Olive oil plays an important role in the European Union countries where Spain, Italy and Greece are the main actors. Spain industry knew a flourished period by confirming its own leadership in this sector. Spain is the main olive oil producer and exporter in the world. Starting from this evidence, the main objective of this work is that of analysing the price transmission at the national level to understand in which way this activity has some impact on the international ones. At first we look at the national production and Spanish trade flows, then, we study how the exports and imports affect the consumption, and in which way consumption and production affect exports and imports. Finally, we also consider the effects of European policy intervention in olive oil market.