Agricultural Policy Monitoring and Evaluation 2026

26. Switzerland

Main findings

Support to agriculture

Since the 1980s, Switzerland has undertaken gradual reforms to open its agricultural markets, resulting in moderate reductions in support to agriculture. Support to producers as a share of gross farm receipts plateaued in the late 2000s and remains at 51% on average in 2023-25, more than three times the OECD average and the second highest level across the countries covered by this report.

Even if the structure of support changed with direct payments gaining relative importance, market price support (MPS) remains the main component of support, arising mostly from tariff rate quotas (TRQs) with high out-of-quota tariffs. MPS represented 47% of total producer support in 2023-25, down from 62% in 2000-02. Swiss producers received prices 54% above border reference prices on average in 2023‑25. Large price gaps lead to substantial shares of Single Commodity Transfers (SCT) in commodity gross farm receipts for many products – notably poultry, eggs, and pig meat – while sugar benefits from direct budgetary support.

Switzerland provides significant budgetary support to producers, most of which under the form of farm payments subject to environmental cross-compliance. The share of these payments in total support to producers increased from 38% in 2000-02 to around 53% in recent years. Since their reform in 2014, direct support mostly consists of decoupled payments – area-based payments for agricultural land not tied to a specific commodity, payments to maintain farming in less-favoured areas, and payments to farmers who voluntarily apply additional environmental or animal-welfare-related practices.

Switzerland’s expenditures for general services (General Services Support Estimate, GSSE) rose from below 6% in 2000-02 to nearly 9% relative to the sector’s production value in 2023‑25, which is among the highest proportion for countries covered in this report. Almost half of GSSE expenditure goes to the agricultural knowledge and innovation system.

Total support to agriculture (Total Support Estimate, TSE) fell as a share of Gross Domestic Product (GDP) from 2% in 2000-02 to less than 1% in 2023-25.

Key policy changes in 2025-26

In 2025, Switzerland continued to roll out social and economic elements initially planned for the Agricultural Policy beyond 2022 (AP22+). A mandatory social security coverage for spouses working on the farm was established and will be strictly required for payment eligibility as from 2027. Spousal rights under the Rural Land Law were also improved, as well as the legal framing of farms as personal businesses. On the economic side, insurance cost coverage of up to 30% of the premium was introduced to address risks from drought and frost, for a period of 8 years.

Measures to reduce the administrative or operational burden on farmers were launched in 2025 This includes a simplification of rules for insurance and support related to landscape quality or biodiversity networks. Some new reporting obligations were put on hold, and a political agreement was reached in September 2025 to loosen the obligations related to farm inspection.

Funding for structural improvements was increased, reflecting a higher priority in budget allocations. Acreage payments were also increased in 2026 for some sectors of national interest, such as for potato seedlings, and maize and forage seeds. Meanwhile, the Federal Council initiated in February 2026 the formal discussions on the next agricultural policy reform beyond 2030 (AP30+), expected to lead to public consultation around a first draft later in the year.

Together with other members of the European Free Trade Association (EFTA), Switzerland signed in 2025 several new free trade agreements (FTAs): a comprehensive agreement with the MERCOSUR, and three additional FTAs with Thailand, Kosovo and Malaysia. The Trade and Economic Partnership Agreement (TEPA) with India, signed in 2024, and the FTA with Moldova from 2023 also both entered into force in Switzerland in the course of 2025. The FTAs with Chile and with Ukraine were modernised. A temporary trade agreement was reached in November 2025 with the United States to reduce the additional tariffs imposed on Swiss imports a few months earlier, in exchange of larger quota volumes on specific agricultural products.

Assessment and recommendations

• Foster policy reform in coordination with all stakeholders and ensure that trade-offs and political barriers do not undermine long term policy ambitions. Switzerland aims to take a broader food systems approach for its agricultural policy, as illustrated by the goals set in its Sustainable Development Strategy and the related National Pathway for Food Systems Transformation. In recent years, the country reinforced social provisions for farmers and strengthened water protection measures. However, several reform elements planned for the AP22+ were postponed to the 2030 policy reform discussion phase, and some constraints were eased to reduce the administrative and operational burden on farmers. Diverging interests will need to be constructively addressed to accelerate progress towards sustainability goals.

• Further decouple support from farm output to reduce pressures on the local environment, help decrease domestic food prices, and favour innovation and diversification. While Switzerland reduced its share of most-distorting producer support over the past decades, border measures and output-based payments remain among the highest in the OECD. The increase in acreage payments to potato seedling, maize seed and forage seed in 2026, and the decision to extend the market support for sugar into future years show that single commodity support is still a common instrument, despite its lack of targeting and potential adverse environmental impacts.

• Use more results-based approaches to policy design, combined with stronger regulations, to address persistent environmental impacts, notably on nitrogen. A relatively high amount of funds target improving environmental conditions when compared to other countries, with a focus on landscape features and ecological services, but while results for biodiversity are encouraging, nitrogen pollution remains an issue, with a national surplus still twice the OECD average. More effective instruments are needed.

