Switzerland is set to become a net importer of cheese this year, a first in its history. This is due to various factors: the opening up of the Swiss milk market to foreign competition, increasing production costs, and declining domestic demand.
Switzerland was once a major exporter of cheese, with more than half of its total production being shipped abroad. However, in recent years, the Swiss dairy industry has faced tough competition from foreign producers, especially those in the European Union. The 2007 opening of the Swiss milk market made it easier for foreign cheesemakers to sell their products in Switzerland, squeezing domestic producers.
Rising production costs have also hindered Swiss cheesemakers’ competitiveness. The costs of feed, energy, and other inputs have risen, leading to higher cheese prices. Consequently, some Swiss consumers have turned to cheaper imported cheeses.
Furthermore, domestic cheese demand has declined in recent years. This is partly due to changing dietary habits, as more people opt for healthier food choices. Additionally, the aging Swiss population consumes less cheese compared to younger individuals.
As a result of these factors, Switzerland is expected to import more cheese than it exports this year, marking a significant shift for a country renowned for its high-quality cheese. The ability of the Swiss dairy industry to adapt to this new reality and regain its competitive edge remains uncertain.
Switzerland’s cheese import is influenced by several factors. One factor is the opening up of the Swiss milk market. In 2007, import quotas on milk and dairy products from the European Union were lifted. This change allowed EU producers to sell their products more freely in Switzerland, impacting domestic producers.
Another factor is the rising production costs. The cost of feed, energy, and other inputs has increased in recent years. This rise in costs has resulted in higher cheese prices, making it challenging for Swiss cheesemakers to compete with foreign producers.
Additionally, there is a decline in domestic demand for cheese in Switzerland. Swiss consumers are consuming less cheese than before. This decline is partly due to changing dietary habits, with more people choosing healthier foods.
