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| Specification | Value |
|---|---|
| Product Name | Barigelli Olive Washing Machine Mod. B/L 20 |
| Function | Washes olives and removes foreign matter |
| Capacity | 800 kg per hour |
| Main Material | AISI 304 stainless steel |
| Motor – Foreign Body Removal | 0.37 kW |
| Motor – Leaf Removal | 0.37 kW |
| Centrifugal Pump Motor | 3.0 kW at 2,900 rpm |
| Screen Motor | 0.55 kW |
| Wash Tub | Dual taps for rapid water discharge |
| Operation | Continuous or batch washing cycles |
| Power Supply | 400 V, 50 Hz, 3 phase |
| Approx. Dimensions | 1,350 mm W x 1,350 mm L x 2,230 mm H |
| Approx. Weight | 200 kg |
| Country of Manufacture | Italy |
OLIVE OIL PROCESSING
For businesses and serious growers considering olive oil extraction, the idea of owning a machine for under $10,000 may seem like an attractive entry point. However, achieving high-quality olive oil requires advanced extraction technology that meets food-grade standards. The extraction process is highly technical, demanding specialised equipment to maintain oil integrity and efficiency. This guide will help you understand the essential components of olive oil processing, the investment required, and the best options for entering the market.
Many low-cost machines marketed for oil extraction—often priced around $2,000—are screw presses designed for seed and nut oils. These do not meet the requirements for proper olive oil extraction. Producing premium extra virgin olive oil requires specialised machinery that includes:
Without these advanced components, it is impossible to produce high-quality olive oil that meets commercial standards.
Each of these stages demands industrial-grade technology, making low-cost extraction machines impractical for producing high-quality olive oil.
For those serious about maintaining full control over their production, the Frantoino Olive Oil Press is an excellent entry-level option. With a processing capacity of up to 50kg per hour, it delivers professional-quality results in a compact and efficient design. Owning your own machine ensures complete flexibility and control over your olive oil production.
f you’re looking for a cost-effective alternative, buying a used machine can provide savings while still allowing you to own your equipment. Though used machines can be harder to source, platforms such as Olive Machinery list available second-hand units.
For those not ready to invest in machinery, a local processing facility provides access to high-grade extraction equipment without the capital investment. To find a processor near you, use The Olive Centre’s Processor Map.
Producing high-quality olive oil requires investment in the right equipment and processes. Whether you choose to own a professional machine like the Frantoino, explore second-hand options, or utilise a local processing service, there are solutions to suit different business needs. For those prioritising full control and flexibility, investing in specialized extraction equipment is the best path forward. However, used equipment and local processors provide accessible alternatives for those looking to test the market before committing to a larger investment.
Passion and Experience in olive oil and wine systems for high quality processing
Processing machine from 500kgs through to 10Tper hour
CLEMENTE … the difference in technological advancement
Enzymes and Talc for Olive Oil Production to help recover higher yields in early season fruit, high moisture conditions and more
Equipment for testing acidity and other equipment for analysis including NIR Analysers.
Vary the level of the oil with a variable capacity tank. Available in Flat Bottom or Conical Bottom in a wide range of sizes
Stainless Steel Tanks from Italy. Starting at 1,000L and can be custom made to your requirements.
Fruit Transfer machinery in Olive Oil Production process. Hoppers, Belt Elevators & Screw Elevators, Washing & Leaf Removal
Precision-engineered machines for crushing and malaxing olives, ensuring smooth processing and superior oil extraction quality.
High-performance units that separate oil, water, and solids with precision for clean, high-quality olive oil extraction.
OLIVE OIL PROCESSING SOLUTIONS
If you are looking for small-scale olive oil processing machines, olive oil processing machine prices, compact olive oil processing equipment for boutique groves, olive oil extraction machines for home use, olive oil press machines in Australia, the best home olive oil presses, and affordable olive oil processing machines for sale - many of which are available through The Olive Centre’s renowned range of processing, milling and extraction solutions.