• Promote broader diffusion of innovation across territories to support more widespread adoption of new technologies, to the benefit of economic competitiveness and environmental sustainability. Switzerland puts an important emphasis on innovation and knowledge diffusion, with the federal budget for agricultural research being among the highest of the OECD relative to the value of production. However, gains in total factor productivity growth have been variable over the past years and more attention needs to be paid to the effective transfer of innovation on the farm.

• Better align policy design with climate and sustainability objectives, in particular for support to livestock products, and the way food self-sufficiency is currently framed. While the country partly depends on foreign crops for its food, the production of livestock products exceeds consumption, which requires further feed crops imports. This imbalance exacerbates environmental impacts, notably on soil nutrient imbalances, and its reduction would help improve the sustainability and resilience of food systems in Switzerland.

Key indicators on agricultural support

Table 26.1. Switzerland: Estimates of support to agriculture

Million USD

	1986-88	2000-02	2023-25	2023	2024	2025p
Total value of production (at farm gate)	8 023	5 661	11 247	10 666	10 887	12 187
of which: share of MPS commodities (%)	62.80	57.76	61.71	60.70	62.09	62.33
Total value of consumption (at farm gate)	12 776	8 866	19 318	17 640	19 979	20 336
Producer Support Estimate (PSE)	6 841	4 999	7 776	7 311	7 895	8 124
Support based on commodity output	5 936	3 307	4 069	3 718	4 220	4 270
Market price support¹	5 909	3 089	3 630	3 297	3 786	3 808
Positive market price support	5 909	3 089	3 630	3 297	3 786	3 808
Negative market price support	0	0	0	0	0	0
Payments based on output	27	218	439	421	434	462
Payments based on input use	357	126	130	132	129	129
Based on variable input use	289	67	76	74	75	79
with input constraints	0	14	0	0	0	0
Based on fixed capital formation	46	53	54	58	54	49
with input constraints	0	0	5	5	6	5
Based on on-farm services	23	6	0	0	0	0
with input constraints	0	0	0	0	0	0
Payments based on current A/An/R/I, production required	392	563	1 463	1 383	1 452	1 553
Based on Receipts / Income	10	0	0	0	0	0
Based on Area planted / Animal numbers	382	563	1 463	1 383	1 452	1 553
With input constraints	217	540	1 407	1 331	1 398	1 493
Payments based on non-current A/An/R/I, production required	18	51	930	963	888	938
Payments based on non-current A/An/R/I, production not required	0	773	64	29	82	81
With variable payment rates	0	0	0	0	0	0
with commodity exceptions	0	0	0	0	0	0
With fixed payment rates	0	773	64	29	82	81
with commodity exceptions	0	0	0	0	0	0
Payments based on non-commodity criteria	0	58	835	821	818	867
Based on long-term resource retirement	0	0	0	0	0	0
Based on a specific non-commodity output	0	58	835	821	818	867
Based on other non-commodity criteria	0	0	0	0	0	0
Miscellaneous payments	137	120	285	263	305	287
Percentage PSE (%)	76.27	65.99	50.54	49.80	52.64	49.23
Producer NPC (coeff.)	4.34	2.40	1.54	1.51	1.60	1.52
Producer NAC (coeff.)	4.21	2.94	2.02	1.99	2.11	1.97
General Services Support Estimate (GSSE)	431	337	986	926	1 005	1 028
Agricultural knowledge and innovation system	110	70	463	445	463	482
Inspection and control	9	24	10	8	10	13
Development and maintenance of infrastructure	80	54	100	97	99	105
Marketing and promotion	29	37	79	75	77	83
Cost of public stockholding	66	32	68	61	71	73
Miscellaneous	137	120	266	240	285	273
Percentage GSSE (% of TSE)	5.43	6.15	11.25	11.23	11.29	11.23
Consumer Support Estimate (CSE)	-9 056	-5 002	-6 810	-5 707	-7 614	-7 110
Transfers to producers from consumers	-6 112	-3 215	-3 670	-3 316	-3 829	-3 865
Other transfers from consumers	-3 785	-1 984	-3 144	-2 394	-3 791	-3 248
Transfers to consumers from taxpayers	700	147	4	3	6	2
Excess feed cost	141	50	0	0	0	0
Percentage CSE (%)	-74.84	-57.37	-35.25	-32.36	-38.12	-34.96
Consumer NPC (coeff.)	4.41	2.42	1.54	1.48	1.62	1.54
Consumer NAC (coeff.)	3.98	2.35	1.54	1.48	1.62	1.54
Total Support Estimate (TSE)	7 972	5 483	8 766	8 239	8 905	9 154
Transfers from consumers	9 897	5 199	6 814	5 710	7 620	7 112
Transfers from taxpayers	1 859	2 268	5 096	4 923	5 076	5 290
Budget revenues	-3 785	-1 984	-3 144	-2 394	-3 791	-3 248
Percentage TSE (% of GDP)	4.11	1.86	0.89	0.89	0.92	0.88
Total Budgetary Support Estimate (TBSE)	2 062	2 394	5 136	4 942	5 120	5 346
Percentage TBSE (% of GDP)	1.06	0.81	0.52	0.53	0.53	0.51
GDP deflator (1986-88 = 100)	100	127	145	144	145	146
Exchange rate (national currency per USD)	1.58	1.65	0.87	0.90	0.88	0.83

Note: p: provisional. NPC: Nominal Protection Coefficient. NAC: Nominal Assistance Coefficient.

