View of a large open-cast phosphate mine in Togo.
Developing countries such as Togo have an abundance of natural resources. The SDC is committed to ensuring that these are exploited fairly © Alexandra Pugachevsky

Exploiting natural resources is crucial to the economies of many developing countries and Swiss companies play a key role in commodities trading. Natural resources can be used to alleviate traditional forms of poverty, but many countries fail to take this step. The SDC aims to address this problem. 

The commodities sector is becoming increasingly important in developing countries. According to a 2016 report by the United Nations Conference on Trade and Development (UNCTAD), 91 developing countries in 2015 were dependent on commodities, where commodity exports accounted for more than 60% of a country's total merchandise exports. The World Bank also estimates that Africa alone is home to about 30% of the world's mineral reserves. Certain minerals, such as cobalt and tantalum, which are used extensively in electronic products, mainly come from fragile countries. 

With the expansion of 'clean' industries and technologies, the demand for minerals is set to increase, generating significant investment in exploration and developing new mines.

The various backgrounds and roles of the stakeholders involved have been debated for years by the academic community, international development policy committees, governments and civil society. The macroeconomic effects of exploiting natural resources and the factors causing price volatility have also been assessed. Attention has also been focused on extraction practices that cause damage to health and the environment, exploitative working conditions and conflicts over access to natural resources, which have the potential to unleash violence or even armed conflict.

Issues relating to financial flows from commodities trading are also the subject of intense debate. In general, funds that have been acquired illegally, or in questionable circumstances, and are transferred abroad present a major obstacle to economic growth and good governance in developing countries. There is broad consensus that illicit outflows from developing countries exceed the value of official development assistance many times over. A high percentage of these financial flows are attributable to commodities production and trading.

Switzerland is a key player in the commodities trading sector. It is estimated that more than 3 billion tonnes of commodities, calculated at over CHF 960 billion, are traded in Switzerland each year. In a report entitled 'The Swiss commodities sector: current situation and outlook' published in November 2018, the Federal Council states that it expects all companies operating in or out of Switzerland to demonstrate integrity and responsible conduct with regard to respect for human rights as well as environmental and social standards, both within Switzerland and abroad. The Federal Council also states that this applies to the entire value chain and is especially important for companies that operate in fragile states. 

 The SDC's main areas of activity

  • The SDC is committed to raising international standards for commodities production and trading and ensuring that governments and companies properly implement such standards.
  • Switzerland supports the implementation of multilateral instruments in the fight to control corruption and illicit financial flows.
  • In terms of international development cooperation, the SDC is committed to assisting its commodity producing partner countries in managing natural resources and creating sustainable value chains.
  • By supporting research and multi-stakeholder platforms, Switzerland is contributing to a better understanding of both the challenges and opportunities facing developing countries in relation to mining.

Current projects

Object 85 – 96 of 218

Civil Society Support Facility – up scaling

01.01.2019 - 31.12.2022

The Civil Society Support Facility supports civil society organisations (CSOs) to become drivers of social change in Macedonia. CSOs will receive mentoring support to strengthen relations with their constituencies and build up alliances. Mechanisms for better cooperation between state institutions and CSOs will be established and will enable civil society’s active participation in public policy and decision-making. A competitive grant scheme supports CSOs institutional development as well as specific projects.


She Leads – Women Leadership Programme

01.01.2019 - 31.12.2022

Federalism has created a historic opportunity for some 14’000 Nepalese women, over half of them from socially discriminated groups, to serve for the first time as elected representatives at local level. However, most elected women at local level remain excluded from political decision making due to discrimination based on patriarchal norms and values, and lack of resources and networks. The project promotes women leadership to support the peace process and to prevent future conflicts.


Social Accountability Programme 2019 - 2022

01.01.2019 - 31.12.2022

Against the backdrop of shrinking civic space in Tanzania, the Social Accountability Program supports four key accountability Civil Society Organizations (CSOs) in the country. It aims to enhance transparency and accountability of public resource management at national and local level and to empower citizens – including youth and women - and local organizations to engage effectively in public oversight, decision making and advocacy on social issues of concern.