Thinking about pressing your own olive oil for under $10,000 may seem tempting, especially for hobby growers. But when it comes to creating top-tier olive oil, a simple, budget-friendly machine won’t meet the needs. Producing quality oil requires carefully managed steps and solid equipment. Here's a clear look at how the process works and how beginners can get started without compromising quality.
Some machines, often sold for a few thousand dollars, claim to produce olive oil. But most of these are screw presses, which are more suited for seeds or nuts - not olives. For real olive oil extraction, you’ll need machinery built specifically to crush, knead, and separate the oil from the paste using centrifugal force. This setup ensures a high yield and preserves the oil’s natural flavour and antioxidants.
Getting into the actual steps means dealing with tough-skinned olives that need force to break down. From the initial crush to the slow and steady malaxing process, each part of extraction must be carefully controlled. Especially during malaxation, the paste needs to be stirred slowly and kept at the right temperature to let natural enzymes do their job and without this process the cell wall structure of the olive is not broken down to release the oil. This lets the oil separate cleanly during the separation phase of extraction. Machines under $10,000 typically lack the components and processes required to extract olive oil.
Olive oil extraction calls for power, control, and precision. Here's what’s involved:
If you're ready to begin, there are three practical routes depending on your budget and goals:
1. Buy Your Own Press - Frantoino Olive Oil Machine If you want full control and plan to press olives regularly, the Frantoino is a strong entry-level choice. It processes up to 50 kg per hour and gives you hands-on management of every step. You get compact, professional-grade results at home, making this machine perfect for small-scale producers who want flexibility and independence.
2. Consider Pre-Owned Equipment - Not everyone wants to invest in a brand-new setup right away. Buying a used press can cut costs without cutting quality - if you find the right machine. While second-hand units aren't always easy to locate, Olive Machinery has a section for used presses that may suit your needs. This option offers ownership without the higher initial spend.
3. Use a Nearby Processing Service - If you don’t want to buy a machine yet, look into local services that let you use commercial-grade equipment without owning it. This gives you access to professional tools without long-term costs. The Olive Centre’s processor map helps you find a service near you. This option is ideal for first-timers or those with smaller harvests.
Getting into olive oil production takes careful thought, but there are solid options for newcomers. Whether you want full control, a used machine that is cheaper on the budget, or access to a local press (see map-link below), there’s a solution that can work for your setup.
If control and consistency matter most, owning a machine like the Frantoino puts you in charge. If budget matters more, used equipment or shared services let you start small and grow. The key is to understand what each step requires and match that to the method that fits your goals.
Resources
For decades, engineers have envisioned a compact, efficient, and hygienic machine capable of producing extra virgin olive oil on-site. That dream is now a reality. Modern technology has made it possible for growers to produce their own extra virgin olive oil using a self-contained, economical system that delivers professional-grade results.
This innovation empowers Australian olive growers to add value to their produce - from picking and processing to bottling - using their own equipment. Beyond personal production, it opens the door for entrepreneurs to establish contract processing businesses, pressing olives for others with ease and precision.
Centrifugal extraction technology was a revolution in the olive oil industry. It replaced older, labour-intensive systems with continuous-flow designs that offered greater hygiene, improved labour efficiency, and higher capacity. These advances quickly made the traditional hydraulic press obsolete.
In the past, Mediterranean growers would haul heavy sacks of freshly picked olives - often already fermenting - to local mills. There, they would join the community in spreading the crushed paste onto mats and watching as hydraulic presses squeezed out the golden liquid. It was a scene rich with tradition, aroma, and anticipation.
Today, the romance of that process has given way to something far more refined. Continuous-flow extraction plants now accept fruit within 48 hours of harvest to prevent overheating and fermentation. Delivered in ventilated plastic crates, the olives enter stainless steel systems that maintain strict hygiene standards, emerging as pure, high-quality oil. The process may lack the old-world spectacle, but it ensures superior product consistency and safety.
Currently, hundreds of Australian processors are already achieving outstanding results with Oliomio systems, producing exquisite extra virgin olive oil from their own fruit. True to its name - Oliomio, meaning “My Oil” - this technology gives growers full control over every stage of production, from fruit to finished bottle.
