows them to be harvested mechanically instead of manually. With a state-of-the-art mill on site, the olives are pressed within a maximum of 90 minutes after leaving the tree. The speed to crush the olives produces an extra virgin olive oil with a remarkable fresh taste that complements California-grown produce, fresh cooked pastas and is a perfect finish dressing for meats and fish. While technological in nature, the Super High Density planting system and the mechanical harvesting process are important for consumers as they significantly reduce harvesting costs and, in turn, allow consumers to enjoy an award-winning gourmet extra virgin olive oil at an everyday reasonable price. More information about California Olive Ranch and their extra virgin olive oils is available at www.californiaoliveranch.com. In addition, these and other awardwinning olive oils will be on display at the Los Angeles County Fair scheduled for September 9 through October 2, 2005.
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MACHINERY

New Systems for the Application of Herbicides in Olive Orchards

Most herbicide application systems on the market today have certain limitations due to herbicide drift factors. As a result orchards cannot always be treated when necessary.
Olive orchard one week after the application of herbicide using the antidrift system.

new herbicide application now available on the market significantly reduces the problem of herbicide drift, it comes in the form of a new model of herbicide application shafts that can be used successfully with olives, fruit trees, vines and almond orchards, to name a few. The application shaft is coupled to the front of the tractor allowing a clear and unobstructed view during operation. The tank containing the herbicide is coupled to the rear of the tractor.

Control of the working width of the shafts is hydraulic. Because of cylinders along the plantation, control and regulation is instant and independent for left or right sides This system adapts perfectly to the different plantation segments of each crop. There are models for grapevines that have a treatment height of 6.5 ft to 11.5 ft, for olive and fruit trees with a treatment height of 10 ft to 16.5 ft and other types of crops such as citrus fruits and almond trees which
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Application of herbicides using the 90 cm antidrift cone.

require a treatment height of up to 23 ft. Height is controlled hydraulically. Another model that provides independent control of the treatment screen, from 90 at the top to 45 at the bottom, ideal for plantations located on either tablelands or hillsides. The hydraulic cylinders are controlled by a hydraulic distributor or through an electro-hydraulic handheld system. Each treatment screen is equipped with a safety retraction coil. Should the screen collide with the trunk of the plant, it recedes, and resumes its original position without harming the plant once past it. There are two types of treatment screens to best meet the needs of each user: 1. Strip System: Antidrift protection for treatment screen, with polypropylene fibers around the application screen, significantly reduces air drift. The screens are available in four different lengths: 13.7 in, 27.5 in, 31.5 in and 3.2 ft. An optional protective sheet can be installed for maximum protection. 2. The 35.5 in antidrift cone: The application cone is made from highdensity polyurethane with plastic

fiber side protection. This type of full protection system affords excellent treatment for high-density olive orchard systems and young fruit trees. The advantages of these new systems are the following: Cost reduction: Simultaneous application of the herbicide on both sides saves considerable time and fuel. Easy to use: The hydraulic control system allows high quality application, as well as providing comfortable, forward-facing operating position. Improved Treatment quality: The latest in antidrift systems allows the treatment to be carried out even in windy conditions. Shaft application deposits herbicide with much greater accuracy and from a much closer distance than traditional application. This provides a safety mechanism during spring-summer applications when treating young plants selectively, preventing the herbicide from coming in contact with the plants. Multipurpose machinery: Operators can use the same chassis to mount different equipment, such as a sweeper to collect pruning debris, or a rotary disk harvester with blades to cut weeds in organic plantations.

Antidrift protection for treatment screen.

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INDUSTRY

California Olive Oil Industry Survey Statistics 2004

University of California Cooperative Extension, Sonoma County
Paul Vossen and Alexandra Devarenne

