On Nov. 4, a new ag agreement was signed between Israel and the European Union. The new agreement updates the original ag agreement signed in the 1970s. Since the original signing, the agreement has been revised several times to reflect the significant changes in the needs of both parties.
Access to the markets of both sides has been greatly improved under the new agreement. In the processed ag products sector, over 95% of the products will be exempt from all taxes or levies. Considerable liberalization was undertaken in regards to all areas of fresh produce and approximately 80% will be exempt from all customs restrictions.
Approximately $1 billion of Israeli ag and processed food products are exported to the EU each year. Europe is Israel's most important trading partner in the ag field, with more than 25% of Israel's ag product and more than 75% of its total fresh ag products exported to Europe. Half of all food imports to Israel come from the EU.
During the agreement signing, Israel’s ambassador to the EU Ran Curiel stressed that oranges and flowers are not the products topping his country’s exports to the EU.