A/An/R/I: Area planted/Animal numbers/Receipts/Income.

1. Market Price Support (MPS) is net of producer levies and excess feed cost. MPS commodities for Switzerland are: wheat, maize, barley, rapeseed, sugar, milk, beef and veal, sheep meat, pig meat, poultry and eggs.

Source: OECD (2026), “Producer and Consumer Support Estimates”, OECD Agricultural policy monitoring (database), https://data-explorer.oecd.org/.

Policy landscape

Policy objectives

Swiss agricultural policy is framed by the Agriculture Act (AgricA) from 1998, which establishes the principles and instruments for the regulation of the sector. The AgricA aims to ensure that agriculture is sustainable and innovative, with a focus on 1) food security for the population; 2) conservation of natural resources; 3) preserving cultivated landscape; 4) decentralised occupation of the territory; and 5) improving animal welfare.

The key elements of the AgricA are enshrined in the Swiss Federal Constitution (Art. 104), which contains an article on food security emphasising the need to guarantee the supply of food to the population through:

• safeguarding the basis of agricultural production, especially land

• adapting food production to local conditions and using natural resources efficiently

• ensuring that the agriculture and food sector meet the market’s needs

• building trade relationships that contribute to the sustainable development of the agriculture and food sector

• using food in a way that conserves natural resources.

The Federal Constitution and the AgricA require securing sufficient long-term food supplies for the population, based on both domestic production and imports, considering the entire value chain. This is achieved through specific measures developed within four-year budget and programme cycles.

Market interventions

Agro-food markets in Switzerland are subject to specific regulations. Imports of key commodities are controlled through tariff rate quotas (TRQs) with relatively low in-quota tariffs and high out-of-quota tariffs. The average applied most-favoured-nation (MFN) tariff on agricultural imports in 2024 was estimated by the World Trade Organization (WTO) at 28.5%, while it was zero for non-agricultural products (World Trade Organization, 2025[1]). Switzerland has a total of 28 TRQs within the WTO. These affect particularly meat (average MFN tariff of 95%), and dairy products (avg. 111%).1 TRQs also regulate egg products, potatoes, fruits, vegetables, bread cereals and wine. A notable exception to the quota system is feed grains, which are subject to single tariffs. These are regularly adjusted depending on international market price conditions to stabilise feed prices for the livestock sector at domestic level.

Preferential tariff rates apply unilaterally to imports from developing countries under the general system of preferences. The Swiss Government grants zero tariffs to all products from Least Developed Countries (LDCs), so agricultural imports from LDCs (according to the official UN definition) are duty- and quota-free since September 2009.

Switzerland’s network of trade agreements consists of the European Free Trade Association (EFTA, made up of Iceland, Liechtenstein, Norway and Switzerland) Convention, the Free Trade Agreement with the European Union and 35 agreements in place with 45 countries, and four more recently concluded awaiting ratification. All these agreements were signed within EFTA, with the exception of agreements with the People’s Republic of China, Japan, the United Kingdom, and the Faroe Islands. Trade sustainability takes an increasing importance in these trade agreements, with more and more systematic evaluations through sustainability impact assessments and possible adjunction of sustainability criteria conditions to obtain preferential market access, e.g. for palm oil imports from Indonesia (OECD, 2025[2]).

Budgetary support instruments

Budgetary support to agriculture consists of three main elements: direct payments, production and marketing expenditures, and support to improve the production base. Support programmes are defined by the agricultural budget of the corresponding four-year Payment Framework (2022-25 in 2025, and 2026-29 currently). The budget allocation for agriculture has been rather stable in nominal terms over the past decade, at about CHF 3.5 billion (USD 3.9 billion) per year. The 2022-25 budget was 1.5% larger than for the previous agricultural policy (AP 2018-21) and is set to remain relatively close for the period 2026-29, with only a 0.9% increase.

Direct payments to farmers (representing 81% of the agricultural budget) include different programmes targeting food production, environmental services and animal welfare. These include:

• basic payments and other production-related payments, dedicated to the maintenance of the production capacity, support to arable farming and strategic crops, and to the compensation of farming under difficult conditions

• biodiversity payments aimed at the conservation and promotion of species and habitat quality

• landscape quality payments and cultural landscape payments dedicated to the conservation of particular landscapes, preserved for environmental or cultural reasons

• resource efficiency payments and production system payments incentivising more sustainable farming practices, with reduced input use or more environmentally-friendly production methods.

  These payments are subject to mandatory environmental conditions, with specific “proof of ecological performance” (PEP) requirements.