his survey was funded by the COOC to determine the size of the California olive oil industry and document production trends over the last few years. We consulted with the United States Department of Agriculture (USDA) National Agricultural Statistics Service California Statistical Office in Sacramento for advice on collecting the data we sought. Over the last six months we obtained mailing lists from all of the Agricultural Commissioners and UCCE offices in each county known to have some olive oil production. We also researched producers on the internet to find people in the olive oil business that were not on our mailing lists from other sources. We held personal interviews with producers in several of the key production areas to find growers, processors, and nurseries that may have been overlooked. We mailed a survey to over 2,000 people on these mailing lists plus all of the current and past COOC members. The survey was designed to give as complete a snapshot of the industry as possible. It had three parts, addressing nurseries, growers and processors. By sending all three parts to each person or company we contacted, we received information that might otherwise have been missed: an orchard at a business that is primarily a nursery, for example. The survey inquired about plans for future plantings as well as about production in the past. This survey followed University of California protocol regarding research involving human subjects. Information gathered in the survey was to remain anonymous, confidential, and the surveys were to be destroyed once the survey is complete. Finally, we contacted every known producer by phone, fax, or email who had not previously returned the survey. This approach has garnered a positive response from a very high percentage of the producers in California. In any survey work such as this, there is never a complete response by all the growers, processors, or nurseries. With the limited number of nurseries (17) selling oil olive trees and the small number of mills (27) processing olives into oil, however, we have a very high degree of confidence in the data generated from those sectors of the industry, since we received a response from all of them. We ultimately received data on all of the known olive oil growers in the state using lists provided by county Agricultural Commissioners and UCCE Farm Advisors. Some data is not complete, however, and had to be estimated, especially from the counties of Tulare, Glenn, Tehama, and Butte, because the amount of fruit that is diverted to oil from the table industry is so variable. In years when fruit prices are higher due to low crop volume and larger sized fruit, it almost all goes into processing for table fruit. In heavy cropping years, when prices are low, or when fruit is undersized or becomes damaged by olive fruit fly, more gets diverted to oil processors. We believe that we reached about three-fourths of the olive oil growers in those counties and had to estimate the missing numbers, acreage, and production figures based on cross references with the amount of oil produced in the mills nearby. The mills were used as a reference point for gallons of oil produced that was calculated back to acreage and traditional fruit yields from those types of
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orchards. In some areas a significant amount of oil is produced from fruit that is harvested by Mexican farm laborers or labor contractors seeking work in the months of November, December and January. We contacted some of the businesses known to do this work with our surveys by mail and in phone conversations, but the response rate was poor. Estimates therefore were included for these orchards. Anecdotal evidence from numerous sources cited the existence of old abandoned orchards throughout the entire state, but little reliable data was obtained regarding these orchards. Abandoned olive orchards may number as much as an additional 2,000 to 5,000 acres in California. Since these orchards are not harvested, they have not been included in our results.
Figure 1

PROCESSING MILLS There are 27 operating mills of significant size in California, producing from about 100 to over 100,000 gallons of olive oil annually. Most (60%) of the processors can be classified as very scale processors producing less than 5,000 gallons per year and only 7% of the states olive oil. The medium sized producers (18%) that are making between 5,000 and 15,000 gallons of oil per season produce 13% of the olive oil. The bulk of the production, 80%, comes from the remaining 22% of the producers in their larger scale mills. Californias 27 mills produced 247,550 gallons of olive oil in 1999-00, 138,446 gallons in 2000-01, 246,491 gallons in 2001-02, 265,300 gallons in 2002-03, 306,065 in 2003-04, and 383,050 gallons in 2004-05 (figure 1). Olive oil production in California has increased by an average of about 20% per year over the last nine years. The only year that there was a decline in production was in 2000-01 due to a statewide reduction in crop caused by poor weather conditions in an off alternate bearing year. Production the following year (2001-02 showed the largest single year increase of 78% above the previous year (table 1). Production should continue to increase each year over the next five years or more as nonbearing acreage comes into production. GROWERS There are 528 reported olive oil growers in 38 California counties in 2005. The number of growers in each county ranges from 1 to 114. The top eight counties
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have 52% of the growers, so the numbers are fairly evenly split over most of the remaining counties. The average number of growers per county is 14. The counties with the most growers are Sonoma (114), Napa (75), San Luis Obispo (27), Mendocino (18), Butte (18), Amador (16), Marin (14), and Lake (10) (see figure 2). Growers in those eight counties represent 42% of the states acreage and 50% of the oil. Dividing up the 38 counties reporting olive oil production into six geographic regions provides an interesting perspective on how the amount of production and number of growers are situated within the state of California (figure 2). The North Coast (Alameda, Contra Costa, Lake, Marin, Mendocino, Napa, Santa Clara, and Sonoma) has the largest number of growers 268 (51%) and 1,535 acres (25%), with the smallest average sized oil olive orchards (5 acres each). Many growers in this area have less than one acre to just a few acres. This area has 18% of the states 2004-05 production and most of the orchards are nonbearing or just starting to come into production. The vast majority of the orchards are planted to Italian varieties such as Frantoio, Leccino, and Pendolino in the high-density system (250 to 300 trees/acre). Many wineries also have small olive plantings for oil, often incorporated into landscaping. The Central Coast (Monterey, San Benito, San Luis Obispo, and Santa Barbara) has 59 growers (11%), 376 acres in oil olives, which is 6% of Californias acreage and 3% of the oil production of 2004-05. Its characteristics are similar to the North Coast with an average orchard size of 6 acres. The South Coast and Southern California (LA, Riverside, San Diego, and Ventura) has 17 growers (3%) and 70 acres, which is 1% of the states olive oil acreage with an average size of 14 acres each and 1% of the production of 2004-05.
Figure 2

