Strategic stockpiling
Strategic stockpiling is a key measure for Switzerland, which is dependent on imports, in the event of severe shortages that the economy is unable to overcome on its own. If demand for essential basic supply goods can no longer be met by the market due to supply bottlenecks, stocks of essential goods and foodstuffs that can be released when needed are a valuable instrument of national economic supply to support the market and restore security of supply.
The federal government and the private sector work together to maintain the system of compulsory stocks. The Confederation determines which goods and how much of them need to be stocked. However, the stocks are the property of private businesses rather than of the government, and are managed by them. At the end of 2024, around 280 private companies held compulsory stocks.
Organisation
FONES concludes compulsory stock agreements with the stockholding companies. These contracts oblige companies to store a defined quantity of a specific good of a specified quality at a specified location. The goods are regularly rotated and sold via the companies’ normal sales channels. FONES or a FONES-appointed control centre periodically checks the compulsory stocks.
Release of compulsory stocks
Goods can be released from compulsory stocks in the event of a severe nationwide shortage to ease the situation when the private sector is no longer able to meet market demand.
Range of compulsory stocks
The Swiss compulsory stock range is divided into four categories: foodstuffs, energy, therapeutic products and industry. The specialist departments of the National Economic Supply organisation (NES) specify the type and quantity of goods to be stockpiled.
Funding of compulsory stocks
The federal government facilitates the financing of compulsory stockpiling by granting companies guarantees on bank loans, known as loans for compulsory stocks, to finance stockpiling. The commercial banks are willing to use a compounded SARON (Swiss Average Rate Overnight) as the interest rate for these loans due to the federal guarantee. If SARON interest rates are negative, an interest rate of 0% is applied. In addition, the federal government grants additional tax write-offs on compulsory stocks.
Further information
On this page, you will find the publications and links relating to the stockholding Section.