Each Genuine Oliomio machine is backed by excellent technical support provided by The Olive Centre, the exclusive Australian distributor. The Olive Centre offers on-site installation and comprehensive after-sales care to ensure growers get the best possible results from their investment.
The rise of accessible, high-performance extraction equipment marks a turning point for the Australian olive industry. Growers can now operate with greater independence, reduce processing costs, and elevate the quality of their oil - all while maintaining the authenticity and freshness that consumers demand.
As The Olive Centre team notes, this innovation was made possible thanks to the enthusiasm and vision of Australian olive growers themselves. Their commitment to excellence has driven this exciting step forward in local production.
Whether you’re looking to press your own olives or launch a boutique processing service, Oliomio offers a practical, proven pathway to success. For more information and a free information booklet, contact The Olive Centre - and take the first step toward making “My Oil” truly your own.
Frantoino BIO olive oil processor by Oliomio
HYDROLAVA OLIVE WASHING UNIT
MORI-TEM FR.250 Olive Crusher
Oliomio 500 Series with Group Malaxing
Olive Belt Elevator by Oliomio
Speedy SV Oil Filling Machine - 2, 4 & 6 Valve - Sottovuoto – Vacuum Filling by MORI TEM
MORI-TEM DMT Series Olive Oil Extraction Decanter Units
Knocker Pump Paste Transfer
MORI-TEM Electrical Installations – Cultivar & Tecnotem Line
See More: Oliomio Machinery
OLIVE OIL PROCESSING MACHINERY
Barigelli olive oil machinery installations detail the complete journey from fruit preparation to final oil extraction. Each installation shows how individual components-crushers, malaxers, decanters, and clarification systems - work in synchrony to deliver consistent, high-quality olive oil. The following sections summarise each functional stage of the production line, referencing installation examples.
This installation combines olive crushing and paste malaxing in a compact continuous system. The crusher prepares the olive paste uniformly before transfer to the malaxing tanks, where controlled mixing optimises oil separation. Integrated control settings manage paste temperature, timing, and batch flow to maximise extraction efficiency.
Image: Vertiical Separator with Stand, Malaxing Unit with Crusher, Decanter & Control Panel all connected with raceway.
This installation showcases the Barigelli BVD 6-10 olive oil extraction system equipped with an integrated control panel. The setup includes a crusher, malaxing system, and decanter, designed for continuous olive oil processing. The control panel allows operators to manage temperature, timing, and extraction parameters for optimal oil yield and quality.
Barigelli stainless steel vertical separator in operation, showcasing freshly extracted olive oil flowing smoothly from the outlet into the collection tank. The design ensures efficient liquid separation of oil while preserving aroma, colour, and quality of extra virgin olive oil.
Barigelli’s high-capacity decanter systems designed to separate oil, water, and solids in a single continuous process. The horizontal design ensures high separation efficiency, reduced energy consumption, and easy maintenance access for operators.
Barigelli Early Decanter Models and First Olive Oil Plant
Barigelli’s pioneering olive oil extraction technology - from the early B/D 400 (1995) and B/D 500 (1998) decanters to the B/DF 400H hydraulic version and the first complete olive oil plant (1998). These models mark the foundation of Barigelli’s innovation in continuous olive oil processing systems.
Barigelli Decanter and Mobile Extraction Units (2005 - 2009)
Barigelli’s advanced range of decanters and mobile olive oil extraction units developed between 2005 and 2009. The models include B/DF 125 (2007), B/DF 800H (2005), and B/DF 650 XLH (2009), alongside mobile versions such as the B/DF 125H (2008) and B/DF 400LH (2007). These systems represent a leap in continuous extraction technology, combining high efficiency, portability, and precision oil separation.
Barigelli 4.50 HRY olive oil extraction setup featuring stainless steel decanters, pumps, and separator units. The continuous line integrates crushing, malaxing, decanting, and final clarification, designed for high-capacity and consistent extra virgin olive oil production.