The Sacramento Valley (Butte, Glenn, Sacramento, San Joaquin, Shasta, Solano, Sutter, Tehama, Yolo, and Yuba) has 94 growers (18%) with the largest number of acres (3,217), which is about half (52%) of Californias land planted to oil olives with the largest average sized farms. It also produces over half of the states olive oil (54%). This is a traditional olive growing area with many old widely spaced orchards (100 trees/acre) planted to Mission, Ascolano, Sevillano, and Manzanillo varieties. It was also the first region to plant orchards in the super-high-density system (670 to 900 trees/acre) with Arbequina, Arbosana, and Koroneiki varieties. Some of those orchards are now in full production.

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The San Joaquin Valley (Fresno, Madera, Merced, San Joaquin, Stanislaus, Tulare) has 39 growers (7%), 707 acres (11%) of the acreage, and 21% of the production. This region has the second largest average sized orchards with several new growers that have planted into the super-high-density system. The Sierra Foothills (Amador, Calaveras, El Dorado, Nevada, Placer, Tuolumne) has 51 growers (10%), 264 acres (4%), and 3% of Californias production. This region has a mix of many widely-spaced small-scale orchards of old varieties and small new plantings of primarily Italian varieties.
Figure 3

The top eleven olive oil producing counties by gallons are shown in figure 3. These counties represent about 75% of Californias total olive oil production (383,050 gallons) and have 19 of the 27 major processing mills. The leading county is Butte with 124,000 gallons of oil production followed by Tulare with 39,000 gallons, Tehama with 25,500 gallons, Glenn with 21,000 gallons, Sonoma with 17,950 gallons, Marin with 17,500 gallons, Alameda with 10,500 gallons, Napa with 9,870 gallons, San Joaquin with 9,500 gallons, Fresno with 8,500 gallons, and San Luis Obispo with 2,400 gallons of oil produced in 2004-05. The leading olive oil producing counties have many mature table fruit variety orchards in full production that have traditionally provided a significant amount of Californias olive oil. Butte County was also the first to plant significant acreage into the superhigh-density system, which is reflected in its production. In 2004 California had 6,168 acres in oil olives. Figure 4 shows the top 12 olive oil producing counties by acreage in California. Butte with 1,553 acres and Tehama with 979 acres have both old mature orchards as well as significant new acreage planted to the super-high-density system. Sonoma County with 555 acres, Alameda with 370 acres, and Napa with 360 acres have many newly planted orchards that are non-bearing or just beginning to come into production, planted primarily with Italian varieties in the high-density system. Many are associated with wineries. Glenn County with 289 acres has mostly mature table olive orchards reported as now harvested for processing into oil. San Joaquin with 252 acres and Fresno with 245 acres have small plantings of old mature table olive orchards, some of which go to oil production, but most of the acreage is newly planted super-high-density orchards. San Luis Obispo County with 238 acres is mostly planted to Italian varieties and most of those orchards are just coming into production. Marin County with 185 acres has mostly newly planted orchards that are still non-bearing or just coming into full production. Most of those orchards are planted to Italian varieties. Tulare County has 170 reported acres going toward oil production. This is primarily a table fruit producing area with most of the acreage in Manzanillo variety trees. The amount of fruit diverted to oil varies from year to year and depends on the table fruit market.
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Figure 4

