Now they are getting more money Swiss winegrowers in crisis: "The situation is dramatic"

Swiss wineries are suffering from declining alcohol consumption and cheap imports. Now they are asking the federal government for help. It warns of the consequences of drinking - but pays anyway.

"Risk of a collapse of Swiss viticulture" is on the agenda of today's session of the Council of States - the matter is an interpellation by Pierre Yves Maillard, SP member of the Council of States for Vaud. Exaggerated? "No", says Jürg Bachofner, Managing Director of the German-Swiss Wine Industry Association, "the situation of many producers is really dramatic".

In an interview with blue News, however, he soon admits that the German-Swiss winegrowing businesses are doing well. The producers in western Switzerland, who grow "main varieties such as Chasselas and Pinot Noir", are in crisis. "The stocks of these varieties have been filling up for years."

Wine consumption in Switzerland has fallen by 7.9% since 2023. 25 years ago, it was 25 percent higher than today. "Structural change is inevitable," says Bachofner. The restaurant trade is also feeling the effects of people's declining appetite for alcoholic beverages, which is also jeopardizing its business model.

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Wine imports put Swiss viticulture under pressure

But before they adapt their vineyards to the social trend, winegrowers are calling on the federal government for help via Council of States member Maillard. According to his proposal, which was discussed in the Council of States today, the core of the problem is not the dwindling appetite for wine, but foreign competition. This is flooding Switzerland with wine at prices that are crowding out domestic production. Switzerland runs the risk of losing know-how and a cultural asset if the federal government does not take support measures to help the hard-pressed winegrowing businesses.

Bachofner adds: "Italy spends around 20 million euros a year to promote Italian wine in Switzerland." However, a look at the federal government's wine statistics shows that the share of imports has fluctuated between 59 and 66 percent since 1996 - with no clear trend in either direction. The volume of imports has therefore not risen significantly in recent years.

So it's a good thing that the Swiss Confederation has 300 million francs in surplus to distribute. On the second day of the session, the Council of States awarded Swiss winegrowers an additional CHF 10 million - to promote structural change, according to the minutes of the Council of States. Council of States member Jakob Stark (SVP/TG) emphasized in his justification of the committee's preliminary decision: "It's about structural improvements, that's very, very important."

Winegrowing businesses already receive 9 million a year to promote sales. The responsible committee of the National Council rejects this measure.

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Bachofner sees another way to improve the situation of the Swiss winegrowing industry in increased export promotion. He believes it would make sense to market main varieties such as Chasselas, Pinot Noir or Müller Thurgau abroad.

However, he is aware that investments would have to be made on a similar scale to what Italy is already doing. "Huge sums have to be invested in order to be successful abroad, because there is enough wine there too."

Is the FOPH responsible for falling wine consumption?

The federal government is also spending money to ensure that less wine is drunk in Switzerland. The FOPH warns of the consequences of alcohol abuse and points out that 250,000 to 300,000 people are addicted to it, which leads to 16,000 deaths a year and costs the general public 2.8 billion francs.

Jürg Bachofner does not hold the FOPH responsible for the fact that some wineries can no longer sell their harvest. "The warnings about alcohol consumption have a certain effect," he says cautiously. Above all, however, he thinks it is wrong to equate drinking wine with consuming alcohol. The World Health Organization (WHO) is engaging in activism in this regard that is not scientifically proven. "We counter this with the positive message that wine, enjoyed in moderation, is an enrichment of life. Wine is culture."

The newly founded association Gaudium Suisse criticizes the warnings about the consequences of alcohol with the same argumentation, but somewhat more harshly. "With its 'no safe level' campaign, WHO Europe is propagating an increasingly restrictive alcohol policy. Stigmatization of stimulants such as wine, beer and spirits is increasing." Gaudium Suisse is against "this blanket paternalism and in favor of the social and cultural importance of enjoyment."

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The lobby organization for alcohol consumption refers to initiatives by Councillor of States Benedikt Würth (centre/SG), who is calling for a "halt to new recommendations on moderate alcohol consumption" in a motion and "moderation in WHO health recommendations" in an interpellation.

So others are fighting the cultural battle. The winegrowers have received additional funds for the time being. During the budget debate, Finance Minister Keller-Sutter also raised a warning finger and said that it was questionable what a one-off payment would achieve if people were obviously drinking less in the long term. She feared that this one-off payment would not be enough and that in a year's time there would be calls for the measure to be continued.

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In his written response to the interpellation, Federal Councillor Parmelin shows understanding for the situation of winegrowers - he was one himself until 2015, his brother has been running the business alone since then. He acknowledges the challenge of declining consumption and cheap imports. The Minister of Agriculture does not see influencing imports as promising. Rather, he sees opportunities in exports. Some winegrowers from Vaud have already traveled to India in the hope of finding customers there. The free trade agreement with India is an advantage for Switzerland. In addition, US wine is no longer as popular in Canada as it used to be.

For Parmelin, it is clear that some businesses need financial support in the short term. Everything else will take more time and the Federal Council is working on solutions with the Federal Office for Agriculture and Seco.