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WEEKLY NEWSLETTER
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Israel
Index
Figure 9. Transportation System, 1988
Beginning in 1948, the government invested large sums to
develop a first-class transportation infrastructure. The main
projects undertaken were the construction of the Qishon element of
the harbor at Haifa and the Ashdod port, the building of railroads
between Haifa and Tel Aviv and from Tel Aviv south to Beersheba,
Dimona, and Zin, and the construction of several major roads in the
center of the country as well as many new roads in peripheral
regions
(see
fig. 9).
Rapid economic growth and the removal of the limitation on
importing private cars and buses created a growing demand for
transportation services in the early 1960s. This demand was met by
increased public transportation services and by private
transportation expenditures. In 1984 the subsidy on public
transport equaled US$13 million. In 1985 Israel's 13,410 kilometers
of roads were used by 776,000 vehicles, of which about 624,000 were
private cars, about 115,000 were trucks and other commercial
vehicles, and about 5,500 were buses. In 1988 there were two main
public carriers--Egged, with about 4,000 buses operating throughout
the country, and Dan, with approximately 1,500 buses. Both of these
carriers were cooperatives that charged subsidized tariffs
determined by agreement with the government.
Israel also had a government-run railroad system. In 1986 there
were 528 kilometers of state-owned railroad linking Jerusalem, Tel
Aviv, Haifa, and Beersheba. The government had a long-term plan to
extend the Beersheba line along the Dead Sea and south to Elat and
to develop a rapid rail line from Petah Tiqwa to Tel Aviv. Total
railroad passenger traffic was 2,814,000 in 1985, and total freight
carried (primarily phosphates, grains, coal, and potash) was
6,086,000 tons. Given the government status of the rail system,
however, it could not compete with other transportation modes.
Between 1965 and 1985, railroad use declined because of cutbacks in
rail services. In 1986 travel by truck or car was faster than by
rail on all lines except the Haifa-Tel Aviv line, where it was
identical.
As a result of Israel's geopolitical situation, almost 99
percent of its trade was transported by ship. Thus, in the first
twenty years of statehood, the government made a special effort to
build a commercial fleet. In 1985 about 9,205 tons of freight were
unloaded at Israeli ports: 55 percent at Haifa, 39.3 percent at
Ashdod, and 5.7 percent at Elat. During the same year, 7,088 tons
were loaded: 22 percent in Haifa, 68.7 percent at Ashdod, and 9.3
percent at Elat. In the 1970s, two additional, specialized ports
were opened: an oil terminal at Ashqelon and a coal terminal at
Hadera. These open-sea, offshore ports were operated by special
port administrations independent of the Israel Ports Authority.
The merchant fleet was 3,050,000 deadweight tons in 1984. The
main shipping companies were (in order of importance) Zim, El Yam,
Dizengoff, and Maritime Fruit Carriers. During the late 1960s, two
structural and technological changes took place in the shipping
industry. First, improved cargo-handling technologies and
containerization led to the use of more specialized ships. Second,
ships increased in size, especially bulk carriers and tankers.
Despite these changes--and the importance placed on sea
transportation--Zim (owned by the government, the Histadrut, and
the Israel Corporation) and El Yam continued to sell unprofitable
old ships in the hope of becoming profitable.
In 1988 Israel had one international airport at Lod, but
special charter flights also used smaller airports such as
Qalandiyah, near Jerusalem, and Elat. El Al, the government-owned
national carrier, flew a total of 36.3 million kilometers in 1984,
carrying 1,450,000 passengers on 9,646 international flights. In
1985 approximately 455,000 passengers arrived in Israel on charter
flights. Inland air services were provided by Arkia Israeli
Airlines, which operated flights to major cities.
Like other developing countries, Israel has constantly battled
the excess demand for telecommunications services. The
telecommunications industry is characterized by its high capital
intensity--it requires a full cable network system. In 1988 Israel
was still lagging in the development of a telecommunications system
adequate to meet the needs of its clients. While the industry was
expanding, it continued to represent a major weakness of the
economy.
Israel has long been plagued by delays in building new
telephone exchanges and laying cables to meet the growing needs of
the citizenry, businesses, and the new age of computer
communication. Israel had about 1.9 million telephones in FY 1986.
More than 250,000 citizens, however, remained on waiting lists to
receive telephones that year. Some Israelis had been waiting seven
or more years for telephones. Around 99 percent of the telephones
in Israel were connected to the international direct dialing
system.
Three ground satellite stations in 1988 facilitated satellite
connections between Israel and the rest of the world. Overseas
connections also were possible through underwater cables. In April
1988, Israel announced plans for a five-year telecommunications
development program, costing approximately US$2 billion. The plan
included an underground cable from Israel to Europe and the
installation of various satellite and cable television facilities.
In addition, a multicapacity transatlantic cable was being planned
in 1988 to provide 600 channels for communication with the North
American continent. Furthermore, in May 1988 the cornerstone was
laid for a US$170 million Voice of America transmission relay
station in the Nahal HaArava north of Elat.
