- Focus
Switzerland’s emergency stocks
22.03.2024 – Theodora Peter
The availability of goods vital for human life is becoming more of an issue in view of global conflicts and pandemics. Switzerland has kept emergency supplies for its people since the world wars – and aims to be even more well prepared for future crises.
Canned ravioli, ideal for emergency stock- piling. Photo: iStock
Could you go without your morning coffee in the event of a crisis? In Switzerland, you won’t have to, as the government has contingency planning in place: importers have more than 18,000 tonnes of coffee bean stocks in reserve. This mandatory reserve is enough to meet demand from the country’s coffee drinkers for three months should there be an import outage. The real question is whether coffee, which has practically no nutritional value, is really as important to human survival as wheat or rice. The last time the authorities pondered this issue was during a review in 2019, when plans were made to remove coffee from the country’s emergency stockpile. This was met with strong resistance: not only suppliers but also consumers (bearing in mind that the Swiss are among the world’s foremost coffee drinkers) came out against it. The Federal Council ultimately backed down – not least on “psychological grounds”.
Food and warmth
Defining which goods are important for survival is “not an exact science”, says Peter Lehmann, head of Compulsory Stocks at the Federal Office for National Economic Supply. The key criterion for foodstuffs is the number of calories: the authorities work on the basis of an average energy consumption of about 2,300 calories per person per day. Accordingly, tens of thousands of tonnes of non-perishable foodstuffs such as rice, wheat, cooking oils and fats, sugar and the ingredients needed to make yeast are stockpiled. The compulsory stocks also hold fertilisers and canola seeds for agriculture. These reserves are enough to meet the needs of Switzerland’s population for three to four months.
Peter Lehmann, head of Compulsory Stocks at the Federal Office for National Economic Supply. Photo supplied
13 Swiss francs per person
The federal government does not hold the stocks itself. They are provided and managed by the relevant sector, for example grain mills, as they make flour out of wheat. “That means the goods are already where they are needed,” explains Lehmann. The 300 companies involved receive compensation for holding the stocks. This compensation is financed by import surcharges and fees: every inhabitant of the country pays 13 Swiss francs a year towards it.
Crisis survival involves more than having enough to eat. “A heated apartment is also a basic requirement,” explains Lehmann. The compulsory stores thus include heating oil and fuels, such as petrol, diesel and aviation gasoline. These reserves are released in the event of supply issues or supply chain gaps. In 2015, a strike in France resulted in a shortage of aviation gasoline at Geneva airport. In 2018, a dry summer caused mineral oil supply issues: low water levels on the Rhine meant the ships could only load their holds up to one third of full capacity. In 2021, the country had to dip into its emergency fertiliser stocks due to supply problems on the global market. The Swiss agricultural sector is fully reliant on imports to meet its demand for fertiliser.
The pandemic revealed supply shortfalls
The country regularly accesses its strategic medical reserve supplies. From 2019 to 2022, there were 416 instances of medicines being taken from emergency stocks to pre-empt shortages, mainly for antibiotics. At the start of 2024, the authorities initiated additional measures. Obligatory storage and reporting were extended to include other substances in order to mitigate supply bottleneck risks.
There were major national supply issues during the coronavirus pandemic, with a shortage of face masks, ethanol and disinfectant. The Swiss Alcohol Board had kept ethanol reserves up to 2017 prior to its dissolution in the interests of deregulation, which meant no more emergency ethanol stocks. No one suspected at the time how urgently ethanol would be needed just a short time later. The sector has since reestablished its reserve stock of the product.
The Ukraine war accentuated Europe’s energy crisis. However, electricity cannot be kept in reserve. The Federal Council approved the construction of a reserve power station last year to ensure the country would be prepared in the event of an acute electricity shortage (see Review 2/2023).
There are enough foodstuffs and commodities stockpiled to provide every person in the country with 2,300 calories per day for three to four months.
Switzerland depends on imports
The origins of national economic supply go back to the early 20th century. Many goods were in short supply before the First World War, and the situation only became worse after that. At the start of the 1930s, the federal government obliged private mills to hold a certain volume of grain in reserve. In the Second World War, the authorities launched a veritable cultivation campaign to make Switzerland less dependent on imported foodstuffs. Although this goal was not achieved, the “Wahlen Plan” – named after the agriculture minister and subsequently Federal Councillor Friedrich Traugott Wahlen – did strengthen the people’s resolve.
Following the world wars, the emergency stockpile was expanded in the interests of preserving security. Products including cacao, soap, coal, metals and screws were added to the mandatory reserves. During the Cold War, stocks were built up to last 12 months. However, the fall of the Iron Curtain and the advent of globalisation made stockpiling less of a priority, and reserves were scaled back during the 1990s. Nonetheless, Switzerland remains reliant on functioning supply chains and imports, as the country only produces about half of the food supply needed to meet domestic consumption.
Given the uncertain state of the current world, the Federal Council proposed last summer to top up the mandatory reserves again and store more grain and cooking oils. However, during the consultation process, these plans were met with scepticism: the sectors in question considered a one-year import outage excessive. At the same time, an expert survey showed that they believed the priority should be on doing more to secure complex supply chains. In December 2023, the federal government commissioned a more detailed review. The government does not just want to know whether more products should be included in the compulsory stockpiles but also whether additional instruments are needed to monitor international supply chains of critical goods and services. The conclusions of the review should be published by the end of 2024.
Switzerland as a role model
By international comparison, Switzerland is something of a role model in its approach to stockpiling foodstuffs. That finding emerges from a country analysis commissioned by the Confederation from research institute Polynomics. The study covered the neighbouring countries of Germany, France, Italy, Austria, as well as Finland and the non-EU state Norway. These countries apply different approaches, ranging from Finland with its extensive national stockpiles to France, where there are no emergency food reserves, which is understandable as the country has a large agricultural sector and does not rely on imports.
In any case, Switzerland’s penchant for hoarding coffee makes it a global anomaly: “If disaster strikes, the Swiss want to be caffeinated,” is how the British publication “The Economist” reported on the matter with a hint of irony.
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Comments
Comments :
As if to emphasise the slight disconnect, the short section on precarious supply chains and climate change mentions releasing mineral reserves of petrol and oil in 2018 as the Rhine was too dry for the usual transport.
It may be comforting to think that there are reserves for unforseen emergencies, but that should not distract from proper long term planning to deal with the root causes of future problems, even if means addressing some difficult truths.
Über diese sinnfreie Ausgabe habe ich mich mal wieder voll gefreut! So als Auslandsschweizerin, ist für mich voll wichtig, was so an Vorräten in Schweizer Haushalten vorhanden ist! Auch das Einstimmen auf Krieg, das diese Propagandapresse durchs Band betreibt, obwohl keiner, außer die politischen Kriegstreiber und Waffenschreier, das will, mag ich echt nicht mehr lesen! Damit ich das nicht mehr muss, habe ich mich vom Newsletter ausgetragen, denn ich weiß echt nicht mehr, was mir meine ehemalige Heimat noch bieten könnte! Traurig aber Wahr! Denn in Coronazeiten, waren ja die Botschaften nicht mal in der Lage Ausweise zu erneuern in Ländern, in denen es keine Vertretung gibt! Keine adäquate Lösung, hatten dies Botschaften oder das EDA zu bieten, obwohl sie ja gerade für Krisenzeiten da sein sollten! Es hatte schon sein Grund, warum ich ausgewandert bin und mich in Ungarn besser aufgehoben fühle!!