10 ways to save on packaging costs for olive oil (Smart tips for Producers)

  1. Review what you are currently paying for olive oil packaging.  If you are paying more than $0.60 per 500mL bottle or more than $3.00 for a 4L tin, then you are probably paying too much for packaging.  Yesterday, I was speaking with a Grower south of Melbourne who reported they were paying well over $1.50 per bottle and more than a staggering $9.00 per 4L can.  Even at the pallet rate we are able to offer with delivery interstate and they would save money and get more than double the packaging at considerably less than $9 per can!
  2. The wonky cap that leaks... Today I received this sample from one of our Growers in NSW who is having problems with leaking caps that won't screw onto the bottle properly. I've seen this problem for years now and it appears that the company who supplies these hasn't sorted the issue after all this time. Contact The Olive Centre to sort out any issues you have with packaging?
    The wonky cap that leaks… Received from a Grower in NSW. This is not normal.

    Compare the packaging: not all packaging is created equal.  Some bottles undergo cheap manufacturing and can have a variance of +/- 2mm sometimes more if the manufacturing is substandard.  Sometimes too manufacturers skimp on the thickness of the glass to be able to deliver a cheaper bottle.  Some growers in the past years have had experiences with bottles shattering or chipping really easily.  This is not normal.  If you get a problem batch of bottles it can render the fact even if you got a pallet you cannot use every bottle leaving the unit cost of the useable ones very expensive.

  3. Consider the choice of packaging and costs involved.  Round and square bottles require different types of labelling machines and some are more expensive than others.  Also, the colour of the bottle needs consideration as to uphold the quality of the product it is best to steer away from clear bottles and go for one of the dark-coloured bottles.
  4. Longer term supply:  sometimes bottle supplies can go out of manufacture because they are not common bottles.  When the feasibility of manufacturing bottles drops this is usually when bottles are delisted.  I have had Growers comment that they have also been left in the lurch with their labels and no longer able to use them.  Choosing common-type bottles is one way to ensure long-term supply and cost-effectiveness.
  5. Volumes:  Ask for when volume breaks happen, and consolidate those orders to meet that volume.  Share packaging volume with other growers to meet the minimum criteria, this strategy can drastically reduce packaging costs.  Sometimes volumes also allow extra services like Can printing which eliminates the need for a label.
  6. Pallet or not to pallet.  To reduce shipping costs ordering multiple pallets at a time can also reduce delivery charges overall.
  7. Joining a consolidation for shipment:  The Olive Centre offers a consolidation service for shipping bottles to each capital city.  The cost of shipping and reducing the logistics and warehousing saves considerable costs.
  8. Lock in prices when currencies are good.
  9. Order in advance to ensure consistent supply so that you aren’t searching for anyone with bottles and paying high prices.
  10. Consider your supplier as a business partner, and ask for advice on ways to reduce costs whilst maintaining quality.  Contact The Olive Centre about your packaging needs, this is one area you may be able to save hundreds or thousands with quality packaging.  Maybe it’s time to review what packaging you use?


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