Barigelli CA 5.10 HRY decanter, a high-efficiency centrifuge designed for large-scale olive oil extraction. Built with precision stainless steel, the system separates oil, water, and solids in a continuous process, ensuring maximum yield and superior oil quality.
Different malaxing setups can be offered in a linear system, stacked or as a bank setup.
Barigelli Olive Oil Processing Installation
Barigelli Olive Oil Processing Installation on working
Oil clarification are critical steps that can help to maintain the purity, stability, and quality of extra virgin olive oil. Once oil has been separated in the decanter, it still contains microscopic solids, waxes, and water traces. Vertical separators separate unwanted parts to minimise fermentation and cloudiness, ensuring that the oil remains bright, aromatic, and longer-lasting. Barigelli systems feature stainless-steel food-grade modules integrated directly into the processing line, allowing continuous operation without halting production or creating bottlenecks. Their modular construction supports single or multi-stage malaxation.
Barigelli stainless-steel feed system with inline sight-glass valves and transparent inspection panels. Designed for continuous olive oil feed.
Barigelli Malaxing tank showing olive paste during the malaxation phase. The transparent inspection lid allows operators to monitor flow and sediment removal, ensuring consistent oil purity before final separation.
Barigelli transparent sight chamber showing paste flow during malaxation. The precision assembly allows real-time visual monitoring of paste flow.
Barigelli multi tank malaxing facilitating automatic paste transfer with solenoids.
Barigelli’s complete olive oil processing lines integrate every stage of production into a single automated system. From olive crushing to oil clarification, each unit ensures precision control, continuous flow, and consistent extraction results tailored to the producer’s scale.
A fully installed Barigelli line featuring the CA 510 HRY horizontal decanter and automated control system. This configuration offers real-time process monitoring, stable separation, and high extraction efficiency within a compact plant layout.
A series of mobile Barigelli units designed for flexible deployment in field or facility operations. Available in multiple capacities (6, 25, and 80 m³/h), these compact systems provide full olive oil extraction and clarification capability on-site for portable or remote production environments.
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Type |
Decanter Type | Working Capacity | Installed Power | Power Consumption | Water Consumption | L/hr | ||
|
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|
Kg/hr | kW | kW | 2 Phase | 3 Phase | ||
| 6 - 10 Junior | B/D 300 | 300/500 | 22.5 | 15 | 0 | - | ||
| 20 - 25 | B/D 400 | 800/1100 | 50 | 28 | 0 | 160/250 | ||
| 35 - 45 |
B/D 400L |
1400/1800 | 50 | 34 | 0 | 160/250 | ||
| 50 - 60 |
B/D 500 |
2000/2500 | 75 | 55 | 0 | 200/350 | ||
| 70 - 95 |
B/D 500L |
3000/4000 | 90 | 75 | 0 | 250/350 | ||
| 115 - 150 |
B/D 650 |
6000/7000 | 140 | 110 | 0 | 500/700 | ||
| 150 - 200 |
B/D 650L |
7000/9000 | 170 | 125 | 0 | 700/900 | ||
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Each Barigelli installation demonstrates efficient integration of key processing stages—crushing, malaxing, decanting, clarification, and control - within a single automated framework. The result is precise, continuous olive oil production tailored to modern operational standards. These installations reflect the reliability and scalability essential for both boutique and industrial olive oil processors.
MARKET INSIGHT: GLOBAL OLIVE OIL ECONOMY 2023
Introduction
The global olive oil industry in 2023 has entered uncharted territory, experiencing an extraordinary surge in olive oil prices driven by a combination of climatic and economic forces. At the centre of this crisis lies Spain’s devastating drought, which has crippled the world’s largest olive oil producer. This severe shortage has led to a dramatic contraction in olive oil supply, triggering price escalation and a corresponding decline in consumer demand. The ripple effects are being felt worldwide, reshaping the balance between producers and consumers alike. Meanwhile, Australian olive oil producers find themselves in a rare position of advantage, benefitting from unprecedented market highs. This article explores the causes, consequences, historical trends, and economic signals surrounding this remarkable global olive oil price spike.
