Why Farm Olive Trees?
Benefits for Small-Scale Farmers
Farming olive trees offers unique advantages for Australian small-scale and lifestyle farmers seeking long-term productive crops. These hardy Mediterranean trees provide multiple revenue streams through oil production, table olives, and even ornamental landscaping value whilst requiring minimal annual inputs once established.
The longevity of olive trees represents exceptional value – properly maintained trees can produce for centuries, making them genuine investment crops rather than annual expenses. Unlike seasonal crops requiring replanting, olive orchards become more valuable over time as trees mature and yields increase.
Farming olive trees suits part-time farming operations perfectly. After establishment, mature trees require attention only during specific seasonal periods: pruning in winter, monitoring during flowering, and intensive activity during harvest. This intermittent labour requirement allows olive farming to complement other income sources.

Suitability of olive tree farming for Australian Climates
Australia’s diverse climate zones support olive cultivation across extensive areas. Olives thrive in sub-tropical, warm temperate, semi-arid, and cold temperate areas in protected and mild locations, making them suitable for most populated Australian regions.
The Mediterranean-like conditions found across South Australia, Western Australia, Victoria, and parts of New South Wales provide ideal growing environments. Areas with good drainage and cool winters, combined with hot dry summers without humidity, such as the Riverina district of NSW, prove ideal for growing olives.
Even challenging climates offer opportunities. Varieties which have shown to be more consistent in their bearing habits in warmer climates include Arbequina, Manzanillo, Arecuzzo, and Koroneiki, with Arbequina standing out as the most reliable bearer in warm climates.
Economic Viability for Small-Scale Olive Tree Farming Operations
Small-scale olive tree farming can generate meaningful returns, though profitability requires realistic expectations and proper planning. Establishment costs vary significantly based on site conditions, infrastructure requirements, and how much work owners complete themselves.
Depending on spacing, farmers can plant 100 to 300 trees per hectare, with profitability depending on marketing, product quality, labour, and infrastructure costs. Modern farming methods can significantly improve returns compared to traditional extensive methods, though specific yields vary greatly based on variety, climate, and management practices.
Break-even typically occurs several years after planting once trees reach productive maturity, with profitable production potentially continuing for decades. Small-scale operations focusing on premium products or direct sales often achieve better per-unit returns than large commercial ventures.
Choosing the Right Olive Tree Varieties
Olive Oil vs Table Olive vs Dual-Purpose Olive Varieties
Understanding variety purposes helps match selections to intended markets and processing capabilities. Oil varieties typically produce smaller fruit with higher oil content and distinct flavour profiles. Table olive varieties offer larger fruit size with flesh-to-pit ratios suitable for processing and consumption.
Dual-purpose varieties provide flexibility for small-scale farmers unsure of their preferred market focus. These varieties produce acceptable oil whilst offering fruit suitable for table olive processing, allowing market diversification as operations develop.
Consider processing requirements when selecting varieties. Oil production requires specialized equipment or external processing arrangements, whilst table olive preparation can be accomplished on-farm with basic equipment and knowledge.
Recommended Olive Tree Varieties for Different Australian Regions
Queensland and Northern NSW
In subtropical and tropical zones, Kalamata proves ideal for warm climates, producing juicy, sweet, torpedo-shaped olives, whilst Frantoio delivers fruity, aromatic oil production and remains self-fertile but benefits from cross-pollination with Arbequina.
Arbequina stands out as the most reliable bearer in warm climates, being self-pollinating and bearing when very young, making it excellent for Queensland conditions where other varieties may struggle with humidity and heat.
Southern States (SA, WA, VIC, NSW)
Mediterranean climates in southern Australia support the widest variety selection. Traditional varieties like Frantoio, Leccino, and Pendolino thrive in these conditions, offering premium oil production with proven performance records.
For table olive production, Kalamata, Manzanillo, and Sevillano perform well in cooler climates whilst providing excellent processing characteristics for various preparation methods.
