G/SCM/N/315/CHE  
 
13 February 2018  
(18-0956) Page: 1/21 
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES  
NEW AND FULL NOTIFIC ATION PURSUANT TO AR TICLE XVI:1 OF THE  
GATT 1994 AND ARTICL E 25 OF THE AGREEMEN T ON 
SUBSIDIES AND COUNTE RVAILING MEASURES  
SWITZERLAND  
The following communication, dated 7 February 2018 , is being circulated at the request of the 
Delegation of Switzerland.  
 
_______________  
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  TABLE OF CONTENTS  
 
1   REGIONAL POLICY  ................................ ................................ ................................ ...... 3 
1.1   Measures in application of regional policy  ................................ ................................ ....... 3 
1.2   Assistance for mountain and rural areas  ................................ ................................ .........  4 
2   FORESTRY  ................................ ................................ ................................ ...................  5 
2.1   Indemnities and financial assistance  ................................ ................................ ..............  5 
3   ENERGY POLICY  ................................ ................................ ................................ ..........  6 
3.1   Grants for small photovoltaic systems  ................................ ................................ ............  6 
3.2   Petroleum tax refunds  ................................ ................................ ................................ .. 7 
4   AGRICULTURE  ................................ ................................ ................................ .............  8 
4.1   Agricultural policy 2014 – 2017 ................................ ................................ .....................  8 
4.2   Dairy products  ................................ ................................ ................................ ............  9 
4.3   Bovine meat  ................................ ................................ ................................ .............. 10 
4.4   Horses  ................................ ................................ ................................ ...................... 11 
4.5   Wool ................................ ................................ ................................ ......................... 12 
4.6   Eggs ................................ ................................ ................................ ......................... 13 
4.7   Tobacco  ................................ ................................ ................................ .................... 14 
4.8   Protein  ................................ ................................ ................................ ...................... 14 
4.9   Oilseeds  ................................ ................................ ................................ .................... 15 
4.10   Sugar beet  ................................ ................................ ................................ ............... 16 
4.11   Seeds ................................ ................................ ................................ ...................... 17 
4.12   Fruit ................................ ................................ ................................ ........................ 18 
4.13   Processed agricultural products  ................................ ................................ .................. 20 
 
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  1  REGIONAL POLICY  
1.1  Measures in application of regional policy  
1. Title of the programme  
 
Guarantees for investment credits granted under the former law (Federal Law of 6 October 1995, 
Official Collection of Federal Law 2006 4301).  
 
Tax relief in application of the Federal Law on Regional Policy (since 1 January 2008).  
 
2. Period covered  
 
2015-2016. 
 
3. General goal and/or purpose of the subsidy  
 
Create or maintain jobs in clearly defined, structurally weak areas. These regions shall be enabled 
to engage in value -added activities with the ultimate objective to reduce regional disparities.  
 
4. Background and authority  
 
Guarantees for investment credits  
 
Legal basis:  
 
- Federal Law of 6 October 1995 (former law, Official Collection of Federal Law 2006 4301) . 
 
Authority:  
 
- State Secretariat for Economic Affairs SECO / Federal Department of Economic Affairs, 
Education and Research EAER . 
 
Tax relief  
 
Legal basis:  
 
- Art. 12 of the Federal law of 6 October 2006 on regional policy (state as of 1  January  2008)  
- Ordinance of 3 June 2016 on the Granting of Tax Relief within the Scope of Regional Policy 
(state as of 1 July 2016, replaces the Ordinance of 28 November 2007 on the Granting of 
Tax Relief within the Scope of Regional Policy)  
- Ordinance of the EAER of 3 June 2016 on the Determination of the Municipalities Falling 
Within the Areas of Application  for Tax Relief (state as of 1 July 2016, Replaces the 
Ordinance of 28 November 2007 on the Determination of the Areas of Application for Tax 
Relief)  
- Ordinance of the EAER of 3 June 2016 on the Granting of Tax Relief within the Scope of 
Regional Policy (state as of 1 July 2016)  
 
Authority:  
 
State Secretariat for Economic Affairs SECO / Federal Department of Economic Affairs, Education 
and Research EAER.  
 
5. Form of the subsidy  
 
Guarantees for investment credits granted under the former Law ( Federal Law of 6  October 1995, 
Official Collection of Federal Law 2006 4301) for maximal duration of eight years. T he last such 
guarantee thus expired in 2016.  
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  Partial or full tax relief granted in application of the federal law of 6 October 2006 on regional 
policy for a  maximum duration of ten years.  Since 1 July 2016, the tax relief is granted as an 
absolute amount (instead of a percentage).  
6. How the subsidy is granted and to whom  
 
Both guarantees for investment credits (under the former law) and tax reliefs (under the l aw of 
regional policy) are granted to industrial  companies. The project has to create or maintain jobs in 
clearly defined, structurally weak areas (areas of application).  
 