The ongoing drought across Spain stands as the principal factor behind the current olive oil price surge. As one of the largest olive oil-producing nations globally, Spain’s drastically reduced harvest - caused by months of extreme heat and minimal rainfall - has sharply curtailed olive oil availability in both European and international markets. This has intensified supply shortages, compelling consumers to pay more for what has long been a staple Mediterranean product. The interplay of limited supply and escalating demand has magnified price volatility, reinforcing the classic supply-and-demand imbalance now driving global markets.
Incredible to see the olive groves of Jaen, Spain. This one province produces around a fifth of the *entire* global supply of olive oil
— Secunder Kermani (@SecKermani) August 31, 2023
But a combination of drought & extreme heat has left many trees badly weakened... This years harvest looks set to be the worst in living memory pic.twitter.com/QYs41eXCwC
As prices have risen steeply, the shortage of olive oil has led to a noticeable decline in consumption, particularly in Spain, where demand has reportedly dropped by around 35%. Consumers are now scaling back their purchases, finding olive oil increasingly unaffordable compared to other cooking oils. The once-steady household consumption patterns are shifting as people seek alternatives or modify their cooking habits. This contraction in domestic demand not only highlights the growing accessibility gap for consumers but also underscores the broader economic strain caused by high inflation and food price increases.
Amid the turmoil, Australian olive oil producers are experiencing a windfall. Thanks to limited global supply, Australian growers are commanding record prices exceeding AUD $8 per litre, marking the highest levels ever recorded in the nation’s olive oil industry. This lucrative period presents a rare opportunity for Australian exporters, with demand from Europe - including Spain itself - now turning toward Australian supplies. For producers Down Under, this unique reversal of roles underscores how regional climate resilience and diversified production can translate into significant financial gains when global shortages arise.
The olive oil market’s volatility is not a new phenomenon. Previous spikes occurred in 1996, 2006, and 2015, each triggered by weather-related supply constraints. Yet, the 2023 price explosion stands out as the most dramatic in recorded history -over 40% higher than any previous price peak, and roughly double the magnitude of earlier surges. This extreme escalation reflects not just climatic hardship but a clear pricing bubble forming within the market, echoing the cyclical nature of commodity pricing.
The olive oil sector has long followed cyclical pricing patterns, typically alternating between low and high price phases roughly every decade. The current surge aligns almost perfectly with the predicted start of another 10-year cycle, occurring just three years into its anticipated timeline. Furthermore, a notable correlation has been identified between the Australian Food Inflation Index and the Global Olive Oil Price Index as reported by the International Monetary Fund (IMF). This connection illustrates the deep interdependence between food commodity pricing and global economic conditions.
While the IMF’s benchmark prices are denominated in USD, for the purposes of this analysis they have been converted to AUD to track the trend relative to Australian markets. These benchmark indicators -based on the world’s largest olive oil exporters -serve as a reliable gauge of overall market direction, confirming how global shortages and inflationary pressures move in tandem.
Global olive oil prices show a recurring 10-year cycle, driven by droughts, crop shortages, and rising production costs
From a technical analysis perspective, the Relative Strength Indicator (RSI) is often used to measure price momentum and potential overextension in markets. On recent olive oil price charts, the RSI (represented in purple) indicates that prices have once again entered overbought territory - a level seen during previous speculative phases. Historically, such readings have preceded market corrections or reversals, suggesting that the current surge may not be sustainable in the long term.
Analysts caution that as the European olive harvest begins in September and October 2023, an influx of new oil supplies could help ease prices, though the timing and extent of this correction remain uncertain. Until then, speculative trading and limited inventory continue to support inflated market values.
The record-breaking olive oil prices of 2023, primarily triggered by Spain’s drought-induced production collapse, mark a turning point for the global olive oil economy. With consumer demand declining under the pressure of soaring prices and Australian producers thriving amid the scarcity, the industry is experiencing a dramatic rebalancing. Historical precedents, cyclical trends, and market indicators all point toward a complex, transitional period defined by volatility and uncertainty.
