Olive harvest is under way in Greece, and olive oil producers across the country are disheartened by the problems afflicting their groves.

‌They are bracing for steep production cuts because of the extreme weather conditions and high energy costs. But this season's extremes have also sparked a spate of olive oil thefts and illicit practices across the country this autumn.

Olive oil producer Panagiotis Apostolopoulos says farmers in the Messinia region of south-western Greece now have to guard their olives.

"A sack of olives could give you 10 liters of olive oil," he told CGTN Europe. "That's 100 euros. Imagine leaving 50-60 sacks in your farm overnight like we used to - it's a lot of money. That's why I prefer to store them at home before sending them to the mill, and if I can't, I just stay here and guard them myself."

The surging olive oil prices are a combination of many factors. One is the extreme heatwaves linked to climate change that have taken a toll on olive oil production and have pushed up the price of this daily staple.

In some areas, producer prices have exceeded $9 a liter and close to $16 once it reaches the consumer. That's not only because of steep production cuts in Greece, but also the wider Mediterranean region.

"What is going on in Greece, and the whole region of Messinia or any region that produces olive oil, is that the market relies on what the production year looks like in Spain," local agricultural journalist Themis Kanellopoulos told CGTN.

"If they have decreased production, the prices go up, simply because Greece cannot cover the market Spain sells to. Therefore the demand is high and stock is low. This year our production is low too."

So extreme weather conditions in combination with the lack of products are pushing up the prices and putting a dent in our wallets and pockets.

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There is also another factor forcing Greek farms to pay almost 50 percent more than a year ago. 

"It is difficult to find labor in Greece," Manolis Giannoulis, Head of National Interprofessional Organization of Olive Oil Producers,explained. "We are currently in need of 70,000 workers, not only in the olive oil industry, but everywhere.

‌"We are forced to double the daily rate to attract them, but that then is like a domino effect, the higher the labor, the higher we will sell."

‌While olive oil prices continue to fluctuate as the harvest season is still ongoing, the government is trying to find ways for consumers to buy at a more affordable price. They are proposing a cap with producers selling at $7 a liter.

But once it's ready for consumption, the price will increase, turning 'liquid gold' from an essential part of Greek cuisine and culture into a luxury good.

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