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WEEKLY NEWSLETTER
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Israel
Index
The Histadrut directly owns or controls a significant portion
of Israeli industry. The separation of industries among the public,
private, and Histadrut sectors of the economy, however, is not a
simple one. Many important enterprises are partners with either or
both the Histadrut and the government. Most big industrial
concerns, such as the Nesher cement and Shemen vegetable oil
plants, are owned either solely by Histadrut (through its
industrial conglomerate, Koor Industries) or in partnership with
private investors. About 10 percent of FY 1985 industrial output
was produced by joint ventures of the private and Histadrut
sectors.
In FY 1985, private-sector industrial ownership was as follows:
electronics, 51 percent; textiles, 92 percent; clothing, 97
percent; machinery, 61 percent; food and tobacco, 60 percent;
leather goods, 80 percent; wood products, 72 percent; paper
products, 81 percent; and printing and publishing, 86 percent.
Manufacturing, particularly for export, has been a major
component of GDP. In FY 1985, manufacturing contributed 23.4
percent of GDP. Industrial production grew at a rate of 3.6 percent
in 1986, compared with 3 percent in 1984. Most of this growth has
been in export products. For many years, export growth was led by
the electronics and metallurgic industries, especially in the field
of military equipment. In the 1980s, exports from the textile,
clothing and fashion industries expanded, as did exports of food
products of various sorts. Following a slump in the 1980s, diamond
exports made a strong recovery after 1985 (see
table 8, Appendix
A).
Data as of December 1988
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