According to information released by the Ministry of Industry & Trade, French customs Authorities continue to penalize Israeli companies that export goods originating in the territories despite the newly signed bilateral agreement.
The French customs Authority was apparently demanding the payment of customs fines on Israeli exports delivered before Israel and the EU signed the present rules of origin agreement.
Mr. Ehud Olmert, Minister of Industry Trade and Labor Israel's Deputy PM and EU officials reached an agreement on rules of origin several months ago, but Olmert said that France is retroactively applying customs duties on goods originating in the territories.
Under the rules of origin agreement, goods produced in Israeli settlements in the occupied territories would no longer be allowed to enter the EU tariff-free. Under the deal, goods exported by Israel to the EU will be labelled with a town of origin as well as nationality. There would then be an EU customs duty to pay on items made in the territories.
Mr. Ehud Olmert, Minister of Industry Trade and Labor met last week France Minister Delegate for Industry Patrick Devedjian. and expressed Israel's dissatisfaction from the French action. A spokesman for the ministry said after the meeting that Israel was dissatisfied by the ongoing harm to its exports to France, despite the rules of origin agreement with the EU.