The areas of application show a low level of structural, economic and social develo pment and are 
mostly located in rural areas covering 10% of the Swiss population. Since 1 July 2016, these areas 
take into account spatial planning considerations in addition to structural weakness.  
 
7. Unit amount of the subsidy or, where this is not possibl e, total amount or budgeted annual 
amount of the subsidy  
 
Guarantees for investment credits  
 
In 2015 and 2016, the Confederation did not suffer any losses on guaranteed loans granted under 
the former law (Federal Law of 6 October 1995). The federal commitments as a whole amounted 
to CHF  0.5 million at year end 2015. They were completely repaid at year end 2016.  
 
Tax relief  
 
The overall volume of foregone tax under the Federal law of 6 October 2006 on regional policy 
amounts to approximately CHF 22.5 million per year (average 2008 – 2013). The figures for 2014 
to 2016 are not yet available.  
 
8. Durat ion of the subsidy and/or any other deadline connected with the subsidy  
 
Guarantees for investment credits  
 
The Federal Law of 6 October 1995 (Official Collection of Federal law 2006 4301) was abrogated 
on 31 December 2007. Thus the maximum duration of the  guarantee is eight years, the last such 
guarantee expired in 2016.  
 
Tax relief  
 
The Federal law on regional policy of 6 October 2006 remains in force indefinitely.  
 
The tax reliefs are granted for a maximum duration of ten years.  
 
9. Statistical data enablin g the effects of the subsidy on trade to be assessed  
 
Guarantees for investment credits  
 
The effect of the assistance programme on trade is negligible, if not non -existent.  
 
Tax relief  
 
In the period 2008 to 2015, 115 projects were granted full or partial tax relief, i.e. 14 projects per 
year on average.  
 
1.2  Assistance for mountain and rural areas  
1. Title of the programme  
 
Surety and contributions to interest -serving in mountain and rural areas.  
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  2. Abolition of the programme  
 
As a result of the lack of demand for grants and as a consequence of the dissolution of the most 
important law enforcement partner , the Swiss Guarantee Cooperative for the Arts and Crafts, a 
process  of abolition of the Federal Law encouraging credit guarantees and on loan service 
contributions  in mountain and rural areas (SR 901.2) of 25 June 1976 has been launched in 2016.  
 
3. Statistical data  
 
The already modest financial aid slumped into insignificance. Since May 2016, no more surety or 
contribution to interest -serving has been allocated. Statistics are no longer established.  
 
2  FORESTRY  
2.1  Indemnities and financial assistance  
1. Title of the subsidy programme  
 
New system of fiscal equalization and division of tasks (NFE)  
 
2. Period covered  
 
1.1.2014 - 31.12.2016 . 
 
3. Policy objectiv e and/or purpose of t he subsidy  
 
Compensation to forest owners for services rendered to the public . 
 
4. Background and authority for the subsidy   
 
Federal Law on Forests (1991) [SR 921].  https://www.admin.ch/opc/fr/classified -
compilation/19910255/index.html  (in French)  
Federal Ordinance on Forests [SR 921.01].  https://www.admin.ch/opc/fr/classified -
compi lation/19920310/index.html  (in French)  
 
5. Form of the subsidy  
 
Since 2008 the New system of fiscal equalization and division of tasks (NFE) is in force. This 
system also concerns the assistance in the field of forestry. Assistance is allocated in the form of  
indemnities and financial assistance . 
 
6. How the subsidy is granted and to whom  
 
The federal government and the can tons mainly provide comprehensive subsidies that favour the 
categories Protection Forest programme, Forest Biodiversity programme and Forest Management 
programme. Generally the contributions from the cantons are as high as those from the federal 
government. However, the cantons vary greatly in the requirements they have for their forests 
and what kinds of forest they have. These differences mea n that the cantons also vary greatly in 
how they distribute their contributions across the categories. With the NFE the federal government 
introduced four -year long programme agreements between the federal gov ernment and the 
cantons. The subsidies paid by  the federal government and the cantons are managed by the 
cantons to achieve the common defined goals within the programmes.  
 
7. Unit amount of the subsidy or, where this is not possible, total amount or budgeted annual 
amount of the subsidy  
 
In 2015, the Confederation was engaged in programs amounting to CHF 122 million; in 2016, it 
was CHF 140 million.  
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  8. Duration of the subsidy and/or any other deadline connected with the subsidy  
 
Starting 2008, four year -long programs (2008 -2011; 2012 -2015; 2016 -2019) wer e introduced.  
 