Self-Fertile vs Cross-Pollinating Varieties
Understanding pollination requirements prevents poor fruit set and disappointing yields. Self-fertile varieties like Arbequina can produce crops without other varieties present, making them suitable for very small plantings or isolated locations.
Cross-pollinating varieties typically produce higher yields when multiple compatible varieties are planted nearby. Plan for at least 10% pollinator trees distributed throughout the orchard to ensure adequate pollen distribution during flowering periods.
Consider flowering timing when selecting pollinator combinations. Varieties must flower simultaneously to achieve effective cross-pollination, with early, mid, and late flowering varieties requiring appropriate matches.
Site Selection & Soil Conditions for farming olive trees
Climate Requirements
Sun and Temperature Needs
Olive trees demand full sun exposure throughout the growing season. Select sites receiving at least 6-8 hours of direct sunlight daily, avoiding areas shaded by buildings, large trees, or terrain features that reduce light availability.
Temperature requirements vary by variety, but most commercial varieties tolerate temperatures from -5°C to 45°C once established. Young trees require protection from extreme cold during their first few years until root systems develop adequate cold tolerance.
Winter Chill and Frost Considerations
Many olive varieties require winter chill hours (temperatures below 7°C) for proper flowering and fruit development. Research specific variety requirements and match selections to your area’s typical winter conditions.
Frost protection becomes critical during flowering and early fruit development. Late spring frosts can destroy entire crops, making site selection and variety choice crucial for areas prone to unseasonable cold snaps.
Soil Requirements for farming olive trees
Soil Type and Drainage
Olives require deep, well-drained, sandy or gravelly soils with moderate organic matter. Poor drainage causes root rot and tree death, making proper site selection essential for long-term success.
Heavy clay soils require amendment with sand, gravel, or organic matter to improve drainage. Consider raised bed planting in areas where drainage cannot be adequately improved through soil modification.
pH Levels and Soil Preparation
Olives prefer slightly alkaline soils with pH levels between 7.0-8.5. Acidic soils require lime application to raise pH to suitable levels, whilst excessively alkaline soils may need sulfur or organic matter to moderate pH levels.
Conduct comprehensive soil testing before planting, including pH, nutrient levels, organic matter content, and drainage assessment. Professional soil analysis provides specific amendment recommendations for optimal growing conditions.
Site Layout and Spacing
Trees Per Hectare for Small Farms
Modern high-density orchards plant 200 to 350 trees per acre (494 to 865 per hectare), with traditional spacing allowing 100 to 300 trees per hectare depending on management system and variety characteristics.
Small-scale operations often benefit from moderate density plantings of 200-300 trees per hectare, balancing early production benefits with management simplicity and equipment access requirements.
Consider equipment access when planning layout. Ensure adequate space for tractors, sprayers, and harvest equipment whilst maintaining efficient land utilization and easy tree access for manual operations.
Olive Tree Planting & Early Establishment
Optimal Planting Time by Region
Australian planting timing varies significantly by climate zone and local conditions. Cool temperate areas plant best in late winter to early spring (August-October), allowing root establishment before hot summer conditions stress young trees.
Warmer regions may plant successfully in autumn (March-May), taking advantage of mild temperatures and winter rainfall for root development without summer heat stress on establishing trees.
Avoid planting during extreme weather periods. Hot, dry conditions stress young trees, whilst cold, wet conditions may cause root rot in poorly drained locations.
Olive Tree Planting Technique
Hole Preparation and Root Handling
Dig planting holes twice as wide as the root ball and only as deep as the container or root ball height. Wide holes encourage lateral root development, whilst shallow planting prevents root rot from excessive depth.
Handle bare-root trees carefully, keeping roots moist and protected from wind and sun exposure. Soak dried roots in water for several hours before planting to restore moisture content.
Spacing and Layout Considerations
Maintain consistent spacing throughout the orchard for efficient management and uniform growth. Square planting systems with 6-meter spacing result in 272 trees per hectare, providing good balance between density and management access.