As the world’s producers, traders, and consumers adapt to these new market dynamics, one truth remains clear: olive oil - celebrated for its taste, health benefits, and cultural significance - continues to be at the mercy of both climate change and economic cycles. Stakeholders across the value chain must remain alert, flexible, and forward-thinking as the olive oil market navigates this extraordinary phase of transformation.
Other Sources
Valuing your olive oil processing machinery – from presses and decanters to tractors and harvesters – is an important task for Australian producers. Whether you’re a small boutique grove or a commercial olive operation, knowing what your equipment is worth helps with insurance, resale, and financial planning. This guide explains how to value used olive oil processing machinery (with notes on new equipment costs), covers multiple valuation methods, and offers a practical Australian context. We’ll also include example scenarios (like a decade-old olive press vs. a nearly new separator) and provide tips to maintain your gear’s value over time.
Olive oil production involves specialised machinery at harvest and processing time. Key processing equipment includes olive crushers or mills (to crush olives into paste), malaxers (which slowly mix the paste), and centrifugal decanters/separators (which separate oil from water and solids). Supporting items like pumps, olive washers, and filtration units are also part of the system. Many Australian groves also use standard farm equipment such as tractors, mechanical harvesters, pruning and spraying equipment, and irrigation systems. When assessing value, focus first on the core olive oil machinery, but remember that methods discussed here apply to your tractors, harvesters, and other farm gear as well.
Modern olive processing machinery is a significant investment. For reference, a small continuous-flow olive mill (e.g. 30 kg/hour throughput) might cost around A$20,000 new, while a large commercial plant (capable of ~1 tonne/hour) can run into the hundreds of thousands of dollars. Such figures underscore why proper valuation is essential – these assets represent major capital on the farm. Below, we outline several methods to evaluate what these machines are worth, especially as they age or when considering second-hand purchases.
Valuing used farm equipment is not an exact science – it’s often best to use multiple methods to triangulate a reasonable value. Common approaches include using depreciation schedules, comparing recent market sales, calculating value based on income or cost savings, considering insurance replacement cost, and accounting for residual (salvage) value. Each method gives a different perspective:
Depreciation is the loss in value of equipment as it ages. A simple way to estimate a used machine’s value is to start from its original cost and subtract depreciation. There are two main depreciation methods: straight-line (also called prime cost) and declining-balance (diminishing value). Straight-line depreciation assumes the asset loses value evenly over its useful life, while declining-balance depreciation assumes a higher loss in early years and less in later years.
For instance, if a small olive press was purchased new for $30,000 and has a 15-year life, straight-line depreciation would be ~6.67% per year (100/15). After 10 years (two-thirds of its life), it would be about 10 × 6.67% ≈ 66.7% depreciated. In simple terms, its book value might be roughly 33% of the original cost (around $10,000 in this example). This assumes no residual value; in practice, you might add a small salvage value (see Residual Value section) instead of depreciating to zero.
Example (Depreciation Method): You bought an olive mill for $100,000 new, which is now 10 years old. Using straight-line (15-year life), its book value would be roughly $100k × (5/15) = $33k remaining. Using diminishing value (13.33% yearly), its book value might be closer to $24k–$25k after 10 years. You could cite these as a range – perhaps saying the machine is “approximately $25k–$33k based on age” – then adjust up or down for condition. If your equipment’s been exceptionally well maintained or lightly used, it might fetch more than the book value; if it’s in rough shape, it could be less.
One of the most practical valuation methods is to see what the market is willing to pay for similar equipment. Check recent listings and sales of comparable olive oil machinery or farm equipment. In Australia, useful platforms include:
Example (Market Comparison): Suppose you own a 10-year-old press (same as above) and find two similar presses listed: one in NSW for $40k (fully serviced, ready for work) and one in SA for $30k (sold as-is, needs some repairs). If your machine is in good working order with maintenance records, the market approach might suggest a value in the high $30k’s. You’d then cross-check this against the $24k–$33k depreciation estimate – if the market seems to be paying a premium (perhaps due to a shortage of used presses), you might lean toward the upper end of the range. On the other hand, if no one is buying presses because many olive groves use custom processing services, you might have to price on the lower end to attract interest.
