Switzerland: Why high food prices can be good news for shoppers

게시됨 2024년 8월 19일

Tridge 요약

Switzerland uses tariffs to protect its agriculture industry, increasing imports tariffs when local production is sufficient and reducing them during shortages. This policy, pushed by the powerful agriculture lobby, aims to safeguard local farmers and ensure food independence. Despite the higher costs, which are largely shouldered by consumers, who perceive Swiss products as high quality and adhering to superior environmental and social standards, the government has had to supplement the industry with subsidies and faces challenges in complying with strict pesticide regulations. The high cost of food in Switzerland, largely due to production expenses and tariffs, remains a concern for consumers, although some find relief by shopping across the border.
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원본 콘텐츠

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, ...
출처: Fortune

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