History

Chios’ history has been closely related to mastiha, as ever since antiquity the isle has enjoyed the exclusive privilege of producing it. Ever since Byzantium’s decadence, several oriental nations have obstinately claimed Chios island, in order to be able to control mastiha’s exclusive trade. The first systematic organization of mastiha’s trade took place during the Genoese Occupation of Chios. More specifically, in 1347 a company named «ΜΑΟΝΑ» was founded in Chios and undertook the exclusive management and trade of mastiha. Mastiha’s trade was liberated during the Ottoman Occupation, even though great part of the production was detained by the Turkish authorities as subjugation tax, and collected by a special commissioner sent by the Sultan. Mastiha’s trade thrived until the beginning of the 20th century, when Word War 1 caused a severe crisis to mastiha, among others. By the end of the war and the return to stability, mastiha growers could finally restart the cultivation procedure. But the product did not manage to regain its past prestige. That difficult situation captured the State’s attention and in 1938 Law No. 1390 was finally promulgated, thereby founding the 20 Mastiha Growers Associations, with the compulsory participation of all growers as members. The same law also provided for the founding of the 20 Cooperatives’ Association, named “Chios Mastiha Growers Association”. The Association started its operations the year after Law 1390 was published, that is in 1939, presided by Dr. G. Stagoulis. Already from the first year of its foundation, the Association tripled the price paid to the growers, but World War II and then the German Occupation suspended the Association’s commercial activities. After the war, the Association had to deal with harsh and complex problems, as great part of the production remained unsold, adding to the reserves from the occupation period. For that reason, the Association turned to its pre-war markets and looked for new ones. In 1958, consumption reached the levels of production. The next target for the Association was to raise growers’ revenue by increasing consumption through increased production. Mastiha sales passed from 183,000 kilos in 1958 to 241,000 kilos in 1962, something that was indeed a great success. Besides that commercial activity on behalf of the Association, efforts were also made for mastiha’s industrial processing. In 1950, mastiha oil was first produced in the Association’s special premises, by way of mastiha distillation using water vapour. In 1957 the first chewing gum confection unit began its operations with machines covering all production stages: mixing – pulping – confection of the chewing gum’s core – confection of tablet – packaging with material made by the Association itself in its printing unit. In 1985 it inaugurated the modern factory for the production of ELMA chewing gum. 1997 was a key year for mastiha’s history, as the European Union recognized Chios mastiha, Chios mastiha oil and Chios ELMA chewing gum as PDO products (Protected Designation of Origin), according to regulation No. 2081/92 of the EEC. In 2001, following the requirements of modern economic environment, those products were certified by ISO 9001 and HACCP. The next important event in the history of Chios Mastiha Growers Association was the foundation of its subsidiary company named Mediterra S.A., with the purpose of developing a retail network for mastiha and its products, under the brand name of “mastihashop”. The Association desires and aims at developing a network of stores both in Greece and abroad, with a view to forward, demonstrate and promote mastiha and its different uses and qualities, through mastiha products produced in Chios, in Greece or abroad. In 2006, Mediterra S.A. founded in Chios a modern factory for the confection of mastiha based sugary products, while in February 2008 the company was introduced into the Alternative Market of the Athens Stock Exchange, its principal stock-holder being Chios Mastiha Growers Association with 51% of stocks. The company’s deposited share capital is 3,650,000 € while its equity capital exceeds 5,000,000 €. In 2008, mastiha became part of the E.U. financially supported products, which is a particularly significant evolution for mastiha growers. Finally, in the end of 2008 construction work began for the building of a new, utterly modern mastiha processing plant.

Mastiha is the product of the lentisk, a shrub tree that has grown and thrived since ancient times exclusively on the southern part of Chios. As a result of which, the isle’s entire history has been closely related to Chios Mastiha.

Thus, ever since Byzantium’s decadence, several oriental nations have obstinately claimed Chios island, in order to be able to control mastiha’s exclusive trade. Later on, during the Ottoman Occupation, the inhabitants of Southern Chios enjoyed significant privileges thanks to their mastiha.

