Farming and olive oil exports drive Tunisia’s GDP growth

• Sector surges 7% year on year
• Olive oil exports reach $686m
• Sharp decline in construction

A surge in the farming sector, spurred by high olive oil exports, boosted Tunisia’s gross domestic product by 2.6 percent year on year in the first quarter of 2026.

Modest growth in other sectors also drove the expansion in Tunisia’s GDP, although there was a sharp decline in construction activity.

Construction tumbled by more than 7 percent year on year and more than 10 percent compared with the previous quarter, following a general regional slump in March as a result of the Iran war.

The farming sector was the star performer in the first three months of this year, rising by about 7 percent year on year, according to Tunisia’s National Institute of Statistics (NIS).

The agricultural sector is one of the largest contributors to Tunisia’s GDP and is dominated by olives and olive oil.

Tunisia’s olive oil exports increased by 38 percent to TD1.99 billion ($686 million) in the first quarter of 2026 from TD1.44 billion in the first quarter of 2025, according to NSI.

Given its limited hydrocarbon resources, Tunisia relies mainly on farm exports, tourism and remittances for its hard currency income.

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• Tunisia’s trade deficit widens as imports from China and Turkey rise

The country has suffered from a large trade deficit over the past few years, mainly because of a steady rise in imports and slow export growth.

Experts have also blamed a government tendency to increase commercial exchanges with China and Russia following a surge in imports from these countries.

There was a deficit of around $3 million in trade with China and $1.6 million in trade with Russia in the first half of 2025, said Zuhair Al-Halawi, an economics professor at Tunis University. However, Tunisia recorded surpluses with the US and some EU countries.