Of all the 6,168 olive oil acres reported in 2004, 66% is classified as organically grown and 34% as conventionally grown. The organic production can be broken down into 16% certified organic, 9% in transition to certified organic, and 41% being grown with organic methods, but without certification. NURSERIES For this survey there were 17 nurseries reporting. These represent all of the significant tree sales in California. There are about 2.75 million oil olive trees in California and most of them (2.18 million) were planted in the last six years. Prior to 1990, most acreage (traditional) was planted at about 100-150 trees per acre. Since then, about half of the new acreage has been planted at 250-300 trees per acre (high-density) and the other half at a density of 600-900 trees per acre (superhigh-density) (figure 5, on next page). The following acreage figures are calculated mathematically from the number of trees reported sold each year and the indicated tree spacings by variety. Based on that conversion, there were an estimated 3,941 acres planted from 1999 to 2004. These newly planted trees comprise 64% of the total acreage in California. About 70 % of that new acreage is still non-bearing or just starting to come into production. This means that the amount of oil produced in California could easily double within the next 5-7 years. The estimated 1,700 to 2,000 acres of super-high-density orchards planted over the last six years will come into production very quickly; the 1,940 acres of lower density orchards will take five years or so to reach full production. There are also another 2,000 acres of new plantings planned for 2005, mostly in the Sacramento and San Joaquin Valleys in the super-high-density production system. There were 120,000 trees planted in 1999 on an estimated 172 acres; in 2000 there were 175,000 trees planted on an estimated 342 acres; in 2001 there were 191,500 trees planted on an estimated 363 acres; in 2002 there were 247,000 trees planted on an estimated 474 acres, in 2003 there were 410,000 trees planted on an estimated 818 acres; and there were 1,036,000 trees planted on an estimated 1,772 acres in 2004. The varieties of olive trees planted in California have changed dramatically over the last six years. Prior to 1999 most of the trees were table varieties (Mission and Manzanillo) and Italian varieties (Frantoio, Leccino, and Pendolino), but the last six and particularly the last three years have been dominated by Spanish varieties (Arbequina and Arbosana) and the Greek variety (Koroneiki) suitable for super17

Figure 5

Figure 6

high-density planting. The top ten varieties planted in California over the last six years from 1999 to 2004 were Arbequina with 1,089,900 trees planted on 1,626 acres; Arbosana with 173,000 trees planted on 260 acres, Frantoio with 118,830 trees planted on 400 acres, Mission with 76,480 trees planted on 510 acres, Koroneiki with 73,550 trees planted on 110 acres, Leccino with 65,461 trees planted on 220 acres, Manzanillo with 58,200 planted on 545 acres, Pendolino with 30,118 trees planted on 100 acres, Taggiasca with 15,250 trees planted on 50 acres, and Coratina with 11,232 trees planted on 40 acres (see figure 6). CONCLUSION Since 1996 the production of California olive oil has increased by 168%. In the past six years close to 4,000 acres of olives have been planted specifically for oil.
18

When those trees come into full production in the next five to seven years, California could easily be producing three quarters of a million gallons (750,000) of olive oil annually. The trend towards larger scale, super-high-density plantings could drive the number of gallons up more quickly, because of the relatively short time those orchards take to reach full production. At 3/4 million gallons a year, California ranks on a par with France in olive oil production in the world. The California olive oil industry, at 6,168 acres is small compared to the major agricultural crops, but when compared to smaller specialty crops like winter pears, kiwi, or fresh market cucumbers olive oil acreage is similar. Due to the high added value of oil processing, the economic picture is even better. If each gallon of California olive oil sells for $22.50 in the bulk market that would be a value of almost $17 million and quite similar to winter pears, kiwi, and figs. If retail prices are used for bottled olive oil at $113 per gallon based on 500 ml bottles at $15 per bottle the value of the California olive oil industry would be $84,750,000. As Californias reputation for excellence in olive oil grows in the domestic and international markets, the demand will likely increase. The significant new plantings shown by this survey will be increasing the states production in the immediate future to meet such a demand. ACKNOWLEDGEMENT We would like to thank authors Paul Vossen and Alexandra Devarenne of University of California, the California Olive Oil Council and the Burton D. Morgan Foundation for their support for this survey-research project. Their work benefits the entire California olive oil industry. Paul Vossen University of California Cooperative Extension, Sonoma County