Production and marketing expenditures (15% of the budget) mainly support dairy producers via payments for processing milk into cheese, for producing milk without silage feed, and for commercial milk and dairy product sales from the farm. In addition, area payments apply to oilseeds, protein crops, cereals and sugar beet. Part of these expenditures are also for general services to the sector, including marketing and product promotion – notably to co-finance marketing communication measures to improve the image and awareness of Swiss agricultural products. This applies notably to the promoting of Swiss cheeses in domestic and foreign markets, of milk and butters product on the domestic market and marketing communications for Swiss meat and wine.

Policies to improve the production base (remaining 4% of the budget) include direct support for on-farm structural investments and preferential loans as well as general support for infrastructure improvement (e.g. maintenance of local value chain support in rural or mountainous areas), social aid to farmers, and advisory services, which were all initiated as part of the AP 2014-17 policy framework.

The inter-branch organisation for milk, l’Interprofession du Lait (IP Lait), provides standard milk delivery contracts for its members. These set different prices and volumes for milk delivery (contingents A, B and C). These contracts are compulsory for all milk producers, including those outside IP Lait. This acts as a production control mechanism implemented on a private basis.

Representing nearly half of its spendings for general services, the federal budget dedicated to agricultural knowledge and innovation systems (AKIS) occupies an important role in the current agricultural policy (OECD, 2022[3]). Notably, the public budget for agriculture research and development more than doubled from an average CHF 93 million (USD 112 million) annually over 2000‑02 to CHF 237 million (USD 285 million) over 2023‑25. Expenditures for knowledge transfer, mostly supporting universities and specialised schools, increased seven-fold, from an average CHF 23 million (USD 26 million) to CHF 166 million (USD 200 million) over the same period. Public expenditures for general services in Switzerland represent in total 8.8% of the total agricultural production value, more than double the OECD average.

Medium to long-term sustainability goals

The 2030 Sustainable Development Strategy (SDS) and related action plan identify three priority themes for the Swiss economy with specific objectives for 2030: i) sustainable consumption and production; ii) climate, energy and biodiversity; iii) and social equity. For the transformation of food systems, four targets were defined as part of the SDS Sustainable Consumption and Production theme:

• A 25% reduction of food GHG emissions footprint for Swiss consumers by 2030 compared to 2020.

• A share of one-third of the total population with healthy and sustainable dietary patterns by 2030, in line with the food pyramid (national dietary recommendations).2

• A reduction of 50% in food waste per capita by 2030 compared to 2017, and a substantial reduction in food losses along the supply chain.

• An increase by one-third by 2030 in the share of farms exceeding PEP requirements in a verifiable manner, compared to 2020.

  A number of these targets are reflected in the National Pathway for Food Systems Transformation, developed in co-ordination with stakeholders in 2021 and latest updated in 2025. This document specifies and monitors more detailed measurable goals towards 2030, as well as concrete actionable measures.

For the longer term, Switzerland set the goal in 2019 to reach climate neutrality by 2050 and defined specific commitments for emissions reductions in the agricultural sector. The Climate Strategy for Agriculture and Food 2050, adopted in 2023, sets an objective of agricultural emissions reduction of 40% by 2050 (compared to 1990 levels). Beyond mitigation objectives set for national production, a separate objective for a two-thirds’ reduction by 2050 was defined for emissions at the consumer level, compared to 2020 levels.

Several measures support climate mitigation in agriculture:

• A carbon tax on fossil fuels used to heat greenhouses and barns for livestock, as set out by the 2011 version of the CO₂ Act. Since 2022, the level of this tax has been at CHF 120 (USD 136) per tonne CO₂. Producers who submit a long-term decarbonisation plan for their installations can be exempted from the tax.

• The option for domestic agricultural producers to sell offsets to transport sector emitters by investing in anaerobic digesters or fertilisation improvements. These can be used by fossil fuel producers and importers to meet their obligation to offset part of transport-related CO₂ emissions through national emissions reductions projects.

• A nitrogen surplus reduction target of 15% by 2030, compared to 2014-16 levels, set out by the water quality plan. Additional soil fertility improvement measures, more efficient use of fertilisers and longer productive lifetime for cows to reduce emissions also aim to contribute to sustainable production systems, notably through targeted support programmes.

The national Action Plan 2020-25 supporting the Swiss climate strategy also includes several adaptation measures targeting agriculture or other related domains (e.g. water management, biodiversity, human health, animal welfare). The Action Plan contains 75 adaptation measures across the whole economy, including 46 already initiated over a first programming period (2014‑19).3 It clarifies what actions to undertake at federal, cantonal and communal levels, and lays out international collaboration channels to support climate adaptation. Adaptation measures for agriculture are organised around three axes: (1) adapting products, production systems, and production practices; (2) improving knowledge of adaptation possibilities; and (3) mitigating weather-related risks for production and prices.

New water-quality measures in place since 2023 have also tightened environmental sustainability objectives, to support the goal of reducing pesticide-related risks by 50% by 2027, compared to 2012‑15. These measures include a ban on high‑risk pesticides, more-restrictive spraying rules, and adjustments in direct payments to disincentivise pesticide use.