Participation citoyenne et prévention des conflits dans la région des Grands Lacs (PCPC)

01.01.2019 - 31.12.2029

Les conflits récurrents dans la région des Grands Lacs ont des conséquences néfastes sur les systèmes de gouvernance et sur le bien-être des populations. Il est dans l’intérêt de la Suisse de contribuer à une paix durable et à la stabilité dans la région. Le projet renforcera ainsi les mécanismes formels et informels de prévention et de gestion des conflits communautaires, par la promotion des droits de l’homme, de la redevabilité sociale et du dialogue inclusif. Des partenariats engageront les autorités et différents acteurs de la société civile, en priorité dans les régions transfrontalières.


Multi-Donor civil society support program in Rwanda

01.01.2019 - 31.12.2021

The program aims at strengthening the capacity of Rwanda civil society to engage constructively with the Government on policy, planning and monitoring issues. It will improve a bottom-up dialogue and consultation mechanisms and promote the use of evidence in policy making for an effective implementation of the National Strategy for Transformation. The project is in line with Switzerland’s approach of fostering civic participation in Rwanda.


Regional Economic Development Program, Cambodia

01.01.2019 - 31.12.2021

The Regional Economic Development (RED IV) program, co-financed by Switzerland and Germany, will be implemented in three north-western provinces of Cambodia. It aims at strengthening the capacity of sub-national and local governments to tackle economic development measures and supporting rural poor, in particular women, to increase their income and actively participate in local economic development, thereby reducing poverty of the rural population.


Programme de Valorisation du Potentiel Agro-Pastoral dans l’Est du Burkina Faso (VALPAPE) Phase 2

01.01.2019 - 31.12.2022

La région de l’Est du Burkina Faso, malgré un fort potentiel agropastoral, reste l’une des plus pauvres du pays. Le programme va soutenir des dynamiques de développement local par la valorisation durable des potentialités agropastorales pour la création d’emploi et la génération de revenu, en particulier pour les jeunes et les femmes. En réduisant leur vulnérabilité face à l’insécurité alimentaire et nutritionnelle, la migration et l’extrémisme violent, le programme promeut la stabilité et soutient les intérêts de la Suisse.


Improving Food Security and Land Governance through investment standards

01.01.2019 - 31.12.2023

Investment in agriculture is needed to feed a growing global population. These investments need to respect the situation of the local population and the environment. Switzerland chaired the drafting process of the Principles on Responsible Agricultural Investments that have been adopted by the Committee on World Food Security. Consequently Switzerland supports the application of the Principles by training development country stakeholders in the negotiation and application of sustainable investment frameworks to increase food security for the poorest populations.


Application of Migration Policy for Decent Work of Migrant Workers

01.01.2019 - 31.12.2021

Men and women who opt for migrating abroad for employment will benefit from better protection through pre-departure orientation, the application of international standard contracts and access to social security/welfare. The project will improve migration governance in Bangladesh by strengthening the rather weak policy and legislative framework and by building the capacity of the government to expand and improve services for migrant workers.


Transboundary waters governance for Sustainable Development and Blue Peace

01.01.2019 - 31.12.2022

With increasing tensions around the rarefication of water, Switzerland, with its central position within the European continent, has chosen the path of regional water cooperation. This programme relies on the synergistic expertise of three international partners. It endorses the approach that increasing regional dialogue and fostering joint management and financing for the shared water resources contributes to socio-economic development and regional stability in Africa, Asia, and Latin America.


Support to Safe Spaces for Women, Youth and Children in Gaza Strip

Safe Spaces Project, Khan Younis, Gaza Strip

01.01.2019 - 31.12.2021

In 2019-2020, Switzerland will support the Culture and Free Thought Association (CFTA) and the Culture and Arts Association (NAWA) in the Gaza Strip to provide quality educational and cultural services in safe learning environments for children, youth and women, including persons with disabilities. This contribution aims to enhance the inclusion of marginalized groups in local development and in community-led initiatives, and to prevent wider spreading of violent extremism and radicalisation.


Voices for Peace (V4P)

15.12.2018 - 31.12.2021

Chad is a fragile state where bad governance, the economic crisis and the consequent austerity policy continue adding up to widespread frustrations of the Chadian population and especially of young people with a risk to become a failed state. In line with its national action plan on the Prevention of Violent Extremism (PVE), by supporting the project Voices for Peace Switzerland aims at enhancing the development and broadcasting of indigenous and local peace narratives.

Object 85 – 96 of 218