Lynn : Knesset Finance Committee should have oppose duties on selected food products

President of the Federation of Israeli Chambers of Commerce Mr. Uriel Lynn, openly criticized last week the Knesset Finance Committee's decision to raise duties on selected food products.
 
Lynn argued that "Given the recent poverty report, we could have expected the committee members to oppose any increase on duties on foods that are basic commodities. These are food products that are an inseparable part of the staple diet of every family in Israel, particularly those of little means".
 
The committee decided last week to increase the import tax by 10 percent tinned cucumbers, olives and sweet corn. The committee decided also to reduce the tax on other foods such as fruit juices - with a reduction in import duties of 30-50 percent; on dried fruits, apples and apricots by 20-25 percent; and to abolish duties altogether on asparagus and industrial citrus concentrate.
 
In a press release Mr. Lynn emphasized that the economic department of the Federation had come to a conclusion that the cost of basic food in Israel was 50% higher than in the United Kingdom and 47% higher than in Australia. Sardines in water are twice as expensive in Israel compared to the UK whereas honey is 1.6 more expensive than in Australia. Lynn added that "Even without the increase in duties, the level of import tax on basic food products is the highest in the world at around 50 percent and over".