Swiss farmers’ group disappointed with China free trade deal
According to the union, milk contamination scandals in China and not the free trade deal resulted in an increase in exports.
Keystone
Four years after a landmark free trade agreement between Switzerland and China came into force, Swiss farmers’ hopes for a boom in agricultural exports have not been met.
Free trade with China – effective from 2014 – has certainly not damaged Swiss agriculture, the union admitted on Friday. But it said the promised benefits have remained “wishful thinking” to this day.
The share of agricultural products of total Swiss exports to China has doubled to 1.2% since the deal came into force. The key driver was a surge in baby food products. Together with coffee and chocolate, they account for over 70% of food exports to China. However, the farmers’ group said that credit for this rise should not go to the free trade deal but to the 2008 scandal in China over contamination of infant food with melamine. Growth in sales of Swiss baby food products had already begun in 2008, following the adulterated milk scandal, said the union.
Cheese conundrum
While exports of Swiss cheese products to China were growing 8.5% annually before the agreement, the volume exported increased by 60% after the deal. The Swiss Farmers’ Association said it was not premium cheese like Gruyère or Emmental that the Chinese wanted but cheaper grated or powdered cheese that are interchangeable. According to the association, at CHF4.26 or $4.26 per kilo, these exports bring no added value to milk producers but have the potential to damage the good image of Swiss cheese.
Early indications are that some Swiss cheeses may be too full-bodied for Chinese tastes. However, China’s non-tariff barriers to trade, such as accreditation of manufacturers and exporters, customs formalities and food safety requirements, are likely to be more significant barriers than taste preferences, according to the association.
The association has seldom been a fan of free trade deals with emerging economies. Last week, it expressed objections to attempts by Switzerland to ink a free trade agreement with the Mercosur block (Brazil, Paraguay, Uruguay and Argentina). If a free-trade deal is signed, Swiss farmers expect pressure on prices of beef, chicken, oil seeds and sugar owing to more imports from South America.
More
More
Minister sets sights on Swiss free trade deal with Mercosur
This content was published on
A mission to South America led by the Swiss Economics Minister hopes to advance free-trade negotiations with South American nations.
What do you think Switzerland’s Alain Berset can bring to the Council of Europe?
The former interior minister is to become the first Swiss Secretary General of the Council of Europe – which issues should his five-year term focus on?
How is your country dealing with the return of stolen artifacts?
Western nations like Switzerland often have to deal with the process of recovering or returning looted artifacts which have been illegally imported. What’s the situation like in your country?
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.
Read more
More
Minister sets sights on Swiss free trade deal with Mercosur
This content was published on
A mission to South America led by the Swiss Economics Minister hopes to advance free-trade negotiations with South American nations.
Swiss farmers dig in against South American trade deal
This content was published on
The Swiss economics minister hopes to tie up a free-trade agreement on a tour of Brazil, Paraguay, Uruguay and Argentina. Swiss farmers are concerned.
Will free trade help quench China’s thirst for milk?
This content was published on
A Swiss-Chinese free trade agreement is making exporting to China more attractive for Swiss milk producers, but exporters and farmers – one of whom runs two Chinese stores – say it’s harder than it seems to gain a foothold in such a huge market where uncertainty remains.
This content was published on
Located in Shuangcheng in the rural state of Xinfu, the new training facility is housed in a large, futuristic, cylindrical building where some two dozen students from various provinces have since October each paid 2,000 Yuan (CHF318) for a three-day course in modern farming methods. The training model used is based on one employed by…
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.