Australia Olive Oil Market: Premium Quality, Health Trends & the Growing Demand for Natural Culinary Oils

According to IMARC Group, the Australia olive oil market reached USD 440.6 Million in 2025. Looking forward, the market is projected to rise to USD 638.5 Million by 2034, reflecting a steady CAGR of 4.21% during 2026–2034.

This growth is driven by rising health consciousness, strong demand for natural foods, increased interest in Mediterranean-style diets and the expanding use of olive oil across home kitchens, gourmet cooking and functional food applications.

Olive oil has become a staple of Australian households, not only as a cooking ingredient but also as a lifestyle choice linked to wellness, purity and premium quality. Australian consumers prefer extra virgin olive oil (EVOO), thanks to its superior flavor, antioxidant properties and reputation for being minimally processed. The country’s growing focus on clean-label, heart-healthy foods further reinforces olive oil’s prominence across retail and foodservice channels.

Why is the Australia Olive Oil Market Growing?

Rising Preference for Healthy & Natural Food Choices

Australians are increasingly adopting diets rich in whole foods, antioxidants and healthy fats. Olive oil — especially EVOO — is widely recognized for its cardiovascular benefits, anti-inflammatory properties and high polyphenol content. This health-forward shift has positioned olive oil as a preferred alternative to traditional cooking oils.

Mediterranean Cuisine Inspiring Household Cooking Trends

Mediterranean meals are gaining popularity across Australian homes due to their simplicity, flavor and alignment with wellness-focused lifestyles. Dishes such as salads, grilled vegetables, pasta and seafood heavily rely on olive oil, increasing household consumption. Cooking shows, recipe apps and influencers further amplify these culinary trends.

Growing Demand for Premium, Cold-Pressed & Locally Sourced Oils

Consumers are showing a greater interest in premium-quality olive oil, with strong demand for organic, cold-pressed and Australian-grown varieties. Domestic producers are recognized for maintaining high-quality standards, which has boosted local brand loyalty. The farm-to-table movement has also increased consumer awareness about freshness and processing methods.

Expansion of Home Cooking & At-Home Meal Preparation

Home cooking surged in popularity as consumers sought healthier, hygienic and more affordable food options. Olive oil plays a key role in baking, frying, dressing and marinating, making it one of the most versatile household food staples. The trend of DIY gourmet meals also contributes to higher usage of specialty olive oils.

Rising Use in Packaged Foods, Cosmetics & Functional Products

Beyond culinary applications, olive oil is increasingly found in packaged foods, marinades, health supplements and beauty products. Its natural moisturizing and nourishing properties make it a preferred ingredient in soaps, body oils and skincare formulations — reinforcing multi-industry demand.

The market is composed of domestic olive oil producers, international brands, boutique growers, gourmet suppliers and foodservice distributors. Companies are investing in sustainable farming, improved extraction techniques and attractive packaging to cater to the increasingly health-conscious consumer base.

Recent News & Developments in the Australia Olive Oil Market

May 2026:

A leading Australian olive oil producer launched a new organic extra virgin product line using regenerative farming practices. Early sales reports showed a 21% increase in demand for certified organic oils, driven by health-focused consumers seeking clean-label alternatives.

August 2026:

The Australian Government introduced a Quality Assurance Initiative for Olive Producers, offering grants for modern milling equipment and sustainable irrigation systems. The program led to a 17% rise in premium-grade EVOO production, strengthening domestic supply capabilities.

October 2026:

Industry analytics revealed a 15% year-on-year growth in online olive oil purchases, influenced by gourmet food platforms, recipe blogs and social media cooking influencers. This growth highlights the strong digital engagement shaping olive oil consumption patterns.

Why Should You Know About the Australia Olive Oil Market?

Because olive oil is no longer just a cooking ingredient — it represents a cultural shift toward healthier living, premium food experiences and sustainable consumption. With the market projected to grow from USD 440.6 Million in 2025 to USD 638.5 Million by 2034, olive oil is becoming one of Australia’s core culinary essentials.

For consumers: Olive oil supports heart health, flavorful cooking and natural living.

For food businesses: Demand for premium, organic and specialty oils opens new opportunities for innovation and product differentiation.

For investors: A steady CAGR of 4.21% highlights reliable long-term growth backed by health and lifestyle trends.

For policymakers: Promoting domestic olive production strengthens food security and supports sustainable agriculture.