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RESEARCH

Interview with Dr. Joan Tous

Joan Tous is a Doctor in agricultural engineering and works for IRTA Mas Bov (Reus and Tarragona, Spain). He coordinates a team called AGRONOMIA that works on Mediterranean crop issues: olives, almonds, carob, pistachios and hazelnuts. He is best known for having led the team that developed the Arbequina I-18 olive clone.
O: Could you tell us about IRTA? JT: IRTA is a public company created in 1985 that belongs to the Generalitat de Catalunya, the Catalan autonomous government. We specialize in food technology research and development. We carry out research projects as well as projects for technology transfer with companies in the sector. IRTA has seven of its own centers located at different points around Catalonia, and six centers that work in collaboration with universities. We study diverse issues and topics, including Mediterranean crops, horticulture, animal nutrition, plant genetics, animal genetics, meat quality, aquaculture, post-harvest issues, citrus farming, forestry, large crops, etc. are studied. O: What activities are carried out in Mas Bov? More specifically, what activities are carried out in your department? JT: Our specialties at Mas Bov are Mediterranean arboriculture, animal nutrition and aviculture genetics. Olive cultivation is perhaps the most important crop for our department. We have a team comprised of three agricultural engineers, two technical engineers and laboratory specialists that concentrate on olives. The center at Mas Bov assists other IRTA centers around Catalonia in the area of olive growing, as well as providing assistance to other organizations in Spain and abroad. O: What are the main activities carried
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out by the department of oliviculture? JT: Basically there are four main areas: plant material, plantation design, oil quality, and oil mill technology. O: Could you briefly tell us about the activities carried out in each of these areas? JT: Several activities are carried out in the plant material area: we have our own program aimed at obtaining new varieties, and an Empeltre clone selection program similar to the clone selection of the Arbequina I-18 variety. This work is part of a coordinated effort between six autonomous regions: Aragon, Navarra, Valencia, la Rioja, the Balearic Islands and Catalonia. We already have a preselection of 16 Empeltre clones planted in two separate trials. We also work on olive tree models. This is a world-first pioneering project that started four years ago, and which we are working on together with Andalusia. We are testing/analyzing 30 potential rootstocks to determine how the model responds with the behavior of each specific variety, in order to adapt it to the new crop systems that are becoming more common and that require plants that are not as vigorous. The oldest trials date back five years. Research is also conducted on floral biology. We realized that there is a high percentage of local varieties that are androsterile, i.e. they do not produce pollen and they need the pollen of other varieties in order to fecundate. This is not a minor issue;

Joan Tous, Doctor in Agricultural Engineering

in Catalonia alone, about 40% of the native varieties are androsterile. We have undertaken various activities regarding plantation design. In the 1980s, we began with a study that examined high-density plantations (around 300 plant/hectare). In the 1990s we realized that the Arbequina at even higher densities, around 400 plants/hectare, gave a better production due to its low vigor and high productivity. The start of the 1990s also coincided with the launch of the new high-density model from the private sector in Catalonia. From that time, and in collaboration with these companies, IRTA set up plantations to test different varieties at these densities. This trial was carried out at the La Boella estate and was the first world-wide trial to test varieties using the high-density model. O: Do you have any result from the trial? JT: We have already been able to draw some conclusions. For the trial we used the varieties Arbequina, Arbosana, Koroneiki, Canetera, Joanenca and Fs-17. After 6-7 accrued harvests certain productive

differences started to become apparent, such as that the most productive variety is the Arbequina 118, followed by Arbosana and Koroneiki. The other three varieties did not adapt well to this plantation model. Differences were also observed in their ability to form an axis, for example, the Arbosana variety is more difficult to guide, and the Koroneiki variety is more inconsistent from a production point of view, but has the highest oil content. These new plantation types have prompted private companies to carry out research that has led to crop improvements, i.e. formation, collection, pruning, etc. O: Going back to plantation design, are there any other activities carried out? JT: Yes, we are also working on a harvest machine that uses a side approach for harvesting varieties that have not adapted well to the highdensity model but produce a very high quality fruit, and that perhaps at a density of around 600-700 plants/ hectare, would be much more manageable, like for example the Empeltre.

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Since 1999, over 6 million IRTA Arbequina I-18 plants have been commercialized, with broad diffusion in many countries around the world.