9. Statistical data enabling the effects of the subsidy on trade to be assessed  
 
The effect of the assistance programme on trade is negligible, if not non -existent (payments for 
environmental services like the mai ntenance of protection forests  (e.g. mature trees cutting in 
protected forests to allow regeneration while young trees will be left in the forest where timber 
transport is dif ficult due to rugged conditions)  or conservation of biodiversity).  
 
3  ENERGY POLICY  
3.1  Grants for small photovoltaic  systems  
1. Title of the subsidy programme  
 
One-off investment grants for small photovoltaic systems ( Energy Act ; SR 730.0  / RO 1999 197 ). 
 
2. Period covered  
 
2014-2016.  
 
3. Policy objective and/or purpose of the subsidy  
 
One-off investment grants are an instrument that has been developed by the Confederation for the 
purpose of encouraging electricity production  in small photovoltaic systems, i.e. photovoltaic 
systems with an output of under 30 kW . 
 
4. Background  and authority for the subsidy  
 
Legal Basis: Article 7abis of the Energy Act, dated 26 June 1998 (Energy Act ; SR 730.0 ) 
 
Authority: Swiss Network Swissgrid (swissgrid.ch)  
 
5. Form of the subsidy  
 
One-off grants cover a maximum of 30 percent of the investment costs of  new photovoltaic  
systems. Photovoltaic systems with an output of less than 10 kW are subsidized with a one -off 
grant rather than receiving feed -in remuneration at cost. Operators of photovoltaic systems with 
an output of between 10 kW and under 30 kW can choose between fe ed-in remuneration at cost or 
a one -off grant.  
 
6. How the subsidy is granted and to whom  
 
For all operators  of new photovoltaic systems with an output of under 30 kW  and that officially 
request a o ne-off grant . 
 
Reserve: Financing is subject to availability of funds.  
 
7. Unit amount of the subsidy or, where this is not possible, total amount or budgeted annual 
amount of the subsidy  
 
Annual Budget:  
 
2016: 100 Mi llion CHF 
2015: 100 Mi llion CHF 
2014: 6 Million  CHF 
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  8. Duration of the subsidy and/or any other deadline connected with the subsidy  
 
One-off payment once the new photovoltaic system is operational.  
 
9. Statistical data enabling the effects of the subsidy on trade to be assessed  
 
The programme has no impact on trade.  
 
3.2  Petroleum tax refunds  
1. Title of the subsidy programme  
 
Mineral oil tax refund for specific intended use  
 
2. Period covered by the notification  
 
2015-2016. 
 
3. Policy objective and/or purpose of the subsidy  
 
Tax relief for mineral oil tax is granted based on the following objectives among others:  
 
- In the areas of agriculture and forestry, natural stone quarr ying and commercial fishing 
production costs have to be reduced. This prevents production in the first sector being 
burdened with fiscal levies.  
- The licensed transport companies have to provide services  by law which are in everyone's 
general interest. This is why they should preferably not be burdened by fiscal levies.  
- The framework conditions for winter tourism in Switzerland should be improved whereby the 
operators of slope maintenance vehicles are gra nted tax relief.  
 
4. Backgroun d and authority for the subsidy  
  
Mineral oil tax is a special consumption tax, which since 1997 has been levied by the Swiss Con -
federation on petroleum, other mineral oils, natural gas, their pro cessed products and fuel. In 
addition to mineral oil tax, a mineral oil surtax is also levied on fuel.  
 
Goods may, depending on their use, be subject to differing tax rates. On the one hand, the tax 
tariff in Annex 1 to the Mineral Oil Tax Act (SR 641.61) makes the distinction between goods which 
are used as fuels and goods which are used in other applications. On the other hand, the tariff of 
the tax reductions in the Annex to the Federal Department of Finance (FDF) Ordinance on Tax 
Reductions for Mineral Oil Tax (SR 641.612) contains reduced tax rates for certain uses.  
 
The Federal Customs Administration is responsible for the enforce ment of mineral oil tax legisla tion 
and thereby the granting of tax relief.  
 
5. Form of the subsidy (i.e., gra nt, loan, tax concession, etc. ) 
 
Tax relief w hich is granted in the form of refunds of the diffe rence between the normal and 
reduced tax rate.  
 
6. To whom and how the sub sidy is provided  
 
If fuels (petrol, diesel, natural gas, etc.) are used for one of the tax -privileged purposes listed be -
low, after th ey have been consumed, the refund of the diffe rence between the normal and re duced 
tax rate ca n be claimed.  
 
- Journeys of public transport companies;  
- Operation of slope maintenance vehicles;  
- Agriculture and Forestry;  
- Natural stone quarrying;  
- Commercial fis heries;  G/SCM/N/315/CHE  
 
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  - Certain stationary applications (among others powering of stationary electricity generation 
installations).  
 
