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RESTRICTED
RD/TPR/969*
17 July 2018
Page: 1/53
Trade Policy Review Body Original: English/anglais/inglés
UNOFFICIAL ROOM DOCUMENT1

TRADE POLICY REVIEW OF ISRAEL
17 AND 19 JULY 2018
REPLIES TO ADVANCE WRITTEN QUESTIONS
Organe d'examen des politiques commerciales
DOCUMENT DE SÉANCE NON OFFICIEL1

17 AND 19 JULY 2018
Órgano de Examen de las Políticas Comerciales
DOCUMENTO DE SALA NO OFICIAL1

17 AND 19 JULY 2018
_______________
* In Original language only/En langue originale seulement/En el idioma original solamente.

1
Documents issued in the RD series are not official WTO documents. They usually appear in their
language of submission and will not be translated systematically into the working languages of the WTO. They
are intended for use in WTO meeting rooms and are attributed an unofficial symbol for archiving purposes only.
Les documents de la série RD ne sont pas des documents officiels de l'OMC. Ils ne paraissent
généralement que dans la langue dans laquelle ils ont été communiqués et ne seront pas systématiquement
traduits dans les langues de travail de l'OMC. Ils sont destinés aux salles de réunion de l'OMC et une cote non
officielle leur est attribuée à des fins d'archivage.
Los documentos de la serie RD no son documentos oficiales de la OMC. Por lo general se distribuyen en
el idioma en que han sido presentados y no se traducen sistemáticamente a los idiomas de trabajo de la
Organización. Se distribuyen para su uso en las salas de reunión de la OMC y se les asigna una signatura no
oficial a efectos de archivo únicamente.
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TABLE OF CONTENTS
MEXICO ............................................................................................................................ 3
COLOMBIA ....................................................................................................................... 9
CANADA ......................................................................................................................... 14
COSTA RICA ................................................................................................................... 14
JAPAN ............................................................................................................................ 16
CHINA ............................................................................................................................ 17
NEW ZEALAND ............................................................................................................... 20
RUSSIAN FEDERATION................................................................................................... 24
UKRAINE ........................................................................................................................ 30
AUSTRALIA .................................................................................................................... 40
BRAZIL ........................................................................................................................... 42
EUROPEAN UNION ......................................................................................................... 43
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MEXICO
3. Trade Policies and Practices By Measure

3.3 Measures Affecting Production and Trade
3.3.7 Intellectual property rights
3.3.7.3 International context and WTO participation
3.150
1. Is there a specific protection regime for geographical indications (GIs) in Israel? Is there a
national regime for the recognition and protection of foreign GIs or are they only recognized through
the Lisbon Agreement? Is there an opposition procedure for the recognition of a foreign GI? If
applicable, what are the criteria for filing an opposition against the recognition of a GI?
Answer: Geographical indications, as that term is understood in the TRIPS Agreement are
protected as such pursuant to the Law for the Protection of Appellations of Origin and
Geographical Indications, without formalities, provided they are known in Israel as
constituting a geographical indications. Since there is no registration process for GI
protection there is no opposition process.
A geographical indication may also be eligible for protection as a registered certification

mark. "Certification Marks" are a type of registered trademark which will only be
registered following successful completion of an eligibility examination process and
publications for possible opposition.
In addition, Israel is a member of the Lisbon Agreement for the Protection of Appellations
of Origin and provides protection in Israel for appellations of origin in accordance with
the terms of that treaty. Under the terms of that treaty applications for registration may
be opposed on grounds of lack of eligibility for registration by any person.

3.3.7.4.1 Patents
3.167
2. Does the granting of an extension of the duration of the patent, due to delays in the marketing
approval of patented pharmaceutical products, necessarily depend on the granting of an extension
in the country of reference? That is, is the extension only granted if it was granted in the reference
country? Or is it possible to grant the extension regardless of whether there is an granted extension
in the reference country?
Answer: Where an Israeli patent provides protection for a pharmaceutical product which
only has marketing approval in Israel, the initial duration of the extension of that basic
patent will be equal to the elapsed time period from the date the marketing approval
application was submitted to the Israel Ministry of Health to the date of issuance of such
approval. That initial amount might be reduced in certain circumstances subject to one or
more capping provisions set forth in the law.
Where the pharmaceutical product covered by the Israel basic patent has also been
approved for marketing in a reference country then the reference extension period(s) is
required and will form the basis for determining the duration of the Israeli extension order
subject to capping limitations set forth in the law.