Recent policy developments

Domestic policy developments in 2025-26

General policy orientations

The adoption of policy elements initially planned for the AP22+ reform was continued in 2025-26, with particular attention to social and economic issues, after the previous adoption of some of its environmental measures in 2022-23 (OECD, 2026[4]). The following measures were introduced:

• A new mandatory social security coverage for spouses who work regularly and to a significant extent on the farm. From 2027, spouses will have to be covered by personal insurance to ensure the farm remains eligible to direct support payments. The Federal Council also launched in October 2025 a revision of the Rural Land Law to more generally improve spouses’ rights, for instance in terms of preemption rights, to reinforce the legal framing of farms as personal businesses, and to grant farmers greater entrepreneurial freedom, for instance in terms of mortgage capacity.

• New support to help reduce the cost of crop insurances and thereby reduce vulnerability to severe drought and frost. This measure, put in place in 2025 for a period of eight years, covers up to 30% of farmers’ insurance costs.

Additional adjustments were implemented to reduce the administrative and operational burden on farmers. As of January 2025, the rules for insurance and for support related to landscape quality or biodiversity networks were simplified. A new reporting obligation for accounting data at the federal level was put on hold, and the plan to restrict mechanised mowing in all biodiversity-promotion areas was abandoned. New sanctions were put on hold for non-compliance with the rules on limiting pesticide runoff, set as part of PEP requirements. In September 2025, the obligations of farm inspections by cantonal authorities were loosened, such as the requirement to inspect 10% of farms subject to support payment every year, and an action plan was set up to foster co‑ordination between federal offices, cantons and private entities to limit the number of controls to a maximum of one per year.

Sectoral interventions

Some sectoral support measures were strengthened or consolidated in 2026 through the 2025 ordinance package, and a budget readjustment of CHF 13.6 million (USD 16.4 million) was also approved in February 2026 by the Parliament, retroactive to 1 January, to further support production and restructuring of some strategic sectors:

• Acreage payments for potatoes seedlings were increased from CHF 700 to CHF 2 500 (USD 842 to USD 3 007) per hectare, and those of maize and forage seeds from CHF 700 and CHF 1 000 (USD 842 and USD 1 203), respectively, to CHF 1 500 (USD 1 804) per hectare.

• Area payments for sugar, which were so far administered through ad hoc payments planned to expire at the end of 2026, were converted into a permanent acreage support of CHF 2 100 (USD 2 526) per hectare, while the trade protection regime was also consolidated.

• Livestock support measures were restructured to better target product quality, low environmental impacts, resource use efficiency, animal health and welfare, and profitability, in line with objectives of the Strategy on Animal Breeding 2030 and the AP22+ reform.

• An additional budget of CHF 10 million (USD 12 million) was granted to wine producers to help restructuring the sector through voluntary uprooting of vine, available until end of 2027.

The Federal Office for Agriculture published its strategy for Sustainable Crop Protection to 2035 in January 2026. It describes measures aimed at improving current crop protection practices and supporting the development of innovative methods. Some ordinances recently published support these efforts, such as the 2025 ordinance on crop health that strengthens the capacities of key organisations to take effective actions in the case of pest infestation, and the 2026 ordinance on the co‑ordinated measures to combat pests of cultivated plants that promotes traditional biological pest control. The full implementation of the strategy is foreseen in the context of the next AP30+ policy, through ongoing research and extension projects aiming at improving pest management and reducing pollution from chemical use – for example via the establishment of the platform Agrometeo+ or the promotion of hardy varieties through financial support for breeding and variety testing projects.

Trade policy developments in 2025-26

Trade agreements

On 16 September 2025, EFTA members signed a comprehensive Free Trade Agreement with MERCOSUR countries (Argentina, Brazil, Paraguay and Uruguay), after eight years of negotiation. The agreement will provide free market access to 96% of Swiss exports to the region, previously subject to substantial tariffs. In return, Switzerland will grant bilateral TRQ concessions for selected sensitive agricultural products, including meat products – most quota volumes remaining below 2% of the domestic consumption, however. The agreement also foresees lower technical barriers to trade, protection of intellectual property rights, recognition of geographical indications, and enhanced trade conditions for services and public procurement. A specific chapter also includes requirements related to trade and sustainable development, with concrete provisions related to environmental protection and labour rights.

EFTA members also signed or implemented several key trade agreements with Asia in 2025:

• On 23 January 2025, EFTA countries signed an FTA with Thailand. This comprehensive trade agreement includes provisions on trade in basic and unprocessed agricultural products, technical barriers to trade, sanitary and phytosanitary measures, and rules of origin. The agreement was for the first time supported by a Sustainability Impact Assessment commissioned by EFTA.

• On 23 June 2025, EFTA members signed a new FTA with Malaysia. The agreement foresees improved market access for goods and services, as well as co‑operation in various areas, including notably international investment, intellectual property rights, technical barriers to trade, sanitary and phytosanitary measures, customs and trade facilitation, or trade and sustainable development. The FTA is accompanied by a Memorandum of Understanding on Cooperation and Capacity Building and a Joint Statement on Sustainable Palm Oil. The FTA ratification by the Swiss parliament is expected in the course of 2026.