Consider prevailing wind patterns, slope direction, and equipment movement when establishing row orientation. North-south rows typically provide optimal sun exposure, whilst east-west rows may suit steep slopes better.
Olive tree Establishment Care
Mulching and Weed Control
Apply organic mulch around newly planted trees, maintaining 10cm clear space around trunks to prevent rodent damage and trunk rot. Mulch conserves moisture, suppresses weeds, and moderates soil temperatures during establishment.
Control competing vegetation within a 2-metre diameter around young trees. Grass and weeds compete for water and nutrients, significantly slowing tree establishment and early growth.
Irrigation During Establishment
Young trees require consistent moisture for root establishment, typically needing 20-40 litres weekly during their first growing season. Monitor soil moisture regularly, adjusting watering frequency based on rainfall and temperature conditions.
Install efficient irrigation systems before planting to ensure consistent water delivery. Drip irrigation systems provide water directly to root zones whilst minimizing waste and labour requirements.
Olive Tree Nutrient Management & Fertilisation
Effective Fertiliser Types
Organic vs Synthetic Fertilisers
Organic fertilizers improve soil structure whilst providing slow-release nutrients that support long-term tree health. Compost, aged manures, and organic pellet fertilizers build soil biology and provide sustained nutrition throughout growing seasons.
Synthetic fertilizers deliver immediate nutrient availability for rapid correction of deficiencies or supporting peak demand periods. Balanced N-P-K fertilizers work well for general feeding, whilst specialized formulations target specific growth stages.
Combining organic and synthetic approaches often provides optimal results. Use organic materials for soil improvement and baseline nutrition, supplementing with synthetic fertilizers during high-demand periods or to correct specific deficiencies.
Timing of Fertiliser Applications
Apply major fertiliser applications in early spring (August-September) as trees emerge from dormancy and begin active growth. This timing ensures nutrients are available during peak demand periods for flowering, fruit set, and early fruit development.
Post-harvest feeding (March-April) helps trees recover from fruiting stress and build reserves for the following season. Light nitrogen applications during this period support continued photosynthesis and nutrient storage in roots and wood.
Avoid heavy nitrogen applications late in autumn, as this can stimulate tender growth vulnerable to frost damage and delay proper dormancy preparation.
Critical Micronutrients
Boron Requirements
Boron deficiency commonly affects olive trees, causing poor fruit set, cork spot in fruit, and dieback in growing tips. Apply boron-containing fertilizers annually or use foliar sprays during pre-flowering periods to ensure adequate availability.
Monitor boron levels carefully – excessive boron applications can cause toxicity symptoms including leaf burn and reduced growth. Soil testing helps determine appropriate application rates for your specific conditions.
Potassium for Fruit Development
Potassium supports fruit development, oil quality, and winter hardiness in olive trees. Adequate potassium levels improve drought tolerance and help trees withstand temperature extremes.
Apply potassium-rich fertilizers during fruit development periods (November-February) to support oil accumulation and fruit maturation. Organic sources like wood ash or sulfate of potash provide readily available potassium.
Olive Tree Irrigation & Water Management
Water Needs by Growth Stage
Young Olive Tree Requirements
Establishing trees requires frequent, moderate watering to develop extensive root systems. Apply 20-40 litres weekly during active growing periods, reducing frequency as root systems expand and trees demonstrate increased drought tolerance.
Monitor soil moisture at multiple depths to ensure water penetrates beyond surface levels. Young trees with shallow roots are particularly vulnerable to drought stress during hot weather.
Mature Olive Tree Water Management
Established olive trees demonstrate excellent drought tolerance but produce better with consistent moisture during critical periods. Focus irrigation during flowering (September-October) and fruit development (November-March) for optimal yields.
Mature trees may require 400-800 litres weekly during peak demand periods, depending on tree size, climate conditions, and soil type. Adjust application rates based on rainfall, temperature, and soil moisture monitoring.
Efficient Irrigation Methods
Drip Irrigation Systems
Drip irrigation delivers water directly to root zones whilst minimizing evaporation losses and water waste. Install emitters around the drip line of tree canopies, adjusting positions as trees grow and root systems expand.