3.173
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3. According to the law, does the compensation of 100,000 NIS per each infringement of
industrial designs and/or models triggered to the benefit of the holder by the mere existence of
the infringement, or is it subject to verification and determination by a Judicial proceeding? Are
there similar sanctions (previously established in laws or regulations) for all other industrial
property rights?
Answer: Statutory damages for infringement of a registered design may be granted by the
court at the conclusion of a case, when the plaintiff has elected to receive statutory
damages, instead of proving his actual damages. The court, in determining an award of
statutory damages has broad discretion and, depending on the circumstances of a
particular case, may determine an award of any amount between zero and NIS 100,000
per infringement depending on the circumstances of a given case.
As a general rule courts will award an amount that approximates the sum of actual
damages, costs of enforcement and a possible deterrent element. Statutory damage
regimes exist in Israeli legislation with respect to copyright, trade secret infringement
and passing off.
4. Trade Policies By Sector

4.4 Services
4.4.3 Bank services
4.65
4. The Banking Supervision Department refers to new capital adequacy targets for the banking
system in Israel. In this regard, Mexico would like to obtain additional information on these targets.
Answer: As part of a gradual process of adopting Basel III in Israel, the Banking
Supervision Department required banks and credit card companies to meet a minimum
core capital ratio of 9 percent beginning from January 1, 2015. For the largest banks, each
of whose assets are more than 20 percent of the banking system's assets, it was further
established that they meet a higher core capital ratio of 10 percent by January 1, 2017.
The higher capital adequacy ratio will essentially apply to large banking groups.
The guideline was formulated following the recommendations published by the Basel
Committee in December 2010 (and which were revised in June 2011), known as Basel III.
The Committee's document placed particular emphasis on the level and quality of capital
of banks, especially the core capital component, given its ability to absorb losses on an
ongoing basis, with the occurrence of various shocks, while ensuring the continuation of
sound business activity. In accordance with the Committee's recommendations,
supervisory authorities in many countries published capital policies which are more
stringent than those outlined in the Committee's document—among other ways, through
setting higher capital ratios, setting earlier implementation dates, or a combination of the
two.
In light of the importance of this guideline, and in order to ensure its implementation
within the established timeframe, the banks were additionally required to update their
capital plans. The Banking Supervision Department expects the banks to increase their
equity in order to meet this requirement. The distribution of dividends will be possible if
doing so does not negatively impact their ability to meet the new requirements.

4.4 Services
4.4.5 Telecommunications and postal services
4.82
5. Mexico would like to know the reasons for postponing the privatization plans of the Israel
Postal Company (IPC).
Answer: During the past few weeks the process of privatization of the Israel Postal
Company was approved and it includes, in the first stage, the selling of 20% of the
company to a private investor. The second stage is planned to take place within two years
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from the end of the first stage and includes selling of an additional 20% to the public
(issuance of shares).
4.4 Services
4.4.7 Tourism
4.103
6. Mexico would like to know if foreign investors can benefit from these incentives for the tourism
sector. (this question is repeated)
Answer: Foreign owned companies that are incorporated in Israel and invest in Israel's
tourism sector enjoy the same treatment as local companies
9. Government Report
9.5.5
7. On page 19, section 5.5, paragraph 5.14, the text of the Report of the Government of Israel
states that: "5.14. Israel continues to pursue trade liberalization as part of its general economic
policy. In recent years, as part of the Government's review of tariff and non-tariff measures and in
an effort to reduce the cost of living, Israel has eliminated tariffs on more than 1,300 tariff lines (at
HS 8-digit level) on many consumer goods, where the prior level of customs duties had been in the
range of 6-12%. The reductions are worth over $150 million in annual customs revenue. In addition,
in the past few years, Israel introduced new voluntary Tariff Rate Quotas of substantial amounts,
open for all WTO members, for a number of highly demanded food and agricultural products such
as fresh and chilled beef, hard cheese and olive oil. For some of the product, the out of quota duty
rate was reduced as well."
Could the Israeli government comment on whether it has plans in the short and medium term to
continue eliminating its import tariffs and/or open voluntary tariff quotas on products from the agri-
food sector? If so, could you elaborate on these plans?
Answer: Israel regularly opens voluntary tariff quotas subject to local production
constraints and market needs. As part of pilot programs in the beef, dairy and fisheries
sectors, the following steps have been taken:
1. Beef:
 Increased TRQs for imported fresh and chilled beef from 7,500 tons in 2016 to
17,500 tons in 2020, combined with gradual reduction of the MFN tariffs on the
out of quota imports from 12% plus 1,300 ILS (USD 339) per ton in 2016 to 12%
with zero ILS in 2020.
2. Dairy
 Gradual liberalized import regime for selected dairy products has been put in
place as follows:
Full Exemption WTO TRQs (Tonnes)

Product Yoghurt Butter Cream
2014 1,250 750 750
2015 1,500 1,000 1,000
2016+ 2,000 1,250 1,200

