A retail battle is raging between a Swiss supermarket chain and foreign manufacturers.
At the heart of the dispute is the increasingly strong Swiss franc.
The Coop chain has decided to withdraw 95 brands which it feels are overpriced now there is such a discrepancy between the franc and the euro.
Juerg Peritz, Director of Marketing and Purchasing for Coop said: “It is not acceptable that the manufacturers of international brands that are produced in the euro zone are keeping the exchange rate profit all for themselves.”
Coop want the manufacturers to lower their prices by up to 20 per cent giving a truer reflection of manufacturing costs in the euro zone.
Sara Stalder of the Consumer Interest Council said: “Prices in Switzerland are much too high. The reaction of the supermarket chain is a strong signal but in the end it is really just a media friendly sales campaign. What we really need is strong support by the commission on competition.”
On the other hand the Swiss National Bank last week tried to curb the surge of the country’s currency which has risen against the euro by 40 percent since 2008. The unequal exchange rates are hammering Swiss exporters.