• On 1 October 2025, the Trade and Economic Partnership Agreement (TEPA) between EFTA and India, signed in 2024, entered into force. The agreement introduces preferential trade provisions for industrial goods and both processed and unprocessed agricultural products, while providing enhanced domestic market access, particularly for rice and fruits. Other provisions relevant to agriculture include technical barriers to trade, sanitary and phytosanitary measures, rules of origin, trade facilitation, and trade and sustainable development.

Trade relations within other countries within the European continent were also strengthened:

• On 22 January 2025, the EFTA States signed an FTA with Kosovo*, following three years of negotiations. The FTA includes targeted tariff concessions and quotas on agri-food products, with due consideration of sensitive agricultural products. Relevant provisions include technical barriers to trade, sanitary and phytosanitary measures, as well as trade governance clauses, including on trade and sustainable development.

• On 1 April 2025, the Free Trade agreement between EFTA and Moldova, signed in 2023, entered into force. Agro-food products (including sea products) are part of the sectors covered by the agreement that notably includes provisions on technical barriers to trade, sanitary and phytosanitary measures, rules of origin, trade facilitation, and sustainable trade.

• On 8 April 2025, EFTA countries signed a revised FTA with Ukraine, modernising the first agreement of 2010. Under the new agreement, EFTA countries will notably receive improved market access for some of their agricultural products such as cheese, yoghurt and chocolate, while geographical indications for agricultural products will be better recognised between the trade partners.

In January 2026, the Federal Council adopted a mandate for the negotiation of a trade agreement with the United States, following the stabilisation of the tariff applied to imports from Switzerland (see below).

Trade measures

The TRQs applied by Switzerland on several agricultural commodities had to be adjusted in the course of 2025 to accommodate market tensions:

• For cereals, the in-quota volume, already adjusted in 2024 to address one of the most severe production shortages of bread cereals over the past decades, was further increased in March 2025 by 60 000 tonnes.

• For eggs, as for previous years, the in-quota volume was increased by an extra volume of 10 000 tonnes in the course of 2025 to bridge the gap between consumption and production.

• In-quota volumes were increased temporarily in 2025 for seed potatoes, potatoes for processing, and table potatoes, by between 1 000 tonnes and 20 000 tonnes depending on category, to address shortfalls from reduced cultivation areas countrywide and low stock levels.

A new regulation was enacted in 2026 for the Swiss sugar market. Linking duties to historical and current prices, the new formula is expected to lead to more frequent update of the duties on sugar as from 2027, without exceeding a cap of CHF 14 (USD 16.8) per 100 kg. It replaces temporary measures set to expire at the end of that year which apply a minimum custom protection of CHF 7 (USD 8.4) per 100 kg.

Specific trade quota adjustments were negotiated with the United States in November 2025, following the reduction of the additional duties imposed by the United States in 2025 on all Swiss exports. These duties, that had been previously set at a taxation floor level of 39% starting 1 August 2025, were reduced to a 15% minimum as of 14 November 2025. In exchange for this reduction, Switzerland agreed to lower its duties on US exports for a set of non-sensitive agricultural products and granted bilateral quota volumes of 500 tonnes for beef, 1 000 tonnes for buffalo meat, and 1 500 tonnes for poultry meat. 

Switzerland also extended in 2025 its set of sanctions against Russia and Belarus, consistent with measures taken by the European Union. These new measures mostly relate to specific financial and non-agricultural trade flows but also indirectly affect the agriculture sector through their impacts on the energy, fertiliser and logistical markets.

Policy context

Key economic and agricultural statistics

Switzerland is a small economy with high GDP per capita. It experienced low and periodically negative inflation until the 2022 global inflation surge, although inflation declined again in 2023‑25. The unemployment rate has remained below 5% over the past two decades. GDP growth was stable at around 2% prior to the COVID-19 pandemic and following a high-growth recovery period in 2021, it resumed by 2025 with growth rates around 1%, slightly below pre-crisis levels.

The relative importance of agriculture in the Swiss economy is low, accounting for just 0.6% of GDP and around 2.3% of employment. The farm structure is dominated by relatively small family farms. Hills and mountain farming areas (including alpine summer pastures) are used for extensive milk and meat production, while more intensive pork and poultry production is located in valleys. Agricultural land covers 38% of the country area and is composed mostly of grassland, with arable land representing only 27% of agricultural land. Crop production has gradually shifted away from traditional grains and oilseeds towards fruits and vegetables.