Micro-sprinkler systems provide broader water distribution suitable for areas with sandy soils or where root systems extend beyond drip lines. These systems also provide frost protection through evaporative cooling and ice formation benefits.
Water Conservation Strategies
Mulching significantly reduces water requirements by minimizing evaporation and maintaining consistent soil moisture levels. Organic mulches also improve soil structure and provide gradual nutrient release as they decompose.
Implement water harvesting strategies including dam construction, roof water collection, or seasonal rainwater storage to reduce reliance on mains water supplies during peak irrigation periods.
Pruning, Training & Olive Tree Management
Early Years Training
Establishing Tree Structure
Young olive trees require careful training to develop strong, productive frameworks. Remove competing leaders, maintain single trunks, and select 3-4 well-spaced primary branches as the tree’s permanent structure.
Begin training immediately after planting by removing weak or poorly positioned branches. Light annual pruning during the first 3-4 years establishes proper structure without sacrificing early fruit production.
Common Training Systems
Open center or vase systems provide excellent light penetration and air circulation whilst allowing easy access for maintenance and harvest activities. This traditional system suits most small-scale operations and hand-harvesting methods.
Central leader systems maximize early production and suit mechanical harvesting operations. However, these systems require more intensive management and may not suit hand-harvesting preferences of many small-scale growers.
Mature Tree Pruning
Annual Pruning Requirements
Mature olive trees benefit from annual winter pruning to maintain shape, remove deadwood, and encourage continued fruit production. Focus on removing water sprouts, crossing branches, and wood more than 4-5 years old.
Limit annual wood removal to no more than 20-25% of the canopy to avoid excessive vegetative response and reduced fruit production. Heavy pruning stimulates vigorous growth at the expense of fruit development.
Managing Light and Airflow
Proper pruning ensures adequate light reaches all parts of the canopy whilst promoting air circulation that reduces disease pressure and improves spray coverage during treatment applications.
Remove internal branches that create dense, shaded areas where fruit production declines and disease problems increase. Maintain an open canopy structure that allows light to reach lower branches and interior fruiting wood.
Pest, Disease & Common Problems
Common Australian Pests
Olive Lace Bug
Olive lace bugs cause distinctive silvery stippling on leaf surfaces and can significantly reduce photosynthesis and tree vigour. Monitor for early infestations and apply appropriate treatments before populations become established.
Beneficial insects including predatory bugs and parasitic wasps help control lace bug populations. Maintain diverse ground cover and avoid broad-spectrum insecticides that disrupt natural pest control.
Scale Insects
Various scale insects attack olive trees, appearing as small, waxy bumps on branches and leaves. Heavy infestations weaken trees and reduce fruit production through sap removal and honeydew production that encourages sooty mold development.
Oil sprays applied during winter dormancy effectively control scale insects by suffocating adults and eggs. Summer treatments may be necessary for severe infestations but should be applied during cooler evening hours to avoid plant damage.
Disease Management
Fungal Issues and Prevention
Olive knot, caused by bacterial infection, creates galls on branches and trunks that weaken trees and provide entry points for other pathogens. Remove infected wood during dormant season pruning and sterilize tools between cuts.
Anthracnose affects fruit during wet conditions, causing dark spots and premature fruit drop. Improve air circulation through proper pruning and avoid overhead irrigation during fruit development periods.
Preventive copper sprays applied before wet periods help control bacterial and fungal diseases. Follow label directions carefully and avoid copper applications during hot weather that can cause phytotoxicity.
Troubleshooting Common Problems
Poor Fruit Set Issues
Inadequate pollination causes poor fruit set despite abundant flowering. Ensure adequate pollinator varieties are present and consider introducing beehives during flowering periods to improve pollination efficiency.
Weather conditions during flowering significantly affect fruit set. Cold, wet, or windy conditions reduce pollinator activity and pollen viability, resulting in poor fruit development regardless of tree health.
