Washington Post Explains the Greek Crisis Through Greek Olive Oil Exports



Olive TreeThe Washington Post masterfully used the example of the “liquid god,” which is no other than the Greek olive oil, in an attempt to explain – in simple terms – the Greek financial crisis to its readers.

The article revealed what really happens in Greece with Greek olive oil exports: “After much of the oil is pressed in Greek processing facilities, tanker trucks come to take it straight to the sea. In 2012, 60% of Greece’s olive oil output was shipped to Italy. There, it is packaged in Italian bottles with Italian labels, and then sent across the world. And most of the profits go back to Italy… Italy captures an extra 50% premium on the price of Greek oil.”

According to the article, Greek entrepreneurs face great difficulty while trying to export their country’s olive oil. First of all, they cannot find anybody in Greece that can produce bottles, forcing them to seek help from nearby Italian manufacturers. In order to pay for the bottles, they have to get loans while facing a mountain of associated taxes that render their product prohibitive for exportation. The article also mentioned the fact that the crisis-stricken Greek government asked businesses to estimate and pay the taxes they would own in 2016 ahead of time.


7 COMMENTS

  1. And now Tsipras has become a bigger tax Collector for the Troika against Greek business and any Greek people that owns any property.

  2. I posted these facts over two years ago. That has been going on forever, so this is nothing new. How is this allowed to happen ? Because the Greek business laws, and export laws, are so outrageous, stringent, backwards, and stupid, it allows Greece’s own businesses to be cut out of profits.

    The entire Greek government should be thrown in jail for treason.

  3. It seems to me people in government remain clueless on how to foster significant economic growth.

  4. I’d go off on a slight Tangeant, and ask why a country that can produce high end military equipment, can’t produce something as simple as glass bottles…………………gasp

  5. There is intent to crush any entrepreneurial spirit left in the country with taxes, regulations and very soon they are going after farmers. It won’t be long before our fields are barren and substance farming is all that is left. Businesses have either been sold and/or shuttered. Several ship repair shops I worked with in the past closed their gates permanently shortly after the Euro arrived as it wiped out any competitive edge. Take a look at the vacant piers in Perama, Eleusis or Skaramanga. Thousands of small businesses close monthly and NO ONE is opening anything. Now add pressure to tax the last surviving paying sectors and you have the making for a third world dependent-destitute country.

  6. A photograph of a tiny desiccated olive barely hanging on a twig with the words; “You cannot squeeze euros from a dried olive” best summarizes Greece….Even the WP’s readers can comprehend this a message.

  7. The Scripture says, “You shall not muzzle an ox when it treads out the grain,” and, “The laborer deserves his wages.”
    So if there is an imbalance between expenditures and revenue, how about reducing the expenditures rather than hiking the taxes until the economy is stifled?

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