Product Semi-Hard Cheese
2014 4,200
2015 4,800
2016 5,400
2017 6,000
2018+ 6,500
3. Fishery
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 Custom duties for Tilapia, Carp, and Mullet (fresh, frozen and fillet) were reduced
by 50% from 15 NIS/KG to 7.5 NIS/KG. Further tariff reductions will be
examined based on fish growers' profitability over the coming years.
2. Trade and Investment Regime

2.3 Trade Agreements and Arrangements
2.3.2 Regional and preferential agreements
2.3.2.2 Colombia
2.13
8. On page 22, paragraph 2.13, it is mentioned that Israel and Colombia signed a Free Trade
Agreement on September 30, 2013, and that the Agreement provides for the possibility of
accumulation of origin with third parties.
Could Israel provide information regarding the agreed conditions to implement such expanded
accumulation?
Answer: Following are the relevant provisions from the Colombia-Israel FTA (not ratified
yet):
"3. Subject to paragraph 4, where each Party has a trade agreement that, as
contemplated by the WTO Agreement, concerns the establishment of a free trade area
with a non-Party, the territory of that non-Party shall be deemed to form part of the
territory of the free trade area established by this Agreement, for purposes of determining
whether a good is an originating good under this Agreement.
4. A Party shall apply paragraph 3 only where provisions having equivalent effect to
those of paragraph 3 are in force between each Party and the non-Party with which each
Party has separately concluded a free trade agreement. Where such provisions between
a Party and the non-Party apply only to certain goods or under certain conditions, the
other Party may limit the application of paragraph 3 to those goods and under such
conditions, subject to the provisions of this Agreement. "
It is important to note that the intent behind this concept of cumulation is to address the
possible trade restricting effect that bilateral (or regional) rules of origin may have.
Allowing cumulation will enhance trade and preserve supply chains, thereby contributing
to trade and economic growth.

3.1 Measure Directly Affecting Imports
3.1.6 Antidumping, countervailing, and safeguards measures
3.35 and 3.36
9. Could Israel clarify what are the procedural stages that follow and what it precisely means for
the participation of the interested parties in the proceedings before the Commissioner for Anti-
dumping and Countervailing Measures and the Advisory Committee on Anti-Dumping and
Countervailing Measures?
Answer: Procedural stages for the participation of the interested parties in the
proceedings before the Commissioner and the Advisory Committee, are as follow:
 Providing responses to the foreign producer/exporter questionnaire
 Providing responses and comments to the complaint
 Providing answers to the Commissioner's additional questions which may arise
 Providing comments to the Commissioner's preliminary decision
 Participation in the verification visit
 Providing additional information to the Commissioner, if necessary
 Providing comments to the Commissioner's final finding for the Committee to
consider
 Providing oral comments during the Committee's meeting

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3.1.6 Antidumping, countervailing, and safeguards measures
10. Could Israel indicate what calculation methodologies it follows in order to determine the
mandatory lesser duty rule, and what each of it consists of?
Answer: The Trade Levies and Safeguard Measures Law of 1991 requires that should the
Commissioner or the Advisory Committee, as the case may be, find that a duty that is
lower than the dumping rate is sufficient to prevent material injury to the domestic
industry, the anti-dumping duty should be at the rate required to prevent said injury. In
order to implement this provision, an injury margin is determined according to the
comparison between the target price (total costs plus reasonable profit) and the import
price at the port in Israel. In addition, a dumping margin is determined according to the
comparison between the normal value and the export price at the factory gate (EXW).
The duty imposed should be at the rate of the injury margin if such margin is lower than
the dumping margin.
Could Israel indicate, in a general way, the reasons why it was determined that the imposition of
duties on recycled containerboards from the European Union was not in the public interest?
Answer: The Minister of Finance, in fact, actually did not approve the imposition of the
levy because he was not convinced that a causal link existed between the dumping and
the injury.
We understand that no duties were applied to the recycled containerboards of the European Union.
In that sense, could Israel clarify whether this suspension of the application of rights is temporary
or definitive?
Answer: The decision not to apply a duty is definitive.

3.2 Measures Directly Affecting Exports
3.2.5 Export finance, insurance, and guarantees
3.63
11. Could Israel indicate if it has an approximate date for the submission of the notification,
specified under paragraph 3.63 of page 40, to the WTO Committee on Subsidies and Countervailing
Measures?
Answer: Israel submitted an updated "New and Full Notification", pursuant to Article
XVI:1 of the GATT 1994 and Article XXV of the Agreement on Subsidies and Countervailing
Measures for 2014-2016 in documents G/SCM/N/284/ISR and G/SCM/N/315/ISR (dated
11 July 2018).

