Home Archive 23/April/2019 02:20 PM

Economy Minister: Israel’s duel use goods system hampers production

 

RAMALLAH, Tuesday, April 23m 2019 (WAFA) - Israel‘s dual use goods system s the development and growth of Palestinian industry and imposes heavy costs on the Palestinian manufacturer due to its complexities and requirements that violate international stipulations and are imposed under the pretext of security and environment, said the Minister of Economy Khaled Ossaili.

"The dual use of goods applies to many industries and plays a major role in the production inputs of the local economy,” said Ossaili. “There are universal conditions for their use, but the Israeli conditions are cumbersome for the Palestinian manufacturer and cost him losses., while restricting industrial growth and increases cost of manufactured goods."

Israel prevents entry of more than 100 types of raw materials into the Palestinian market used in the leather, construction, food, engineering, metal, textile, sewing, aluminum, chemicals, metal, equipment and spare parts industry.

Israel also prohibits owners of tanneries from importing the chromium necessary in the manufacture of natural leather under the pretext of protecting the environment occupied by Jewish settlers in the city of Hebron in the south of the West Bank causing a number of tanneries to become of the verge of shutting down and laying off workers. It also bans the entry of sulfuric acid which is used in many industries, prompting some industries to close and incur significant losses.

A World Bank report said that the Palestinian economy had been suffering for years because of restrictions on trade, and the economy was severely affected by restrictions on dual-use goods such as chemicals, goods and technology for civilian purposes which could have military use.

It noted that easing restrictions on dual-use goods would add 6 percent to the size of the economy in the West Bank and 11 percent in the Gaza Strip by 2025, compared to the expected scenario if restrictions persisted.

M.K.

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