With more being produced within your country you can legislate higher requirements on production methods. And when food becomes more expensive to buy, the incentive to have high quality production increases.
In the west we no longer have the problem of food shortage, thus we can afford somewhat higher food prices. And of course if you produce more within your country, you can get better salaries.
Why Sweden uses that much natural fertilizer I can't really tell.
But I found something about high prices on synthetic (mineral or others like natural gas) fertilizers. This was something that started happening globally around 2008. Between September 2007 and September 2008 prices increased with 80 percent globally.
If you understand Swedish, 2008
https://www2.jordbruksverket.se/webdav/files/SJV/trycksaker/...