O: What do you do regarding oil quality and oil mill technology? JT: Regarding oil quality, we basically carry out studies on the chemical and sensory characterization of each of the oils, as well as carry out studies on ideal coupages between different oil varieties. Regarding oil mill technology, we have technology transfer agreements with different oil mills and olive grower associations. We conduct seasonal follow-ups taking samples of olives, oils and the alpechin. We conduct a sensory analysis of the oils, test temperature and provide advice on better handling. At the end of each season we produce a report on the handling points that need improvement. O: What assessment do you make of the introduction of the Arbequina I-18 clone in the market? JT: For the first time ever we have introduced into the market a plant that is backed by research, and carries an identification and commercialization system based on a guarantee that an original label can provide This has given the olive grower a sense of assurance. At the same time, this contribution has helped, through the royalties it generates, to fund research into new materials for the future. Indirectly, it has also paved the way to establish a national certification program for olive plants. All of this has contributed to the professionalization of nurseries, an improvement in the plant material offered in the sector, and as a consequence, the olive grower has benefited most highly from this. O: On a commercial level, are you surprised by the success of the I-18? JT: I have to admit that I am. Since 1999, over 6 million plants have been commercialized. This has been a very pleasant surprise indeed, especially if you consider that at the time it was launched, the European Union cut off subsidies to olive growers. In addition, the diffusion has been quite significant in many countries around the world;

Spain, France, Italy, Portugal, Tunisia, Morocco, USA, Chile, Argentina, Australia, South Africa, etc. The recognition this gives our work makes us very happy. O: The appearance of high-density plantations is directly related to the diffusion of these new plant materials. How do you evaluate them after 10 years? JT: At the start of the 1990s several Catalan companies began to conduct trials amidst great uncertainty about the viability of the method. One has to admit however that technology has undergone a vast improvement in this time and that it is currently a very attractive alternative. Evidence of this is that at the beginning, the first highdensity orchards were planted by people who were not directly related to agriculture but were more involved in the industrial sector. Over time, more and more dynamic agricultural professionals, which are the vast majority of them, decided to join the ranks. Currently we are in an initial stage where the first orchards are now nearing 10 years of age. After 15-20 years we believe the plantation will enter a second stage where we will have to rejuvenate the plantation. We can draw from the experience afforded by the damage caused by the freezes in 2001. There it was observed that a cut made to the base of an adult tree can quickly and completely rejuvenate a tree. As usual in these plantations, I am sure we will find solutions to problems as we come across them. The new plantations have clearly a better design than the first ones planted. This is normal and shows a positive development and improvement in the crop, based on a good understanding of the errors that were obviously committed at the beginning. O: What role do you think high-density plantations will play in the future for olive growers? JT: High-density plantations have made a very positive contribution to

The traditional orchards will have to play an environmental role, and the real olive growing will be carried out using super-high density olive orchards.
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the relaunching and repositioning of olive growing around the world, especially as a means to meet the growing demands for olive oil. This system has clearly provided the possibility of complete mechanization, which a few years back was unthinkable. This has encouraged producers to continue to plant even without subsidies, as the system in itself is profitable. O: What does the future hold for olive growers and olive oil? JT: Oliviculture today has new enemies that must be tackled, like verticillium wilt, for example. We have to be aware that this disease is on the increase and our obligation is to work towards putting an end to it. Nevertheless, the future looks bright if things are done properly in every respect, especially when it comes to the nutritional safety of

the final product. It is likely that world consumption will increase, the image of the product these days is indeed enviable, but if we make one mistake, and the media associate olive oil with some sort of health risk, we would be destroying years of work and expectations in one blow. You have to bear in mind that our competitors are big, strong multinationals that produce seed oil, and they are waiting for even the smallest opportunity to pounce on us. With regards to the agronomic model, I believe that traditional plantations will have to play an environmental role, and that real olive growing will be carried out using the super-high density model with the same aims as any other crop in the world, which is to produce quality in a profitable manner while keeping operation costs low.

