Finance Min. Yair Lapid at the JPost Diplomatic Conference37.
(photo credit: Marc Israel Sellem/The Jerusalem Post)
The Finance and Economy ministries are embarking on a series of steps to boost
Israeli exports, such as setting up a World Bank fund designed to help market
Israeli goods in developing countries.
“Strengthening Israeli exports
will help the Israeli economy penetrate new markets, lead an innovation-based
economy, increase industry productivity and apply the comparative advantage we
have in developing markets,” Finance Minister Yair Lapid said Tuesday.
further help exporters, the Finance and Economy ministries will support
background surveys for tenders on international projects. To bid on
international tenders, companies often must create pilots and prove feasibility,
a cost that can be prohibitive. A new fund in the Economy Ministry will provided
half the cost up to NIS 800,000 to help companies in their
The ministries are also putting money toward advancing
exports to China, India and Africa, in particular. In the first 11 months of
2013, Israel exported $1.9 billion of goods to China and $1.7b. to India. In
2012, it exported $1.3b. to Africa. Combined, the three destinations accounted
for about 10.3 percent of Israel’s overall exports in
“Strengthening economic ties with other countries, especially
countries like India and China, is important for the Israeli economy from a
national perspective,” Economy and Trade Minister Naftali Bennett said. “It is
critically important to open up to new markets and thus reduce Israel’s economic
dependence on particular markets.”
The announcement came as the
Manufacturers Association of Israel reported a 6% drop in Israeli exports in the
third quarter of 2013, led by a 15% real drop in tech exports.
strengthening of the shekel, increasing costs such as property tax, water and
electricity, and heavy regulation – among the heaviest in the world – hurt the
ability of Israeli enterprises to grow and export and are leading them to narrow
their activities in Israel and open production lines and new plants abroad,”
Manufacturers Association CEO Amir Hayek said. He called upon the government and
Bank of Israel to intervene.