Reaching the consumers

Marketing opportunities

Consumer behavior

Israelis are sensitive to advertising and brand image. They like quality and are thus ready to pay a higher price but the price should remain reasonable. Price is thus an important factor in the purchase decision of Israeli consumers. The after-sales service and warranties are necessary, since the Israeli consumer considers that a product without warranty is not a genuine product.

Consumer profile and purchasing power

Israeli consumers like new products. Israeli legislation promotes national products.

Consumers associations

Israel Consumer Council

Main advertising agencies

Publicis

Distributing a product

Evolution of the sector

Specialised Superstores and Discount stores have sprung up in Israel.

Market shares

In the field of foodstuffs, the distribution chain is composed of supermarkets, grocery stores, specilialised boutiques and open air markets.
More than 40% of the consumers make their purchases of food products in supermarkets which accounts for 60% of the retail sales of foods. In Israel, there are 470 supermarkets that are mainly controlled by three large chains.

Market access procedures

International Conventions

Member of World Trade Organisation
Party to the Kyoto protocol
Party to the Washington convention on International trade in endangered species of wild fauna and flora
Party to the Basel convention on the Control of Transboudary Movements of Hazardous Wastes and their disposal
Party to the Montreal protocol on Substances that deplete the Ozone Layer

Main International economic cooperation

Israel has signed free trade agreements with the European Union, United States, EFTA, Turkey, Mexico, Canada, Jordan, Egypt and Mercosur. A customs union exists between Israel and the Palestinian territories, since 1994.

Non tariff barriers

Most of the products can be imported freely in Israel, with the exception of some agricultural products which comply to strict health rules as well as follow the kosher customs for food.

The documentary requirement is quite important, specially for the invoice (in three copies). These requirements are defined by the Ministry of Health, Food Control Administration .

Finally it is to be noted that imports from countries which restrict or prohibit imports originating from Israel are subjected to special monitoring.

Customs duties and taxes on imports

The average customs duty of non-agricultural products is 4.54% according to UNCTAD (2006). This is a low rate.

Customs classification

Harmonized System

Import procedures

For importing into Israel, there must be an import licence issued by the Ministry of Industry and Trade, a certificate from the Standards Institute which establishes that the product conforms to Israeli standards.

Importing samples

For import, export and re-exports of trade samples the ATA book can be used For further information, visit the website of The Federation of Israeli Chambers of Commerce.

For further information

Customs Office
Ministry of Industry and Trade

Organizing goods transport

Main useful means

In 2006, 36.25 million tonnes of cargo passed through the ports of the country. Haifa Port (6th for the containerized cargo) has handled 19.202 million tons of cargo, which for Ashdod is 15.144 million tons of cargo and for Eilat (Free Zone) 1.908 million tons of cargo in 2006.
The site administration of the Ben Gurion airport has estimated 318,900 tons all of cargo handled by it every year.
The objective projected by Israel Railways and Port and Rail Authority is to carry traffic for transport of cargo for 15 million tons of goods per year by 2010. The rail transport of cargo represented 7.6 million tons of goods in 2006, according to the Central Bureau of Statistics.

Ports

Ashdod Port
Haifa Port
Eilat Port

Airports

Ben Gurion Airport

Sea transport organizations

Ministry of Transport

Air transport organizations

Ministry of Transport

Road transport organizations

Ministry of Transport

Rail transport organizations

Ministry of Transport

Identifying a supplier

Type of production

Since the country has a highly qualified manpower but is deficient in raw materials, the industry has concentrated today on high value-added products, in developing products based on Israel's own scientific creativity and technological innovation.
The most important sectors of the country are pharmaceutical, chemical, biotechnology, software, electronics and telecommunications industries. The Israeli diamond industry is one of the most important in the world.

Business directories

Golden Pages
Israel Business Directory.

Manufacturers associations of the main industries

Association of Contractors and Builders in Israel
Israeli Association of Software Houses(IASH)
Israeli Association of Electronic and Software Industries (IAESI)

Trade Agencies and their representations abroad

Federation of Israeli Chambers of Commerce

Enterprises federation

Agency for SME