Alternate Bearing Problems
Some olive varieties demonstrate alternate bearing patterns with heavy crops followed by light crops in alternating years. Proper nutrition, consistent irrigation, and appropriate pruning help minimize this tendency.
Thin excessive fruit loads during heavy crop years to prevent tree stress and encourage more consistent annual production. Remove approximately 50% of fruit clusters when fruit reaches 1-2cm diameter.
Harvesting, Processing & Post-Harvest Care
Determining Harvest Timing
Table Olive vs Oil Production
Table olive harvest occurs when fruit reaches full size but before complete ripeness, typically when colour begins changing from green to purple. Fruit harvested at this stage maintains firm texture suitable for processing.
Oil production harvest timing affects both quantity and quality. Earlier harvest produces higher-quality oil with better shelf life but lower quantities. Later harvest increases oil yield but may reduce quality characteristics.
Monitor fruit maturity through regular sampling and oil content testing. Professional oil analysis helps determine optimal harvest timing for your specific quality and quantity objectives.
Harvest Methods for Small Farms
Hand Harvesting Techniques
Hand harvesting produces highest quality fruit with minimal damage, particularly important for table olive production. Use pneumatic rakes or hand picking to remove fruit without excessive branch damage or contamination.
Harvest into ventilated containers that prevent fruit crushing and allow air circulation. Process fruit as quickly as possible after harvest to maintain quality and prevent fermentation or deterioration.
Mechanical Harvesting Options
Small-scale mechanical harvesters including over-the-row machines or trunk shakers can significantly reduce harvest labour costs for oil production where minor fruit damage is acceptable.
Mechanical harvesting requires specific tree training and spacing to accommodate equipment access and operation. Plan harvesting methods during orchard establishment to ensure compatibility.
Processing Basics
Table Olive Curing
Table olive processing removes natural bitterness through various curing methods including water curing, salt curing, or lye treatment. Each method produces different flavour profiles and requires specific timing and techniques.
Water curing takes several weeks but produces mild-flavoured olives suitable for various preparations. Salt curing creates more intense flavours but requires careful moisture control to prevent spoilage.
Oil Production Fundamentals
Small-scale oil production requires specialized equipment including crushers, presses, and separation equipment. Consider custom processing arrangements with local facilities rather than investing in expensive equipment for small volumes.
Oil quality depends heavily on harvest timing, handling methods, and processing speed. Process fruit within 24 hours of harvest for premium quality oil with optimal flavour and shelf life characteristics.
Economics & Profitability for Small Scale
Start-Up Investment Analysis
Infrastructure and Equipment Costs
Establishment costs vary significantly based on existing infrastructure, site conditions, and labour arrangements. Major expenses typically include trees, irrigation systems, fencing, and basic equipment, though costs can range widely depending on specific requirements and quality levels.
Irrigation systems often represent a significant infrastructure expense, with costs varying based on water source, terrain complexity, and system sophistication. Quality irrigation systems provide long-term value through improved tree performance and reduced ongoing labour requirements.
Tree Investment and Timing
Quality nursery trees vary in cost based on variety, size, and source, with premium or specialty varieties typically commanding higher prices. Purchase from reputable nurseries providing certified, healthy stock with appropriate rootstock selections.
Consider tree age and size when purchasing. Larger, more mature trees cost more initially but may begin producing earlier, potentially offsetting higher upfront investment through earlier income generation.
Ongoing Operational Costs
Annual Maintenance Expenses
Annual operating costs vary significantly based on management intensity, local conditions, and operational scale. Major expenses typically include fertilizers, pest control, pruning, irrigation maintenance, and harvest costs.
Labour often represents a significant ongoing expense, particularly during pruning and harvest periods. Requirements vary based on tree age, orchard size, and management methods employed.
Marketing and Processing Costs
Direct marketing involves additional costs including packaging, labeling, insurance, and compliance requirements. These costs must be balanced against premium prices potentially achievable through direct sales channels.
Custom processing costs vary by region and facility availability. Factor these expenses when calculating profitability projections and choosing between on-farm processing and external service arrangements.
