Israel: Price spikes, supply shortages on political agenda

After a tumultuous period for Israeli agriculture, characterized by severe weather events, supply sh…

After a tumultuous period for Israeli agriculture, characterized by severe weather events, supply shortages, and price spikes, several notable ministers have gone public in their attempts to address the issue. Two central figures in this debate have been Minister Moshe Gaffney, who chairs the finance committee in the government, and Minister Aytan Broshi, who has been a key supporter of the representatives of the agricultural bodies.

Recently, the finance committee, led by Gaffney, has sought to end the tax reliefs given to employers who hire temporary foreign labor, a policy which effects almost exclusively agricultural operations. This move according to Broshi is a direct hit at farmers and growers, and threatens to cost the agricultural sector hundreds of millions of shekels, and put many out of business entirely.

In a letter addressed to the finance committee, Broshi said “We are witnessing a deep systematic failure in the supply of fresh produce, specifically in critical times such as the Jewish high holiday’s period. At no time is export the solution for this issue. Agriculture is not only the agricultural produce that is used in the economy, but also the safety of the food supply of Israel, the backbone of the state of Israel.”

Broshi’s letter was also targeted at Israel’s finance minister and agriculture minister, and its intent was to fast-track the debate on the matter and initiate action.