The first pieces of information regarding mastiha’s systematic and organized trade come from the Genoese Occupation of Chios.

More specifically, in 1347 a company named «ΜΑΟΝΑ» was founded in Chios, aiming at tax collection but also at the exclusive management and trade of mastiha. Mastiha’s trade was liberated during the Ottoman Occupation, even though great part of the production was detained by the Turkish authorities as subjugation tax, and collected by a special commissioner sent by the Sultan. Mastiha’s trade thrived until the beginning of the 20th century, when Word War 1 caused a severe crisis to mastiha, among others, something which made mastiha growers discontinue the cultivation of lentisks.

By the end of the war and the return to stability, mastiha growers could finally restart the cultivation procedure. But the product did not manage to regain its past prestige. Consequently, as trade was unable to absorb the entire production, the State had to deal with the problem by imposing limitative measures to the quantities produced. The relevant Law 4381, promulgated in 1929, limited the lentisks’ “incision” (kentos) procedure and mastiha gathering to three months (from July 15 to October 15) and did not permit the planting of new lentisks unless authorized by the Prefect. Law 4381 was actually the first official reaction on behalf of the state with regard to mastiha production. Nevertheless, the situation did not get any better. The prices were kept low to unprofitable levels and that was something that despaired growers.

As a consequence, growers started to express their problems in a collective manner, something which gradually took the form of struggle. Following a series of meetings and congregations which took place around 1930-1936 in the central villages of mastiha (Mastihohoria), growers manifested a unanimous will to resolve their problems by creating cooperatives. That course of action captured the State’s attention, which in 1938 promulgated Law 1390, thereby founding 20 Mastiha Growers Cooperatives with all growers as members. The same law defined the foundation of the 20 Cooperatives’ Association, named “Chios Mastiha Growers Association”, as a compulsory cooperative “aiming at protecting Chios Mastiha by way of the systematization of its production, gathering, packaging and commercial distribution”. Under those new circumstances, every grower was required to deliver the entire quantity produced to the local cooperative where he belonged. The 20 local cooperatives would then forward mastiha to the Association, which was responsible for its further processing and trade.

The relevant law included the following: “With the purpose of protecting Chios mastiha by way of the systematization of its production, its gathering, its packaging, its processing and its joint trade, this law hereby imposes the compulsory cooperative organization of all Chios mastiha growers.”

The Association started its operations the year after Law 1390 was published, that is in 1939. The first board of administrators was composed by G. Stagoulis, president, G. Theotokas, vice-president, I. Georgalos, Kim. Pyrgaris, Iak. Amygdalos, M. Triantafyllos, as members and I. Koufopantelis, Chr. Sparounis and K. Giannaris as permanent members.

Already from the first year of its foundation, the Association tripled the price paid to the growers. There were orders coming from Iraq, Egypt, India and Syria, reaching up to 80 tons, but World War II and then the German Occupation impeded those activities and suspended the Association’s work before it even had the chance to begin. Mastiha growers kept cultivating their trees and producing mastiha during the occupation, but the Association could not accumulate the production for lack of monetary stability and due to the economy’s total disorganization. But even if it accumulated the quantities produced, it would be totally impossible to sell them due to the embargo from all foreign markets.

The Association’s real feat took place after the war. Not only did it manage to accumulate the yields of 1946 and 1947, but it also gathered the entire quantity of mastiha produced during the occupation that had remained unsold. So, in terms of production, mastiha growers were financially supported in times of painful shortage and great need. But in terms of trade, the situation was absolutely disappointing as the economies of all countries were on the verge of collapse, business deals had been stalled and external trade disorganized. There was no money not even for food or medicines.

After the war, the Association had to deal with harsh and complex problems. As opposed to an annual production of 150,000 okas, the consumption did not exceed 90,000 to 100,000 okas. The rest remained unsold and was added to the reserves from the occupation period. There was a need for yearlong and painstaking efforts for saving the product and its growers who represented approximately 5,000 families. For that reason, the Association turned to its pre-war markets, looked for new ones as well as for new ways of using mastiha. Its efforts were finally successful and that was a real feat. In 1958, consumption reached the levels of production. The next target for the Association was to raise growers’ revenue. That could be met by improving the product’s selling price and by raising consumption through increased production. The results of the following five years showed the level of success. Mastiha sales passed from 183,000 kilos in 1958 to 241,000 kilos in 1962 and consequently growers’ revenue rose from 12,000,000 drachmas in 1958 to 21,000,000 drachmas in 1962. Indeed, the liquidation prices given by the Association to the growers showed a remarkable improvement with a rise of 18.3%.