Another angle is to value equipment based on the income it produces or the savings it provides. This method essentially asks: How much is this machine worth to my farm’s profitability? There are a couple of ways to think about it:
Example (Income Approach): Consider a recently purchased separator (centrifuge) that cost $15,000 new and is only 2 years old. Depreciation might put it at $10k–$12k book value now. But you bought it to improve your oil quality and yield – and indeed, oil yields went up 5%, earning you an extra $5,000 in oil sales each year. If we assume it has at least 8 years of life left, that’s potentially $40k additional income coming. Even discounting future years, the value-in-use of that separator might be on the order of $30k. Of course, no one would pay $30k for a used unit when a new one is $15k, but this tells you that for your own insurance, you might want it covered for replacement cost, and that selling it would only make sense if you exit the business or get a bigger unit. In other words, the ROI approach here tells you the separator is “worth more to me on the farm than to anyone buying it,” so you’d hold onto it unless necessary.
From an insurance perspective, valuation is about ensuring you could replace the equipment if it’s damaged or lost. There are two main concepts used by insurers:
Where to find replacement costs? Contact dealers or check current price lists for the closest equivalent new model. For instance, if your 2008 olive mill is no longer sold, find the price of the current model with a similar capacity. Don’t forget to include freight to your location and installation costs in the replacement figure, as a new machine often involves these. In Australia, companies like The Olive Centre or Olive Agencies can provide quotes for new machinery. We saw earlier that small Oliomio units started around $19.5k a few years back – those prices can guide insurance values for hobby-scale equipment. For larger systems, get a formal quote if possible, since custom setups vary widely.
Also, consider partial loss scenarios: insurance may cover repairs. If you have an older machine, parts might be scarce, so even repairs could approach replacement cost. This is another reason some farmers insure older critical items for replacement cost if they can.
Tip: Document your equipment’s details (serial numbers, specs) and keep evidence of its condition. In an insurance assessment, having maintenance logs, photos, and appraisals can support your valuation. Insurers might depreciate based on a generic schedule, but if you can show your press was fully refurbished last year, you have a case for a higher value. As one farm insurer explains, typically anything over ~8–10 years might only get ACV coverage. If your gear is older but in mint condition or has an ongoing role generating income, discuss options with your insurer – you might opt for a higher agreed value or a policy rider for replacement.
No matter which method you use, don’t forget that machinery usually has some residual value at the end of its useful life. This could be as spare parts, scrap metal, or a second life in a lower-intensity setting. Incorporating residual value prevents undervaluing the asset (and avoids over-depreciating on paper).
When valuing for sale, you might actually set your asking price near the salvage floor if the item is very old. This makes the offering attractive to bargain hunters while ensuring you recover at least scrap value. On the flip side, if you’re buying used equipment, be wary of prices that are at or below typical scrap value – it could indicate the machine is only good for parts.
In summary, always account for the “leftover” value. For insurance, that might not matter (since a total loss is a total loss), but for appraisals and decisions like trading in vs. running to failure, knowing the salvage value helps. For example, if a decanter’s internals are shot, it might still have a salvage value of $5,000 for the stainless steel. That $5k is effectively the bottom-line value no matter what.
Example (Residual Value): You have a 15-year-old tractor that’s been fully depreciated on your books. However, it still runs and could be a backup or sold to a small farm. Checking online, you see similar 80 HP tractors from the mid-2000s selling for around $15,000. That’s the residual market value. Even if you only get $10k due to some issues, that’s far above scrap metal value (maybe a few thousand). Therefore, in your valuation, you wouldn’t list the tractor as $0 – you’d acknowledge, say, a $12k residual value in fair condition. This logic applies to olive equipment too: an old olive washer or oil storage tank might be fully written off in accounts, but it has residual usefulness that someone will pay for.
