A (rank-one) separable potential is an operator $V$ with the coordinate representation $$ \langle \mathbf r' | V | \mathbf r \rangle = - A u(r) u(r')$$ where $u(r)$ is a real-valued function. It is clear that this is not a local potential as it is not proportional to $\delta(\mathbf r - \mathbf r')$, and hence is arguably nonphysical. Nonetheless, separable potentials have found application, particularly in many-body scattering processes in nuclear physics (with interest in their application peaking in the 1960s though they still see some use today). Approximations have been found allowing a generic potential (satisfying some weak assumptions) to be approximated by a separable one for scattering (see e.g. [1]).
This interaction is discussed in Gottfried's classic textbook [2] in section 8.2(b). There it is claimed that this interaction is "maximally non-local". This statement is not explained further. No measure of the degree of non-locality of a scattering potential is presented in the text nor am I aware of any from the literature on separable potentials. How should I interpret this statement? Is it just that the right hand side of the equation has no $\delta$ function term, or is there a quantitative sense in which this potential is more non-local than e.g. one of the form $\langle \mathbf r' | V' | \mathbf r \rangle= - A u(r) u(r') |\mathbf r - \mathbf r'|^n$ for $n > 0$ (which I would naively think is more non-local)?
References:
[1]: C. Lovelace, Phys. Rev. 135, B1225 (1964).
[2]: Gottfried, Kurt, and Tung-Mow Yan. Quantum Mechanics: Fundamentals. Springer Science Business Media, 1996.