Pass Profit To Producers, Say Swiss Farmers

SWITZERLAND - BIG-M, the Swiss member organisation of the European Milk Board organised a cattle procession through Zurich last week to highlight the unfair dealings in the milk market and to protest against the business practices of MIGROS, one of the biggest retail chains in Switzerland.
calendar icon 3 August 2010
clock icon 2 minute read

400 Swiss producers gathered outside the headquarters of MIGROS in Zurich to call for fairer conditions in the milk market.

BIG-M critisied in particular the approach of MIGROS in the Milk Interprofessional Organisation (BOM) which endorsed on the 18th of June 2010 a 3 Rappen (€0.02) increase in the recommended price. Due to the decision of the Federal Council, the generally binding resolutions of the BOM meant that the profit had to be passed from the dairies to the producers. However, nobody abides by the decisions of the committee, in fact there are two delegates from MIGROS on this committee.

BIG-M has therefore agreed that MIGROS is chiefly responsible and has accused the large enterprise of, inter alia, misinforming consumers, endorsing cheap imports, and promoting export dumping. Furthermore, the BIG-M criticises MIGROS for agreeing the price rise and informing customers that the profit would be passed on to the producers and that MIGROS would thereby reduce its own margin in favour of the farmers, but this is not the case. Martin Haab, Chairman of the BIG-M, therefore said that “it is not enough anymore that we get together and discuss the situation. Everyone already knows about the situation. Now it is up to MIGROS to act accordingly”.

Werner Locher, Managing Director of BIG-M, said: “BIG-M does not accept consumer misinformation. The association demands a more honest information policy and the implementation of the already agreed upon recommended price”.

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