N EWS

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NEWS

New USDA Standards

The California Olive Oil Council Petitions U.S. Department of Agriculture for New Olive Oil Trade Standards
he California Olive Oil Council (COOC) has announced that it has filed a petition with the U.S. Department of Agriculture Standards Division to establish new trade standards for grades of olive oil. The COOC made the move because the current standards, unchanged since 1948, no longer reflect olive oil grades that are currently used in commerce. A USDA definition of extra virgin olive oil in the U.S., is among the changes the COOC wishes to effect with its request for implementation of updated trade standards. The current language defining U.S. olive oil standards is extremely dated, said Bruce Golino, board president of the COOC. Common terms used to describe olive oil today, such as extra virgin, are not included in the current standards. The result is that the terms the consumer recognizes, and is willing to pay a premium for, are used to describe olive oil without regard to its true character. The updated standards are a necessity and represent a major milestone for the olive oil industry and the U.S. consumer. Currently, the United States standards for Grades of Olive Oil are stated as U.S. Fancy, U.S. Choice, U.S. Standard and U.S. Substandard. The COOC is proposing new standards that reflect those used by the International Olive Oil Council (IOOC). The proposed standards include ten grades of olive oilincluding extra virgin and virginunder two primary categoriesOlive Oil and Olive Pomace Oil. The most important element of the new standards is that it will inform the consumer as to the true quality and character of the olive oil. To qualify as extra virgin, an oil

must pass strict chemical analysis, as well as an objective sensory evaluation designed to ferret out defective flavors acquired during harvesting and processing. In an effort to strengthen consumer confidence through stringent quality control, the COOC enacted a revised Membership Agreement in 2003, which requires COOC certification of all members olive oils labeled extra virgin. The COOC extra virgin certification program reflects standards set by the IOOC, requiring members to submit their olive oil for a sensory evaluation, conducted by the certified COOC Panel of Tasters, and have a chemical analysis conducted to test for free acidity. The COOCs Panel of Tasters was selected after a rigorous and extensive period of training and testing, and is the only officially recognized group in the U.S. to receive certification from the IOOC. The Panel of Tasters ascertains defects as well as desirable attributes of extra virgin olive oils. The 28 member panel, which includes chefs and farmers as well as food and wine aficionados, meets monthly for the dual purposes of selecting oils for the COOC program and for continual training. ABOUT THE CALIFORNIA OLIVE OIL COUNCIL The COOC was founded in 1992. The Councils mission is to encourage the production and marketing of world class Californian olive oil. The Council works with the University of California at Davis and with the International Olive Oil Council in Spain to educate producers and consumers about all aspects of olive oil and its production.

For additional information on the COOC and its Extra Virgin Certification Program, please visit www.cooc.com.
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NEWS

FDA: Olive Oil May Boost Heart Health

By Diedtra Henderson, AP Science Writer

ood containing olive oil can carry labels saying it may reduce the risk of coronary heart disease, the government says, citing limited evidence from a dozen scientific studies about the benefits of monounsaturated fats. As long as people dont increase the number of calories they consume daily, the Food and Drug Administration (FDA) confirmed a reduction in the risk of coronary heart disease when people replace foods high in saturated fat with the monounsaturated fat in olive oil. That means a change as simple as sauteing food in two tablespoons of olive oil instead of butter may be healthier for your heart. Since CHD is the No. 1 killer of both men and women in the United States, it is a public health priority to make sure that consumers have accurate and useful information on reducing their risk, Lester M. Crawford, acting FDA commissioner, said. Its good news for consumers, said Bob Bauer, president of the North American Olive Oil Association, which sought the qualified health claim on Aug. 28, 2003. Olive oil is a healthy product to help them fight heart disease. Recent research has underscored the heart benefits from so-called Mediterranean diets high in unsaturated fats from vegetable oil, nuts and such fish as salmon and tuna. Mortality rates dropped by more than 50 percent among elderly Europeans who stuck to such diets and led healthy lifestyles, according to research published in the Journal of the American Medical Association in September. The North American Olive Oil Association included 88 publications to back its claim for the heart-healthy benefits of olive oil. The group wanted to make the claim for monounsaturated fats contained in just one tablespoon of olive oil per day. Olive oil and certain food containing olive oil can now