Each method has its strengths. The table below summarises and compares these approaches:
Each method yields a piece of the puzzle. In practice, when preparing a valuation (for example, for a financial statement or an insurance schedule), you might list multiple figures: “Depreciated value: $X; Likely market value: $Y; Replacement cost: $Z.” This gives a range and context rather than a single uncertain number
Let’s apply the above methods to two concrete scenarios to see how they complement each other:
Scenario 1: Valuing a 10-Year-Old Olive Oil Press
Background: You purchased a medium-sized olive oil press (continuous centrifugal system) 10 years ago for $100,000. It has been used each harvest, processing around 50 tonnes of olives per year. It’s well-maintained, though out of warranty now. You are considering upgrading to a newer model and want to determine a fair sale price or insurance value.
Scenario 2: Valuing a Nearly New Separator (Centrifuge)
Background: You bought a new centrifugal separator (vertical centrifuge for polishing oil) 1 year ago for $20,000. It’s a high-speed clarifier that improves oil quality. Unfortunately, you’re now restructuring your operations and might sell this unit. It’s in “as-new” condition. How to value it?
Valuing farm equipment in Australia comes with some local considerations that can affect prices and depreciation. Here are a few factors particularly relevant to Aussie olive producers:
Depending on your goal – insuring the asset, selling it, or accounting for it – you’ll approach valuation with a slightly different mindset and requirements. Here’s how to handle each:
By implementing the above steps, you not only retain the value of your olive oil machinery but can enhance it relative to similar-aged units on the market. A well-maintained 15-year-old olive press could outperform a neglected 10-year-old press, and its value would reflect that. Many buyers would rather pay more for the former, knowing it was cared for. Good maintenance is like money in the bank for equipment value.
Specialised machinery like over-the-row olive harvesters can hold their value well if maintained, though hours of use and local demand are key factors. For instance, the Colossus harvester pictured (built in Mildura, VIC) had logged about 7,735 hours – yet with components rebuilt and good upkeep, it remains a sought-after asset for large groves. When valuing such equipment, consider service history (e.g. newly rebuilt conveyors or engines), as major refurbishments can extend useful life significantly. Heavy machinery also benefits from many of the tips above: regular cleaning (clearing out olive leaves and dust), timely engine servicing (as per John Deere engine schedules in this case), and storing under cover in off-season all help preserve value. Usage hours are akin to mileage on a car – they directly impact value, but how those hours were accumulated (easy flat terrain vs. rough use) also matters. Keeping detailed records (hours of use per season, any downtime issues resolved) will support a higher valuation when selling to the next operator.
Finally, don’t underestimate the value of operational knowledge and support documents. If you’re handing off a complex piece of gear, providing training to the buyer or passing along your notes (like ideal settings for different olive varieties, or a log of any quirks in the machine and how to manage them) can make your item more attractive, thereby supporting your asking price. It’s not a tangible “value” in dollars, but it eases the sale and might tip a buyer to choose your machine over another.
Valuing olive oil processing machinery and farm equipment requires blending hard numbers with practical insight. By using depreciation formulas, checking market prices, considering the machine’s contribution to your farm, and factoring in replacement costs, you can arrive at a well-supported valuation range. Always adjust for the realities of the Australian market – our distances, climate, and industry size mean context is key. And remember, the way you care for and present your equipment can significantly sway its value.
Whether you’re insuring your olive press, selling a used tractor, or just updating your asset register for the accountant, a thoughtful valuation will pay off. It ensures you neither leave money on the table nor hold unrealistic expectations. Use the following checklist as a guide whenever you undertake a machinery valuation:
Valuation Checklist for Olive Machinery & Farm Equipment:
Valuing farm equipment is part art and part science. The science comes from formulas and data; the art comes from experience and understanding of how your machinery fits into the bigger picture. With the guidelines above, you have tools from both domains at your disposal. Happy valuing – and may your olive machinery serve you efficiently and profitably throughout its life!
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