Economic analysis of olive oil production systems in Southern Italy.

Intensive olive growing models have received a great attention during the last decades in Southern Italy (especially in regions such as Apulia, Calabria and Sicily) due to the positive effects on farms economic profitability. New cropping systems, characterized by higher yields (fruit and oil) and higher levels of mechanization, have also contributed to the achievement of high quality olive oil production, as well as reduced production costs and better incomes for farmer. In this paper, a case study approach was used to investigate the economic performance of extra-virgin olive oil production in intensive orchards located in Calabria region, compared to traditional olive orchards by using a microeconomic analysis. Results showed that intensive olive groves were more profitable than traditional ones, due to the higher quality of the oil and the efficiency of orchard management. The findings suggest that innovative olive-growing models could be a better management strategy for farmers in an increasingly competitive market.