GAZA, March 2, 2006, (WAFA)- The Palestine Economic Development Company (PED) warned of collapsing the agricultural sector in Gaza, revealing that the loses of the sector has reached €57.2 million as a result of the Israeli closure of Al-Muntar (Karni) commercial crossing.

"The entire Palestinian agricultural sector in Gaza is one of the verge of collapsing due to the continuous Israeli closure of Al Muntar crossing," PED said.

It mentioned that since Gaza does not have a seaport or a working airport, Al-Muntar crossing is critical for exporting produce from the Gaza Strip.

"The crossing has been closed twice within the past two months (35 days total), which lead to the incurring of severe loses in export revenue on Palestinian business and farmers," it said.

PED, which manages the GAP project, is losing an average of US $70,000- 100,000 in revenue and other indirect expenses each day the crossing is closed. PED's direct revenue losses (not including operational expenses and indirect losses) exceed 1,25 million dollars since the beginning of the agricultural season.

It revealed that approximately 1500 ton of various crops, such as strawberries, cherry, tomatoes, bell peppers and herbs, were affected (damaged, lost quality, or donated) by the crossing's closures. A total of 300 tons of the various crops were destroyed at the Gate of Al-Muntar crossing.

In addition, PED said that approximately, four thousand workers and their families are supported and survive on revenue from the Gaza Agricultural Project and thousands more depend on other agricultural sector business for living in the Gaza Strip, an area already experiences dire economic and humanitarian conditions.

PED called all diplomatic missions, international organizations, to pressurize Israel to immediately open Al Muntar crossing and ease the restrictions imposed on Palestinian export and import activities in the Gaza Strip.

It also called on the government of Israel to fully commit to the agreement brokered by U.S secretary of State Condoleezza Rice on November 15, 2005, which states that "Israel will permit export of agricultural produce from Gaza and will facilitate its speedy exit and onward movement so that quality and freshness can be maintained.

S.A.S. (15:52 P) (13:52 GMT)