7. Subsidy per unit, or in cases where this is not possibl e, the total amount or the annu al 
amount budgeted for that subsidy  
 
Tax relief amounting to CHF 151.9 million in 2015 and CHF 153.4 million in 2016 was granted by 
the Federal Customs Administration.  
  
8. Duration of the subsidy and/or any other time limits attached to it, including  date of 
inception/commencement  
 
With the exception of t he refund of the mineral oil tax to natural stone quarrying (since 2007) and 
to operators of slope maintenance vehicles (since 2016), tax relief has been in existence since 
mineral oil tax was introduced in 1997.  
   
9. Statistical data permitting an assessmen t of the trade effects of the subsidy  
 
Statistical data permitting an assessment of the trade effects are not available.   
 
4  AGRICULTURE  
4.1  Agricultural policy 2014 – 2017  
1. Title of the subsidy programme  
 
Agricultural policy 2014 – 2017 (AP 14 -17) – direct payments  
 
2. Period covered  
 
2015-2016. 
 
3. General goal and/or purpose of the subsidy  
 
The policy objective aims at:  
 
 the reliable provision of the population with foodstuffs  
 the conservation of natural resources and the upkeep of the countryside  
 decentralised population settlement of the country  
 
4. Background and authority  
 
a. Federal Law on Agriculture of 29 April 1998 (SR 910.1)  
b. Federal Ordinance of 23 October 2013 concerning direct payments (SR 910.13 direct 
payments ordinance)  
5. Form of the subsidy  
 
The new direct payment system comprises seven categories of payments, each targeted to a 
specific policy objective, with a total of 21 measures. The payments are distributed in the form of 
grants.  
 
6. How the subsidy is granted and to whom  
 
Payments are gran ted to agricultural producers.  
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  7. Amount of the subsidy per head  
 
General Summary of expenditure under the direct payment scheme1:  
 
 2015  
(million  CHF)  2016  
(million  CHF)  
Payments for ensuring food 
security  1,093.5  1,090.6  
Farmland payments  504.4  506.8  
Payments for production systems  450.1  457.7  
Biodiversity payments  386.6  400.2  
Payments for landscape quality  125.5  141.7  
Resource efficiency payments  42.8 39.3 
Transitional payments  177.9  162.2  
 
8. Duration of the subsidy  
 
A new Agricultural Polic y will be implemented in 2022.  
 
4.2  Dairy products  
1. Title of the subsidy programme  
 
Two types of contributions are in place: contribution for milk processed into cheese and non -silage 
allowances.  
 
2. Period covered  
 
2015-2016. 
 
3. General goal and/or purpose of the subsidy  
 
The purpose of the contributions for milk processed into cheese is to encourage milk farmers to 
give added -value to the milk. The purpose of the non -silage allowance is to encourage the use of 
grass as a more ecological and more expensive fodder in milk pr oduction.  
 
4. Background and authority  
 
Federal Act on Agriculture dated 29 April 1998 (RS 910.1), Article 38 and Article 39.  
 
5. Form of the subsidy  
 
Contributions (grants)  
 
6. How the subsidy is granted and to whom  
 
Contribution per kilo milk processed into cheese and per kilo milk of cows fed without silage.  
 
7. Amount of the subsidy per head  
 
Contribution for milk processed into cheese:  
 
2015: 262.1 million  CHF for a total of 1 '739'337'058 kg.  of milk.  
2016: 262.9 million  CHF for a total of 1 '744'957'361 kg. of milk.  
 
                                                
1 For a more detailed overview please consult the DS:1 notification of Switzerland in the WTO 
Agricultural Committee.  G/SCM/N/315/CHE  
 
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  Non-silage allowances : 
 
2015: 30.9 million  CHF for a tota l of 1'062'063'904 kg.  of milk  
2016: 30.1 million  CHF for a total of 1 '045'103'006 kg. of milk  
 
8. Duration of the subsidy  
 
The programme is been in force since 1999.  
 
9. Statistical data enabling the effects of the subsidy on trade to be assessed  
 
Year Total production of milk, in tons  
2015 3,486,177 
2016 3,433,975 
 
4.3  Bovine meat  
1. Title of the subsidy programme  
 
Contributions for the storage of veal meat  
 
2. Period covered  
 
2015-2016. 
 
3. General goal and/or purpose of the subsidy  
 
The purpose of the subsidy is to promote the storage of domestic veal meat . 
 
4. Background and authority  
 
Federal Law on Agriculture of 29 April 1998 (SR 910.1).  
Federal Ordinance of 26 November 2003 concerning the meat market (SR 916.341: Meat 
ordinance).  
 