Table 26.2. Switzerland: Contextual indicators

	Switzerland		International comparison
	2000*	2024*	2000*	2024*
Economic context			Share in total of all countries
GDP (billion USD in PPPs)	264	869	0.6%	0.5%
Population (million)	7	9	0.2%	0.2%
Land area (thousand km2)	40	40	0.0%	0.0%
Agricultural area (AA) (thousand ha)	1 552	1 490	0.1%	0.1%
			All countries1
Population density (inhabitants/km2)	180	223	52	64
GDP per capita (USD in PPPs)	36 357	96 388	9 508	31 740
Trade as % of GDP	33.4	42.5	12.3	15.0
Agriculture in the economy			All countries1
Agriculture in GDP (%)	1.1	0.6	3.0	3.6
Agriculture share in employment (%)	4.6	2.3	-	-
Agro-food exports (% of total exports)	2.4	2.6	6.4	8.3
Agro-food imports (% of total imports)	5.2	4.9	6.1	7.5
Characteristics of the agricultural sector			All countries1
Crop in total agricultural production (%)	50.5	41.8	62.1	60.4
Livestock in total agricultural production (%)	49.5	58.2	37.9	39.6
Share of arable land in AA (%)	26.2	26.8	33.0	34.0

Note: *or closest available year.

1. Average of all countries covered in this report.

Sources: OECD statistical databases; International Labour Organisation (ILO); UN Comtrade; World Bank, WDI; FAO database and national data.

Switzerland has consistently been a net agro-food importer, with USD 17.2 billion of total imports of agro-food products in 2023, compared to USD 11.6 billion for its agro-food exports. Swiss agro-food exports consist mostly of processed products for final consumption (87% of total agro-food exports). This category also represents almost half of the agro-food imports (Figure 26.5).

Total factor productivity (TFP) growth in agriculture is estimated by ERS to be 1.0% between 2014 and 2023. This large increase can be explained by a decreased use of intermediary inputs (-0.9%) and primary factors (‑0.7%). These results may however be partly explained by the reduced purchase of fertiliser in 2022 following Russia’s war of aggression against Ukraine, when Switzerland activated its fertiliser strategic reserves. Despite this productivity growth surge according to these estimates, the overall output has declined over that period (-0.6%).

Swiss agriculture is largely rain-fed. Swiss farmers irrigate only 2.3% of their agricultural land and the share of agriculture in the country’s water abstraction (8%) is about one-sixth of the OECD average. In addition, the water stress indicator is low and has decreased over time. Agriculture’s share of energy use has remained relatively stable and is a third of the OECD average. On the other hand, while nutrient surpluses have declined moderately, the surplus of nitrogen (66 kg/ha for N) is still more than twice the OECD average, which negatively impacts water quality and GHG emissions. Swiss agriculture emissions amounted to 6.0 MtCO₂eq in 2023 (14.7% of national emissions), not counting emissions from energy consumption in agriculture, forestry and fisheries (0.5 MtCO₂, i.e. 1.3%). This places the country above the OECD average. While the LULUCF sector in Switzerland is a net sink, thanks to forest management (‑2.3 MtCO₂ per year since 1990), cropland and grassland also emit together an average 0.7 MtCO₂ (1.5% of the national emissions) due to changes in soil carbon.

Table 26.3. Switzerland: Productivity and environmental indicators

	Switzerland		International comparison
	1991-2000	2014-23	1991-2000	2014-23
			World
TFP annual growth rate (%)	0.0%	1.0%	1.8%	0.8%
			OECD average
Environmental indicators	2000*	2024*	2000*	2024*
Nitrogen balance, kg/ha	61.1	65.9	32.3	29.0
Phosphorus balance, kg/ha	2.8	4.2	3.3	2.3
Agriculture share of total energy use (%)	0.6	0.7	1.7	2.0
Agriculture share of GHG emissions (%)	11.9	14.7	8.7	10.3
Share of irrigated land in AA (%)	2.8	2.3	-	-
Share of agriculture in water abstractions (%)	..	8.0	46.1	47.7
Water stress indicator	4.9	3.8	..	..

Note: * or closest available year.

Sources: USDA Economic Research Service, Agricultural Productivity database; OECD statistical databases; FAO database and national data.

Historical trends in agricultural policies

Until the early 1990s, Swiss agriculture was largely isolated from world markets, due to high trade barriers and strong domestic market regulations. Substantial reforms of agricultural policy were implemented in the mid-1990s and early 2000s. These were prompted by commitments made under the GATT and later the WTO. There have been no systematic policy reforms since 2013, and current schemes have been extended to date, with more targeted adjustments.

The reforms implemented between 1993 and 2003 had three main elements:

• Reduced barriers to imports and greater transparency in border measures, gradual removal of price guarantees and other market regulations, maintenance of production quotas for milk, and introduction (in 1998) of new market regulations for sugar.

• New direct payments less coupled to production, and voluntary ecological direct payments linked to ecological services (1993-1998).

• Cross-compliance requirements connecting almost all direct payments to proof of ecological performance as of 1999.

Between 2004 and 2013, policy reforms were comparatively modest and focussed on deregulation of agricultural markets. Export subsidies were phased out, and milk quotas were abandoned in 2009 even though the market continues benefitting from public support.

In 2013, a new Agricultural Policy framework for 2014-17 (AP 2014-17) reformed the system of payments (OECD, 2015[5]). This framework was extended since then and is still in place today. The direct payment scheme was modified under this reform to improve its efficiency and effectiveness and create links to specific agricultural practices (OECD, 2017[6]). Additional payments to producers were introduced in 2019 for commercial milk (AgricA Art. 40) and grain (AgricA Art. 55) to compensate for the phase out of the last export subsidies abolished at the end of 2018, as a consequence of the WTO Nairobi agreement of 2015.

