Drought: farmers launch an online fodder exchange

The farmers' unions of Zurich and Schaffhausen have responded on two fronts to the pressure drought is putting on harvests. On one side they approached the large retailers, on the other they organised a direct exchange between farms.

On 30 July the two organisations asked Migros, Coop, Lidl and Aldi to increase the payments made to producers and to adapt delivery conditions. According to the Zurich union the response was positive, and all four chains said they were willing to enter into dialogue.

A platform for exchange

The second instrument is an online fodder exchange. It connects farms directly, without bureaucratic steps.

The invitation is aimed in particular at farms focused on arable crops or with few livestock. These can grow catch-crop forage or sell maize as animal feed to colleagues in difficulty.

The chosen approach avoids recourse to state aid. The Zurich union argues that participants across the whole value chain must take their share of responsibility and use the options available.

The organisations provide technical support and recommendations, while the details of each transaction are negotiated directly between farms.

The mechanism works as long as supply exists. Should the dry spell reduce harvests in the lowland regions too, the quantity of fodder available for exchange would thin out.

Direct exchange also has a limit of scale. It covers local surpluses and dealings between farms that already know one another, whereas a general fodder shortfall would require imports, that is a market response different from the one the unions are organising.

The initiative comes during one of the most difficult summers in recent years for the sector. In the meantime farms are waiting for rain and coordinating resources along the supply chain.