5. Form of the subsidy  
 
Contributions (grants)  
 
6. How the subsidy is granted and to whom  
 
The Confederation can finance measures to facilitate the storage of  domestic veal meat.  
 
7. Amount of the subsidy per unit  
 
Year Per unit (CHF per kg)  
2015 5.2 
2016 4.9 
 
8. Duration of the subsidy  
 
The subsidy is in place since 2003 .  
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  9. Statistical data enabling the effects of the subsidy on trade to be assessed  
 
Production and trade of veal meat (in tons)  
Year Production  Imports  Exports  
2015 22,700 661 56 
2016 22,291 685 17 
 
4.4  Horses  
1. Title of the subsidy programme  
 
Export subsidies for live horses  
 
2. Period covered  
 
2015-2016. 
 
3. General goal and/or purpose of the subsidy  
 
The Canton of Jura takes measures to maintain domestic horse breeding for the needs of 
agriculture. These measures apply only to horses of the breed "Franches -Montagnes" and "Demi -
sang" in the Canton of Jura.  
  
4. Background and authority  
 
Decree, dated 19 February 2015, granting a loan to the rural economy service ( Service de 
l’économie rurale ) for the payment of export subsidies for horses.  
 
Decree, dated 24 October 2016, granting a loan to the rural economy service ( Service de 
l’économie rurale ) for the p ayment of export subsidies for horses.  
 
5. Form of the subsidy  
 
A Cantonal financial export subsidy is paid to horse -breeders for exports of horses of the breeds 
encouraged by the Canton of Jura.  
 
6. How the subsidy is granted and to whom  
 
The subsidy is granted  to breeders upon export.  
 
7. Amount of the subsidy  
 
Total export subsidies in 2015 amounted to CHF 64,000 and CHF 72,000 in 2016.  
 
8. Duration of the subsidy  
 
The Cantonal subsidy is in force since 20 April 2010.  
 
9. Statistical data enabling the effects of the s ubsidy on trade to be assessed  
 
Number of Horses and Trade2 
(Head)  
Year Number of Horses  Imports  Exports  
2015 60,000  3,886  1,390  
2016 60,000  3,933  1,384  
 
                                                
 2 Horses intended for slaughter are not included.  G/SCM/N/315/CHE  
 
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  Most exports are not subsidized (subsidies covered 64 heads in 2015 and 72 in 2016).  
 
4.5  Wool 
1. Title of the subsidy programme  
 
Purchase of domestic wool and projects including the use of wool (“wool projects”)  
 
2. Period covered  
 
2015-2016. 
 
3. General goal and/or purpose of the subsidy  
 
There are at present some 350,000 heads of sheep, the majority of which ar e in mountain areas. 
The subsidy enables the Swiss wool industry to purchase domestic wool, while at the same time 
guaranteeing a contribution to producers to their production costs. The contributions for wool 
projects enable the industry to develop proces ses for wool treatment and to promote wool 
products.  
 
4. Background and authority  
 
Federal Law on Agriculture of 29 April 1998 (SR 910.1).  
5. Form of the subsidy  
 
2015/16: The Confederation makes an annual contribution of CHF 0.8 million for the professional 
treatment of domestic sheep wool and for wool projects.  
 
6. How the subsidy is granted and to whom  
 
2015/16: The subsidy is granted by the Confederation to recogn ized self -help organisations of 
sheep owners and wool processors. The contribution is based on the weight of transformed wool 
and based on project costs.  
 
7. Amount of the subsidy per unit  
 
Year Total (millions of CHF)  Per unit (CHF per kg)  
2015 0.44 (for the treatment of domestic 
sheep wool)  2.00 
2015 0.42 (for wool projects)   
2016 0.53 (for the treatment of domestic 
sheep wool)  2.00 
2016 0.35 (for wool projects)   
 
8. Duration of the subsidy  
 
The subsidy for the purchase of domestic wool was introduced in  1962. It is provided in two 
instalments per year. Contributions for projects were introduced in 2003.  
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  9. Data enabling the effects of the subsidy on trade to be assessed  
 
Production and trade of wool (in tons)  
Year Production  Imports  Exports  
2015 557 568 582 
2016 543 609 618 
 
4.6  Eggs 
1. Title of the subsidy programme  
 
Contributions for the disposal of eggs  
 
2. Period covered  
 
2015-2016. 
 
3. General goal and/or purpose of the subsidy  
 
The purpose of the subsidy is to promote the disposal of domestic eggs in periods of over -
production.  
 
4. Background and authority  
 
- Federal Law on Agriculture of 29 April 1998 (SR 910.1).  
- Federal Ordinance of 26 November 2003 concerning the egg market (SR 91 6.371: 
 Egg ordinance).  
 