Strengthening of the environmental modalities (regulations on pesticide and nutrient surpluses, cross-compliance requirements and budgetary support to sustainable practices) has been considered in the context of the latest reform discussions for the Swiss Agricultural Policy beyond 2022 (AP22+) and led to the adoption of new water quality measures in 2023. Broader environmental reforms are however postponed to policies post-2030 (AP30+).

Table 26.4. Switzerland: Agricultural policy trends

Period	Framework	Changes in agricultural policies
Prior to 1993	Closed market	High border protection; regulated prices and interventions in domestic agricultural markets Payments based on output and input use; commodity-specific area and headage payments
1993-1998	Reforms to open up markets New system of direct payments	Reduced import barriers; enhanced transparency Reduction of export subsidies for some agricultural and processed products Reduction of domestic market regulations except for milk (production quotas) Creation of General Direct Payments, including: - Complementary Direct Payments based on area (arable and grassland) and other supplementary payments - Payments for integrated production - Payments for farming in difficult conditions Introduction of Ecological Direct Payments as voluntary schemes based on environmental services provided by farmers (biodiversity, landscape, animal welfare, etc.), and incentives for more sustainable use of resources and pollution reduction
1999-2004	Continuation of reforms to open up markets Changes in the system of direct payments	Further gradual reduction of import barriers Elimination of guaranteed prices New sugar market regulations without fixed production quotas Reform of the General Direct Payments; Complementary Direct Payments replaced by a general Area Payment not requiring production of particular crops; introduction of a general payment for ruminants Abolition of payments for integrated production Introduction of environmental cross-compliance; all direct payments conditional to a proof of ecological performance
2005-2013	Abolition of export subsidies Removal of production quotas (dairy, sugar)	Further gradual reduction of import barriers Abolition of export subsidies for primary agricultural products (2010) Abolition of dairy quotas and related guarantee prices for milk (2009) Abolition of sugar market regulations and introduction of area payments for sugar-beet to compensate for related price reductions (2009)
2014-present	Reform of the general direct payments	Reform of the system of General Direct Payments (2014) Abolition of general area payments Reallocation of payments related to specific agricultural practices Introduction of transition payments to make the reform socially acceptable Replacement of general headage payments to ruminants with area payments to pastures with a minimum stocking density Continuation of environmental cross-compliance conditions within the new system of payments Abolition of remaining export subsidies for some processed products (1 January 2019) New payments to producers of commercial milk and grains to compensate for price reductions due to the abolition of export subsidies for processed products (2019)

Support to farmers declined from close to 80% of gross farm receipts in the late 1980s but remained high at 51% on average during 2023‑25. Potentially most production- and trade-distorting support (mainly market price support) also declined from around more than 90% to around 50% of producer support between 1986-88 and 2023-25, while other payments grew.

References

[4] OECD (2026), Policies for the Future of Farming and Food in Switzerland, OECD Agriculture and Food Policy Reviews, OECD Publishing, Paris, https://doi.org/10.1787/55cf64da-en.

[2] OECD (2025), Agricultural Policy Monitoring and Evaluation 2025: Making the Most of the Trade and Environment Nexus in Agriculture, OECD Publishing, Paris, https://doi.org/10.1787/a80ac398-en.

[3] OECD (2022), “The agricultural innovation system in Switzerland”, in Enhancing Innovation in Rural Regions of Switzerland, OECD Publishing, Paris, https://doi.org/10.1787/fda0a725-en.

[6] OECD (2017), “Reforming agricultural subsidies to support biodiversity in Switzerland: Country Study”, OECD Environment Policy Papers, No. 8, OECD Publishing, Paris, https://doi.org/10.1787/53c0e549-en.

[5] OECD (2015), OECD Review of Agricultural Policies: Switzerland 2015, OECD Review of Agricultural Policies, OECD Publishing, Paris, https://doi.org/10.1787/9789264168039-en.

[1] World Trade Organization (2025), World Tariff Profiles 2025, WTO, https://doi.org/10.30875/9789287079190.

Notes

← 1.  Switzerland applies specific tariffs (and in- or out-quota tariffs in the case of TRQs), i.e. tariffs per physical unit of product, rather than ad valorem tariffs, per value of product. We reproduce here AVEs estimates by the WTO, but values remain dependent on the methodology chosen, as well as the base period considered, world market prices, unit values (affected by the source of imports and types of tariffs), exchange rates, and cases where no import occurs. For TRQs, the filling rate at the period considered also plays an important role to determine the final AVE.

← 2.  This target is an intermediate milestone for a long-term ambition of the whole population adopting a healthy and sustainable diet by 2050.

← 3.  In 2020, the Swiss Government found that 14 of the 63 measures in the first adaptation plan were fully completed, 28 were in advanced implementation, 19 were in the initial phase of implementation, and 2 were on hold.