Yield Expectations and Returns
Production by Tree Age
Young trees begin light production in their second or third year, with commercial yields developing by year 5-7. Mature trees (10+ years) can produce 15-40 litres of oil or 50-150 kilograms of table olives annually under good management.
Modern intensive methods can achieve up to 1.6 tons of olive oil per hectare annually, compared to traditional methods averaging only 0.5 tons per hectare. Small-scale operations typically achieve yields between these extremes based on management intensity and variety selection.
Break-Even Analysis
Most small-scale olive operations reach break-even by year 6-8, with profitable production continuing for decades. Premium marketing strategies, efficient management, and value-adding activities can accelerate payback periods and improve long-term profitability.
Calculate break-even points based on your specific costs, yields, and marketing strategies. Conservative estimates help ensure realistic expectations and adequate cash flow planning during establishment years.
Sustainability & Best Practices
Soil Health Management
Organic Matter and Cover Crops
Maintain soil health through regular organic matter additions including compost, aged manures, or green manure crops grown between tree rows. Healthy soils support better tree performance whilst reducing fertilizer and irrigation requirements.
Cover crops including legumes, grasses, or diverse wildflower mixes provide soil protection, improve organic matter, and support beneficial insect populations that help with pest control.
Erosion Prevention
Establish permanent vegetation on slopes and implement contour cultivation practices to prevent soil erosion. Terracing or retention banks may be necessary on steep sites to maintain soil and prevent water runoff.
Mulching around trees provides erosion protection whilst conserving moisture and suppressing weeds. Maintain mulch layers 5-10cm deep, refreshing annually as materials decompose.
Water Conservation
Efficient Usage Strategies
Monitor soil moisture levels to optimize irrigation timing and amounts. Soil moisture sensors or simple soil assessment techniques help prevent over-watering whilst ensuring adequate moisture during critical periods.
Implement water harvesting strategies including roof catchment, dam construction, or seasonal storage systems to reduce dependence on municipal water supplies and improve long-term sustainability.
Genetic Diversity
Variety Selection Benefits
Plant multiple varieties to improve pollination, extend harvest periods, and reduce risk from variety-specific pest or disease problems. Genetic diversity also provides marketing flexibility through different oil or table olive characteristics.
Maintain heritage or unusual varieties to support genetic conservation whilst potentially accessing niche markets that value unique characteristics or historical significance.
Conclusion & Practical Checklist
Farming olive trees in Australia offers genuine opportunities for small-scale producers willing to invest in long-term agricultural enterprises. Success requires careful variety selection, proper site preparation, consistent management, and realistic financial planning.
The key decisions small farmers must make include variety selection based on intended markets and climate conditions, site selection emphasizing drainage and sun exposure, irrigation system design for long-term efficiency, and marketing strategy development focusing on quality and direct sales opportunities.
Essential Planning Checklist
Site Assessment:
- Soil testing for pH, drainage, and nutrient levels
- Climate zone verification and variety compatibility
- Water source evaluation and irrigation planning
- Equipment access and storage requirements
Variety Selection:
- Oil, table, or dual-purpose production goals
- Pollination requirements and companion varieties
- Regional performance records and local recommendations
- Harvest timing and processing arrangements
Infrastructure Planning:
- Irrigation system design and installation
- Fencing and access road requirements
- Storage and processing facility needs
- Equipment purchases and maintenance planning
Management Systems:
- Fertilisation schedules and nutrient management
- Pruning timing and techniques for chosen varieties
- Pest and disease monitoring and treatment protocols
- Harvest methods and post-harvest handling procedures
Financial Planning:
- Establishment cost budgets and funding sources
- Annual operating expense projections
- Marketing strategy development and price research
- Break-even analysis and profitability timelines
Start with thorough research, seek advice from local growers and extension services, and begin with appropriate scale for your experience and resources. Olive farming requires patience during establishment years, but properly managed orchards provide decades of productive returns whilst contributing to Australia’s growing premium olive industry.