5. Form of the subsidy  
 
Contributions (grants).  
 
6. How the subsidy is granted and to whom  
 
The Confederation can finance measures to facilitate the disposal of domestic eggs (cracking eggs 
and price reductions).  
 
7. Amount of the subsidy  
 
Year Total amount (millions of CHF)  
2015 1.8 
2016 1.8 
 
8. Duration of the subsidy  
 
Payments are made usually on a monthly basis during a calendar year.  
 
9. Statistical data enabling the effects of the subsidy on trade to be assessed  
 
Production, trade and consumption of eggs in shell (millions of eggs)  
Year Production  Imports  Consumption  
2015 889 431 1,050 
2016 907 414 1,070 
 
Exports are negligible.  
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  4.7  Tobacco  
1. Title of the subsidy programme  
 
Tobacco production support   
 
2. Period covered  
 
2015-2016. 
 
3. General goal and/or purpose of the subsidy  
 
Help maintain tobacco production in traditional producing areas .   
 
4. Background and authority  
 
- Federal law on tobacco taxation (RS 641.31)  
- Ordinance fixing producer prices and prices to manufacturers for local tob acco 
(RS 916.116.4)  
 
5. Form of the subsidy  
 
Payment to tobacco producers.  
 
6. How the subsidy is granted and to whom  
 
Production subsidy in favour of tobacco growers and for raw tobacco leaves processing. The 
subsidies come from a fund constituted by a tax on cigarettes sold in Switzerland. The fund pays 
the difference between producer prices (to a maximum of the target prices set by the government 
for each quality) and the tobacco price set by the governme nt for the manufacturers.   
  
7. Amount of the subsidy  
 
Year Total amount (millions of CHF)  
2015 16.6 
2016 16.5 
 
8. Duration of the subsidy  
 
The subsidy is paid since  1984, now on the basis of the ordinance of 18 December 1996 fixing 
producer prices and prices to manufacturers for local tobacco.  
 
9. Statistical data enabling the effects of the subsidy on trade to be assessed  
 
Year Production ('000 t)  Imports* ('000 t)  Consumption ('000 t)  
2015 1 28 29 
2016 1 26 27 
* Tariff heading 24 - Tobacco and manufactured tobacco substitutes . 
 
4.8  Protein  
1. Title of the subsidy programme  
 
Bonuses to  promote the growing of protein   
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  2. Period covered  
 
2015-2016. 
 
3. General goal and/or purpose of the subsidy  
 
Growing premiums for protein are one of the measures designed to safeguard producer income 
and support local production.  
 
4. Background and authority  
 
Federal Law on Agriculture of 29 April 1998 (SR 910.1).  
 
5. Form of the subsidy  
 
Payment to the producer (grant).  
 
6. How the subsidy is granted and t o whom  
 
Crop bonuses proportionate to the area under cultivation are allocated to domestic producers of 
high-protein peas and field beans. The bonuses are allocated annually in the Confederation 
budget.  
 
7. Amount of the subsidy  
 
Support measures   Millions of CHF  
2015  2016  
Payment to the producer (1 '000 CHF per hectare)  Field beans and 
high protein peas  5.3 5.8 
 
8. Duration of the subsidy  
 
The subsidy was paid on the basis of the ordinance of 23 October 2013 (RS 910.17).  
 
9. Statistical data enabling the effects of the subsidy on trade to be assessed  
Production, trade and consumption  
(not allowing for fluctuations in stocks)  
Field beans, high -protein peas  
Year Production  
(thousands of tons)  Imports  
(thousands of tons)  Consumption  
(thousands of tons)  
2015 16.8 14.6 31.4 
2016 12.7 10.3 23.0 
 
4.9  Oilseeds  
1. Title of the subsidy programme  
 
Bonuses to p romote the growing of oilseeds  
 
2. Period covered  
 
2015-2016.  
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  3. General goal and/or purpose of the subsidy  
 
The measures taken to promote arable farming are aimed at keeping a minimum area for the 
production of oil -seeds both for biological reasons linked to the need for a certain crop 
diversification and for reasons of maintaining domestic supply.  
 
4. Background and authority  
 
Federal Law on Agriculture of 29 April 1998 (SR 910.1).  
 
5. Form of the subsidy  
 
Payment to the producer (grant).  
 
6. How the subsidy is granted and to whom  
 
The following subsidies are granted for rapeseed, sunflower seed, soybeans, oilseed flax, poppy, 
oilseed pumpkin and safflower: Crop bonuses proportionate to the area under cultivation are 
allocated to domestic producers.  
 
