Factors Affecting the Olive Production Chain in Albania

Abstract

Olive processing in Albania is seen as a very profitable sector, mainly in recent years for many agro-processing companies. There has been an increase in the planting of olive trees. The government has also increased support policies for many olive growers by providing various grants or subsidies. The trend of olive production has fluctuated and as a result, the production of olive oil has fluctuated. Both these sectors, production and processing, have reflected many problems in the chain between them. The chain of the agribusiness system does not function properly between them as there is a lack of mutual connection between all actors in the system. There are many factors but some of them can be avoided by giving through this study some possible solutions. The main objective of this study consists in finding possible solutions to the problems faced by the agribusiness system. Also, informing the system’s actors about the benefits of signing agricultural contracts between them. We will focus mainly on one of the chains of the system, the olive oil processing, to present some of the problems faced by this sector and then to offer some possible solutions, first of all, from the point of view of the relationship that must exist between all actors involved in the system.