Those activities helped the Association to resolve the intense problem of mastiha’s trading and to increase its consumption to levels exceeding the annual production. For that purpose, growers were required to proceed to an intensive cultivation of lentisks and upon a request made by the Association, the Council of Ministers allowed for an extension of the production period by two months – which had been limited to three months by Law 4381 back in 1929. That act took effect in 1963, though reduced by one month, that is from July 1st to October 31. Besides that specific activity on behalf of the Association for the promotion of that natural agricultural product of Chios, efforts were also made for mastiha’s industrial processing. In 1950, mastiha oil was first produced in the Association’s special premises, by way of mastiha distillation using water vapour. In 1957 the first chewing gum confection unit began its operations with machines covering all production stages: mixing – pulping – confection of the chewing gum’s core – confection of tablet – packaging with material made by the Association itself in its printing unit. In 1957 production had reached 8,000 kilos and in 1988, 192,000 kilos. But the Association did not limit its activity to mastiha’s promotion. With the purpose to increase growers’ revenue and to improve their living standards, the Association undertook as well the protection of other products produced in Mastihohoria. Thus:
every year it took all necessary actions for the accumulation and trading of aniseed, cumin, figs, carob-beans, olives and olive oil.
it participated in the expenses regarding the improvement of Chios sheep, within a program implemented by the Direction of Agriculture.
it participated in the running expenses of a centre for the improvement and reproduction of Jersey cows.
it supported the efforts for expanding olive tree cultivation.
it collaborated with Chios Direction of Agriculture for the implementation of new cultivation methods aiming at qualitative and quantitative improvement of production.
it supplied growers with high quality seeds, tools, fertilizers and other agricultural equipment at low prices.
it founded oil-mills, flour-mills and a seed-oil press, it financed drillings and created stores with everyday and home items.
it created an agricultural insurance agency and developed activities that played an important role as to the isle’s economy but above all as to mastiha growers’ financial situation.
it financed its cooperatives so that they could afford premises, offices, cinema halls, threshing machines, storage spaces and other fixed assets.
but the most important expression and manifestation of cooperative ideals was its activity in the field of Agricultural Credit. Indeed, it implemented an exclusive loan system for growers, by simplifying transaction procedures.

In 1985 it inaugurated the modern factory for the production of ELMA chewing gum. 1997 was a key year for mastiha’s history, as the European Union recognized Chios mastiha, Chios mastiha oil and Chios ELMA chewing gum as PDO products (Protected Designation of Origin), according to regulation No. 2081/92 of the EEC.

The next important event in the history of Chios Mastiha Growers Association was the foundation of its subsidiary company named Mediterra S.A., with the purpose of developing a retail network for mastiha and its products, under the brand name of “mastihashop”. The Association desires and aims at developing a network of stores both in Greece and abroad, with a view to forward, demonstrate and promote mastiha and its different uses and qualities, through mastiha products produced in Chios, in Greece or abroad.

In 2006, Mediterra S.A. founded in Chios a modern factory for the confection of mastiha based sugary products, while in February 2008 the company was introduced into the Alternative Market of the Athens Stock Exchange, its principal stock-holders being: Chios Mastiha Growers Association with 51% of stocks, Zaitech Fund (ATTICA VENTURES) with 28%, Platona Enterprises with 5,5% and ΚΟRRΕS S.A. with 5,1%. The company’s deposited share capital is 3,650,000 € while its equity capital exceeds 5,000,000 €.

In 2008, mastiha became part of the E.U. financially supported products, which is a particularly significant evolution for mastiha growers. Finally, in the end of 2008 construction work began for the building of a new, utterly modern mastiha processing plant.