7. Annual amount of the subsidy  
 
Support measures   Millions of CHF  
2015  2016  
Payment to the producer (700 CHF per hectare except 
soybeans ) 
 
Payment to the producer (1000 CHF per hectare for soybeans 
only) Rapeseed, 
sunflower seed, 
oilseed pumpkin , 
oilseed flax,  
poppy, safflower, 
soybeans  21.3 19.7 
 
8. Duration of the subsidy  
 
A support of oil production was introduced in 1951. The subsidy was paid on the basis of the 
ordinance of 23 October 2013 (RS 910.17).  
 
9. Statistical data enabling the effects of the subsidy on trade to be assessed  
 
The subsidy has made it possible to keep a minimum area under oil -seed production. Domestic 
production is equivalent to 20 -25 per cent of Swiss average consumption of vegetable oils and 
fats. 
 
Production and trade (in tons)  
Year  Production  Import  Oil exports  
2015 Rapeseed  87,000  4,000  42 
Soybeans  4,000  13,100  139 
Sunflower seeds  9,800  4,400  856 
2016 Rapeseed  71,900  11,900  63 
Soybeans  4,500  12,700  198 
Sunflower seeds  13,000  6,300  539 
 
 
4.10  Sugar beet  
1. Title of the subsidy programme  
 
Bonuses to promote the growing of sugar beet for sugar production.  
 G/SCM/N/315/CHE  
 
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  2. Period covered  
 
2015-2016.  
 
3. General goal and/or purpose of the subsidy  
 
In order to guarantee domestic supply, a subsidy to promote the production of sugar beet was 
introduced in 2008 and has fully replaced in 2009 the allowance to the sugar factories.  
 
4. Background and authority  
 
Art. 54 of the Federal Law on Agricultural of 29 April 1998 (SR 910.1).  
 
5. Form of the subsidy  
 
Payment to the producer (grant).  
 
6. How the subsidy is granted and to whom  
 
Crop bonuses are proportionate to the area under cultivation. They are allocated to domestic 
producers of sugar beet, which are used to produce sugar. To receive the grant, producers must 
have a written contract with a sugar processing factory.  
 
7. Amount of  the subsidy per unit  
 
Year Support measures  Total (Millions of 
CHF)  CHF per hectare  
2015 Payment to the producer (grant)  31.4 1,600  
2016 Payment to the producer (grant)  34.1 1,800  
 
8. Duration of the subsidy  
 
The legislation funding subsidy for production of sugar was introduced in 1957. The subsidy was 
paid on the basis of the ordinance of 7 December 1998 for 2013 and of 23 October 2013 for 2014 
(RS 910.17).  
 
9. Statistical data enabling the effects of the subsi dy on trade to be assessed  
 
Production and trade of sugar (in tons)  
Year Production  Imports3 Exports4 
2015 234,000  91,100  7,900  
2016 213,000  88,900  2,800  
 
4.11  Seeds   
1. Title of the subsidy programme  
 
Bonuses to prom ote the growing of plants seeds   
 
2. Period covered  
 
2015-2016.  
 
                                                
3 Customs tariff headings: 1701.1200/9199.  
4 Id. G/SCM/N/315/CHE  
 
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  3. General goal and/or purpose of the subsidy  
 
The seeds culture of food and feed crops must be maintained under the Swiss production 
conditions to ensure domestic supply.  
 
4. Background and authority  
 
Federal Law on Agriculture of 29 April 1998 (SR 910.1).  
 
5. Form of the subsidy  
 
Payment to the producer (grant).  
 
6. How the subsidy is granted and to whom  
 
The following subsidies are granted for production of seeds for potato, corn, d grass and 
leguminous plants. Crop bonuses proportionate to the  area under cultivation are allocated to 
domestic producers.  
 
7. Amount of the subsidy  
 
Support measures   Millions of CHF  
2015  2016  
Payment to the producer (1,000 CHF per hectare)  Seed production 
(grass, 
leguminous)  1.5  
Payment to the producer (700 CHF  per hectare)  Seed production 
(potato, corn)   1.6 
 
8. Duration of the subsidy  
 
The subsidy was paid on the basis of the ordinance of 23 October 2013 (RS 910.17).  
 
9. Statistical data enabling the effects of the subsidy on trade to be assessed  
 
Production and trade (in thousands of tons)  
Year  Production  Imports  Exports  
2015 Seed potatoes1 20.1 4.3 0.45 
Seed corn2 0.5 1.2 0.2 
Seed grass3 0.2 7.8 1.1 
2016 Seed potatoes  19.7 6.0 0.25 
Seed corn  0.5 1.3 0.6 
Seed grass  0.2 8.1 1.3 
1  Custom tariff heading: 0701.1010/1090 . 
2  Custom tariff heading: 1005.1000 . 
3  Custom tariff heading:  1209.21/22/23/24/25/29/30 . 
 