Data as of December 1988
Figure 9. Transportation System, 1988
Beginning in 1948, the government invested large sums to
develop a first-class transportation infrastructure. The main
projects undertaken were the construction of the Qishon element of
the harbor at Haifa and the Ashdod port, the building of railroads
between Haifa and Tel Aviv and from Tel Aviv south to Beersheba,
Dimona, and Zin, and the construction of several major roads in the
center of the country as well as many new roads in peripheral
regions
(see
fig. 9).
Rapid economic growth and the removal of the limitation on
importing private cars and buses created a growing demand for
transportation services in the early 1960s. This demand was met by
increased public transportation services and by private
transportation expenditures. In 1984 the subsidy on public
transport equaled US$13 million. In 1985 Israel's 13,410 kilometers
of roads were used by 776,000 vehicles, of which about 624,000 were
private cars, about 115,000 were trucks and other commercial
vehicles, and about 5,500 were buses. In 1988 there were two main
public carriers--Egged, with about 4,000 buses operating throughout
the country, and Dan, with approximately 1,500 buses. Both of these
carriers were cooperatives that charged subsidized tariffs
determined by agreement with the government.
Israel also had a government-run railroad system. In 1986 there
were 528 kilometers of state-owned railroad linking Jerusalem, Tel
Aviv, Haifa, and Beersheba. The government had a long-term plan to
extend the Beersheba line along the Dead Sea and south to Elat and
to develop a rapid rail line from Petah Tiqwa to Tel Aviv. Total
railroad passenger traffic was 2,814,000 in 1985, and total freight
carried (primarily phosphates, grains, coal, and potash) was
6,086,000 tons. Given the government status of the rail system,
however, it could not compete with other transportation modes.
Between 1965 and 1985, railroad use declined because of cutbacks in
rail services. In 1986 travel by truck or car was faster than by
rail on all lines except the Haifa-Tel Aviv line, where it was
identical.
As a result of Israel's geopolitical situation, almost 99
percent of its trade was transported by ship. Thus, in the first
twenty years of statehood, the government made a special effort to
build a commercial fleet. In 1985 about 9,205 tons of freight were
unloaded at Israeli ports: 55 percent at Haifa, 39.3 percent at
Ashdod, and 5.7 percent at Elat. During the same year, 7,088 tons
were loaded: 22 percent in Haifa, 68.7 percent at Ashdod, and 9.3
percent at Elat. In the 1970s, two additional, specialized ports
were opened: an oil terminal at Ashqelon and a coal terminal at
Hadera. These open-sea, offshore ports were operated by special
port administrations independent of the Israel Ports Authority.
The merchant fleet was 3,050,000 deadweight tons in 1984. The
main shipping companies were (in order of importance) Zim, El Yam,
Dizengoff, and Maritime Fruit Carriers. During the late 1960s, two
structural and technological changes took place in the shipping
industry. First, improved cargo-handling technologies and
containerization led to the use of more specialized ships. Second,
ships increased in size, especially bulk carriers and tankers.
Despite these changes--and the importance placed on sea
transportation--Zim (owned by the government, the Histadrut, and
the Israel Corporation) and El Yam continued to sell unprofitable
old ships in the hope of becoming profitable.
In 1988 Israel had one international airport at Lod, but
special charter flights also used smaller airports such as
Qalandiyah, near Jerusalem, and Elat. El Al, the government-owned
national carrier, flew a total of 36.3 million kilometers in 1984,
carrying 1,450,000 passengers on 9,646 international flights. In
1985 approximately 455,000 passengers arrived in Israel on charter
flights. Inland air services were provided by Arkia Israeli
Airlines, which operated flights to major cities.
Like other developing countries, Israel has constantly battled
the excess demand for telecommunications services. The
telecommunications industry is characterized by its high capital
intensity--it requires a full cable network system. In 1988 Israel
was still lagging in the development of a telecommunications system
adequate to meet the needs of its clients. While the industry was
expanding, it continued to represent a major weakness of the
economy.
Israel has long been plagued by delays in building new
telephone exchanges and laying cables to meet the growing needs of
the citizenry, businesses, and the new age of computer
communication. Israel had about 1.9 million telephones in FY 1986.
More than 250,000 citizens, however, remained on waiting lists to
receive telephones that year. Some Israelis had been waiting seven
or more years for telephones. Around 99 percent of the telephones
in Israel were connected to the international direct dialing
system.
Three ground satellite stations in 1988 facilitated satellite
connections between Israel and the rest of the world. Overseas
connections also were possible through underwater cables. In April
1988, Israel announced plans for a five-year telecommunications
development program, costing approximately US$2 billion. The plan
included an underground cable from Israel to Europe and the
installation of various satellite and cable television facilities.
In addition, a multicapacity transatlantic cable was being planned
in 1988 to provide 600 channels for communication with the North
American continent. Furthermore, in May 1988 the cornerstone was
laid for a US$170 million Voice of America transmission relay
station in the Nahal HaArava north of Elat.
Data as of December 1988
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