• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Markets tumble worldwide as Fed resets expectations: $400 billion wiped off SpaceX stock

2

After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup

3

Former U.S. Secret Service agent says bringing your authentic self to work stifles teamwork: 'You don’t get high performers, you get sloppiness'

1

Markets tumble worldwide as Fed resets expectations: $400 billion wiped off SpaceX stock

2

After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup

3

Former U.S. Secret Service agent says bringing your authentic self to work stifles teamwork: 'You don’t get high performers, you get sloppiness'
Environmentfarming
Europe

Why high food prices can be good news for shoppers—the Swiss farming paradox explained

By
Bastian Benrath-Wright
Bastian Benrath-Wright
and
Bloomberg
Bloomberg
Down Arrow Button Icon
By
Bastian Benrath-Wright
Bastian Benrath-Wright
and
Bloomberg
Bloomberg
Down Arrow Button Icon
August 19, 2024, 6:28 AM ET
Farmer Rolf Rohrbach poses with one of his cow in the village of Aarwangen, central Switzerland, on November 29, 2023. Cows grazing on lush pastures with ornate metal bells gently tinkling around their necks may be the ultimate symbol of Switzerland, but not everyone is enchanted by such traditional scenes. In the village of Aarwangen in central Switzerland, a complaint was filed earlier this year over the noise levels from a herd of around 15 cows left to graze overnight on a field next to a residential area. (Photo by Fabrice COFFRINI / AFP) (Photo by FABRICE COFFRINI/AFP via Getty Images)
Paradoxically, Swiss groceries tend to get cheaper when domestic harvests fail.Fabrice Coffrini—AFP/Getty Images
Add Fortune on Google for similar content.

Bad news for Swiss farmers is good for consumers who pay the highest food prices in Europe.

Recommended Video

A system of tariffs designed to protect Switzerland‘s agriculture industry effectively shuts out imports if a product can be produced domestically. Conversely, if bad harvests or a surge in demand mean there isn’t enough meat, fruit and vegetables, levies can be slashed on cheaper goods from abroad.

“In the summer, when domestic products hit the market, prices rise,” said Maxime Botteron, an economist at UBS. “It’s exactly the opposite of what happens in the surrounding euro zone, where prices drop if internal supply rises.”

The result is that crops such as cherry tomatoes are usually cheaper when they’re out of season.

What sounds like a paradox is kept in place by the government, under pressure from the country’s strong agriculture lobby, to protect local farmers and ensure food independence. Consumers have largely been willing to accept the tradeoff, especially as inflation has remained far below the level seen in the euro area.

“Swiss products are associated with high quality, and high environmental and social standards,” said Stefan Legge, head of tax and trade policy at the University of St. Gallen. “A large part of the Swiss population is just ready to pay those high prices for that.”

The government regularly cuts the levies, but only for specific situations. This was the case last week for eggs, as Swiss chickens are unable to meet demand despite a 35% increase in domestic production over the past decade. Authorities opted to raise the annual quota of reduced-tariff imports by 43% to almost 25,000 tonnes to ensure supply leading up to Christmas.

Despite the protection afforded by the system, Swiss farmers say they still struggle at times to make a living. This led the government to pay out some 2.7 billion francs ($3.1 billion) in direct subsidies to agriculture last year.

During a visit on Friday to a farm in Wileroltigen, a village of 379 inhabitants set against the backdrop of the Alps, most of the complaints addressed to Economy Minister Guy Parmelin were about overwhelming bureaucracy and strict pesticide rules.

He acknowledged prices are a problem but said Swiss groceries meet tougher standards and underlined the need for food security.

“We produce in a country where the costs are high,” the former wine maker told reporters. “We have to maintain the border, that’s our insurance to keep production in Switzerland.”

The wish to be independent from others is deeply rooted in the 220 kilometer-wide (140 mile-wide), landlocked country, which was neutral through two World Wars and is the only major state in central Europe not to have joined the European Union.

High local wages mean many Swiss consumers may not realize they’re paying around 50% more for food than their neighbors, said Legge of St. Gallen university. 

And as for those who do, they can always pop over the border and do some of their shopping in France, Germany, Italy or Austria.

Subscribe to Fortune Gulf Brief. Every Tuesday, this new newsletter delivers clear-eyed, authoritative intelligence on the deals, decisions, policies, and power shifts shaping one of the world’s most consequential regions, written for the people who need to act on it. Sign up here.
About the Authors
By Bastian Benrath-Wright
See full bioRight Arrow Button Icon
By Bloomberg
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Environment

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Environment

sb
Commentaryclimate change
The climate policy triangle: why leaders can no longer choose between growth, security and sustainability
By Sebastian BuckupJune 23, 2026
2 hours ago
Tom and Diane Peterman pose outside their home at Black Lake on Wednesday, April 29, 2026, in Grant Township, Mich.
EnvironmentNatural disasters
FEMA told these families they weren’t in a flood zone. Then ice came through the windows
By Tammy Webber, M.K. Wildeman and The Associated PressJune 23, 2026
3 hours ago
Woman hides from the sun in front of Big Ben in London
EconomyEurope
‘London isn’t just calling—it’s cooking.’ Europe’s largest economies face over $600 billion in heat-driven losses by 2030
By Tristan BoveJune 23, 2026
7 hours ago
fr
EnvironmentUnited Kingdom
France rues widespread lack of air conditioning as country roasts under 104-degree heat wave
By Samuel Petrequin and The Associated PressJune 23, 2026
9 hours ago
un
EnvironmentData centers
‘It is time to come clean’: UN Secretary General calls out AI companies on their climate impact
By Alexa St. John and The Associated PressJune 23, 2026
9 hours ago
data
EnvironmentData centers
40 mayors join global movement to push back against data centers. Can collective bargaining work?
By Jennifer McDermott, Anton L. Delgado and The Associated PressJune 23, 2026
10 hours ago

Most Popular

Markets tumble worldwide as Fed resets expectations: $400 billion wiped off SpaceX stock
Banking
Markets tumble worldwide as Fed resets expectations: $400 billion wiped off SpaceX stock
By Jim EdwardsJune 23, 2026
14 hours ago
After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup
Success
After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup
By Orianna Rosa RoyleJune 23, 2026
12 hours ago
Former U.S. Secret Service agent says bringing your authentic self to work stifles teamwork: 'You don’t get high performers, you get sloppiness'
Success
Former U.S. Secret Service agent says bringing your authentic self to work stifles teamwork: 'You don’t get high performers, you get sloppiness'
By Sydney LakeJune 21, 2026
3 days ago
Current price of oil as of June 22, 2026
Personal Finance
Current price of oil as of June 22, 2026
By Joseph HostetlerJune 22, 2026
1 day ago
By 7 a.m., Bank of America’s CEO has already read 5 newspapers, his email inbox, and hit the gym—he says if you’re late to meetings, you’re ‘selfish’
Success
By 7 a.m., Bank of America’s CEO has already read 5 newspapers, his email inbox, and hit the gym—he says if you’re late to meetings, you’re ‘selfish’
By Preston ForeJune 22, 2026
1 day ago
Current price of silver as of Monday, June 22, 2026
Personal Finance
Current price of silver as of Monday, June 22, 2026
By Joseph HostetlerJune 22, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.