4.12  Fruit 
1. Title of the subsidy programme  
 
Promotion of domestic production  
 
2. Period covered  
 
2015-2016.  
 G/SCM/N/315/CHE  
 
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  3. General goal and/or purpose of the subsidy  
 
The purpose of the subsidy is to offer products at a competitive price within the scope of the 
promotion of rural development . Other measures in this sector are aimed at preventing a collapse 
in the prices of domestic products.  
 
4. Background and aut hority  
 
Federal Law on Agriculture of 29 April 1998 (SR 910.1).  
 
5. Form of the subsidy  
 
The subsidies are granted according to (a) and (b):  
 
a. Subsidies to promote the utilization of surpluses. These are primarily intended for 
manufacturers of concentrated fruit juice to cover the additional costs resulting from the 
takeover of surpluses.  
b. In addition, subsidies are paid to manufacturers in order to create  competitive conditions 
to purchase Swiss fruit for processing. The subsidies are fixed sums per unit, wh ich are 
determined according to market conditions.  
6. How the subsidy is granted and to whom  
 
See replies to Question 5.  
 
7. Amount of the subsidy  
 
Total amount  (in millions of CHF)  
Year Total  
2015 1.8 
2016 2.5 
 
Amount per unit  
 
The amounts per unit for the  measures mentioned cannot be shown because they vary too widely 
with conditions and with the market situation.  
 
8. Duration of the subsidy  
 
For the measures during the period covered by the notification, see the replies to Question 5.  
 
9. Statistical data enabl ing the effects of the subsidy on trade to be assessed  
 
Production and trade  
(thousands of tons)  
Year PRODUCTION  Imports  
Total5 of which apples  Chapter 08  Heading 0808/0809  
2015 188 142 549 66 
2016 178 136 564 73 
 
The quantities of fruit exported (Chapter 08) correspond to:  
 
2015:  7'502 tons  
2016:   6'953 tons  
 
                                                
5 Apples, pears, quinces, cherries, plums and prunes, apricots, peaches and berries.  G/SCM/N/315/CHE  
 
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  4.13  Processed agricultural products  
1. Title of the subsidy programme  
 
Export subsidy for processed agricultural products  
 
2. Period covered  
 
2015-2016. 
 
3. General goal  and/or purpose of the subsidy  
 
In order to place the Swiss food processing industry on an equal footing with foreign competitors 
with respect to the cost of basic agricultural commodities incorporated into processed products, 
the law mentioned below autho rises the Government to grant export subsidies.   
 
4. Background and authority  
 
The subsidy is legally based on the Federal Law of 13 December 1974 on the import and export of 
processed agricultural products (SR: 632.111.72), which has been in force since 1 Ju ne 1976, and 
the Ordinance of 22 December 2004, respectively of 23 November 2011, regulating contributions 
to exports of processed agricultural products (SR:  632.111.723).  
 
5. Form of the subsidy  
 
The contributions are granted for the export of certain agricu ltural commodities (dairy products 
and cereal products) when exported in the form of processed agricultural products.  
 
6. How the subsidy is granted and to whom  
 
The contributions are paid to manufacturers upon export. Requests for contributions for exports 
from December of the preceding year until June of the current year must be submitted until 
15 August of the current year, for exports from July to November until 31 December of the current 
year.  
 
7. Unit amount of the s ubsidy or, where this is not possibl e, total amount or budgetized annual 
amount of the subsidy.  
 
The total amount of the contributions paid was: CHF 95.6 million in 2015 and  CHF 94.6 million in 
2016.  
 
Export contributions are calculated and fixed for the d efined agricultural commodities (dairy and 
cereal products) used by the food industry on the basis of the difference between Swiss and 
external representative prices. The export refunds are adapted in case of considerable price 
fluctuations. The amount gra nted per unit of processed agricultural products depends on the fixed 
exports contributions and on the quantities of agricultural commodities used for the preparation of 
goods exported.  
 
8. Duration of the subsidy and/or any other deadline connected with the subsidy  
 
Export subsidies for processed agricultural products have been granted since 1 June 1976. Until 
2011, the budget was allocated on an annual basis from 1 January to 31 December. Since 2013, 
the budget of a given year is allocated for exports in Dec ember of the preceding year until 
November of the current year. Switzerland and Liechtenstein launched the implementation process 
of th e 2015 ministerial decision (WT/MIN(15)/ 45) which terminates any export subsidy 
programme. In the case of processed agric ultural products, footnote 4 to paragraph 6 of that 
decision applies.  
 G/SCM/N/315/CHE  
 
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  9. Statistical data enabling the effects of the subsidy on trade to be assessed  
 
Detailed, representative trade data for the respective products is not published.  
 
 
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