indicate that limited and not conclusive scientific evidence suggests that eating about two tablespoons (23 grams) of olive oil daily may reduce the risk of coronary heart disease due to the monounsaturated fat in olive oil, the FDA concluded. Manufacturers waited for the FDAs precise wording before revising labels. I expect, over time, most every container of olive oil will have this, he said. Already, American restaurants and consumers drive $450 million in olive oil sales per year. Supermarket sales in 2003 accounted for 132 million pounds of olive oil, up by nearly one-third over the past six years. Bauer said he expects the label change to spur a larger uptick in sales. According to the American Heart Association, coronary heart disease caused 502,189 deaths (or one in five deaths) in 2001, the most current statistic available. Another 13.2 million Americans that year survived the heart attacks, chest pains and other ailments caused by coronary heart disease. Along with lowering cholesterol, cutting out cigarettes and exercising, the group says Americans can boost heart health by eating foods low in saturated fat, cholesterol and sodium. An American Heart Association spokeswoman declined comment on the FDAs action until it reviews the health claim. Its the third time the FDA granted a qualified health claim for conventional food. In March, the agency said supportive but not conclusive research shows eating 1.5 ounces of walnuts per day may reduce coronary heart disease risk. In September, it issued a similar qualified claim for the heart-healthy benefits of omega-3 fatty acids.
To read the entire article, go to: www.cfsan.fda.gov/dms/qhcolive.html.

Coronary heart disease is the number one Killer of both men and women in United States; it caused 502,189 deaths in 2001.
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NEWS

Settlement: A Major Victory in California Olive Oil Councils Truth in Labeling Battle
he California Olive Oil Council (COOC) has just announced the settlement of the lawsuit it initiated against Napa Valley Trading Company in October of 2004. The lawsuit alleged mislabeling of bottles of Napa Valley Naturals olive oil. As a result of this settlement, Napa Valley Trading Company has agreed to revise its labels to better reflect the actual origin of the oils and require its suppliers to test the oils to ensure they meet International Olive Oil Council (IOOC) standards for what can be called Extra Virgin. In addition a monetary donation has been awarded to the COOC by Napa Valley Trading Company. The COOC believes that compliance with State and Federal laws requiring disclosure of the geographic source are critically important to consumers of extra virgin olive oils. This is about trust, said a COOC spokesperson. Consumers want to know what they are purchasing and where it comes from and they have to trust that the producer is telling the truth and complying with the laws.The COOC is reassured by the recent Bronco wine case decision where the

California State Supreme Court ruled that the geographic source forms a significant basis upon which consumers worldwide evaluate expected quality. A consumer should immediately know when looking at a label, the source of an oil and should not have to guess whether it is from California, Tunisia or Spain or some other producing country. The COOC is committed to adopting stringent standards to strengthen consumer confidence in California olive oils. Their extra virgin certification program reflects these standards and requires that 100 percent California grown olive oils be submitted to a chemical analysis test for free acidity as well as a sensory evaluation conducted by the COOCs certified Panel of Tasters. Oils that are pressed from 100 percent California olives, containing 0.5 percent or less of free fatty acids and are free of defects, are awarded the COOC Certified Extra Virgin Seal. Recipients display this Seal on their products to assure consumers of the oils authenticity and quality.

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High Density Olive Orchards

Provided by The Burchell Nursery, Inc.

Advantages of High Density

Faster Production - Initial harvest is the second year, with the third and fourth year crops heavy and full cropping in the fifth year. Mechanical Harvesting - With high-density olive orchards, fast, efficient harvests can become a reality by using over-the-row grape harvesters. Bigger Yields, Quicker Payback - Yields can reach 4-6 tons per acre in mature orchards with olive oil yields of 40 gallons per ton. Well suited to existing planting layouts - With spacing typically 12 to 15 feet between rows and 4 to 6 feet between plants, they fit well into existing grape vineyard spacing. Quality Olive Varieties - These premiere varieties, the Arbequina, Arbosana and Koroneiki have the compact growth habit for high density, and the quality that makes them a premier extra virgin olive oil product.

Olive Varieties Available

Arbequina IRTA i-18 Arbequina Standard

Arbosana i-43

Koroneiki i-38

To learn more about high-density olive orchards or place orders please contact one of our Field Representatives.

1-800-828-TREE
All of the olive plants are sold under contract with Nurstech in Gridley, California. The Burchell Nursery is an authorized selling agent of Nurstech olive plants.

Oakdale Ron Boone Ladd Hackler Gerry Hunter 12,000 Highway 120 (209) 845-8733

Fresno John Slaughter Tim Gerdts Clovis Ave. & Hwy 99 (559) 834-1661 27

Chico Jim Nield (530) 345-0691

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