3.1.3 Tariffs
3.21
12. Could the Government of Israel explain the reason why the MFN Tariff applied during 2018
exceeds the bound rates in 18 tariff lines as indicated? Is the Government of Israel considering
initiating a procedure to modify its schedules, as established under Article XXVIII of the GATT 1994?
(this question is repeated)
Answer: Israel has no intention to modify its schedules as established under Article
XXVIII of the GATT 1994. We are currently reviewing these items and will make the
necessary adjustments as soon as possible.

3.1.1 Customs procedures, valuation, and requirements/Customs procedures and
requirements and customs valuation
3.4
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13. It is mentioned that the Single Window allows the submission of the required paperwork; Does
this refer only to the electronic submission of documents, or to the fact that since there are five
interconnected government institutions, it not only includes the presentation but also the resolution
of all related customs paperwork under the responsibility of these five interconnected government
institutions?
Is it possible to carry out the advanced customs clearance of goods through a Single Window?
Answer: The competent authorities send out their resolutions simultaneously both to the
submitting entity such as the importer and the Customs Authority. As a result of the
transmission of the respective import declaration to customs, the resolution is available
in the Customs Authority's foreign trade system.
The most recent upgrades included adding the following government ministries to the
system:
Ministry of Communications, Ministry of Culture and Sport, Israel Antiquities Authority,
Ministry of Agriculture and Rural Development, Ministry of Environmental Protection

3.1.1 Customs procedures, valuation, and requirements
3.6
14. What are the main benefits when using the Authorized Economic Operator (AEO) scheme?
Answer:
The main benefits for AEOs members, based on the SAFE model are:
1) Mutual recognition with other international AEO programs

2) Reduced amount of customs examinations
3) If an examination is required, then a documentary examination is preferred
4) A physical examination is performed by means of NII (Non-Intrusive Inspection)
5) Receive the details of an AEO contact point at Israel Customs
6) Simplification at the customs clearance process
7) Preclearance procedures

3.1.1 Customs procedures, valuation, and requirements/Customs procedures and
requirements and customs valuation
3.8
15. What is the estimated time required by the Customs Authority to issue an advance ruling
regarding the classification of goods?
Are advance rulings relating to the origin also expected to be included under the electronic facility?
Answer: 45 days is the maximum period of time for a response to a pre-ruling question
for classification of goods.
Israel currently provides for electronic advanced ruling regarding the origin of goods and
customs valuation via email.
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COLOMBIA
Summary. Page 7, Paragraph 16. "The Israeli economy specializes in the development and
production of high-tech goods and services, supported by the highest level of civilian R&D in the
world (about 4.3% of GDP in 2015). The Israel Innovation Authority, set up in 2015, encourages
both local and foreign investment by offering a wide range of incentives and benefits to investors in
industry, tourism and real estate. Most of these incentive programmes offer participation in the risks
involved in the development process via conditional loans."
1. Can you describe the levels/percentage of participation of the Israel Innovation

Authority in the production chain?
Answer: The Israel Innovation Authority's major goal is to ensure economic prosperity
through technological innovation. In practice, it focuses almost entirely on the
encouragement of Research and Development (R&D) and aims to strengthen R&D in the
Israeli industry and thus to increase the economic benefits to the Israeli economy. In
most cases R&D is the first stage of the production chain or is even considered a separate
process that is necessary to complete prior to production.
2. In practice, can you please describe the Israel Innovation Authority's participation
to achieve the strengthening of the creative ecosystem, the industry and the different
sectors of the economy?
Answer: Strengthening the innovation ecosystem is the core mission of the Israel
Innovation Authority, which seeks to further develop and support technological
innovation in Israel through various tools. The Authority advises the government and
Parliament ("Knesset") committees regarding innovation policy in Israel and furthermore
monitors and analyses the dynamic changes taking place throughout the innovation
environments in Israel and abroad. It creates cooperation with counterpart agencies to
promote technological innovation in the Israeli industry and economy.
The Israel Innovation Authority provides a variety of practical tools aimed at addressing
the dynamic and changing needs of the local and international innovation ecosystems.
With deep knowledge and understanding of the unique challenges facing the Israeli
companies and entrepreneurs, the tools offered by the Authority are based on the specific
stage and needs of the company. This includes tools for early stage entrepreneurs, mature
companies developing new products or manufacturing processes, academic groups
seeking to transfer their ideas to the market, multinational corporations interested in
Israeli technology, Israeli companies seeking new markets abroad, and traditional
factories and plants seeking to incorporate innovative and advanced manufacturing into
their businesses.
In order to achieve its objectives, the Israel Innovation Authority has adopted an internal
structure designed to enable: task and client orientation, concentration of knowledge and
tools under a single entity, enlargement of the offered toolbox, and expansion of the scope
of activities beyond R&D. This strategic approach is advanced through a number of
innovation divisions each focused on a specific target audience, for the purpose of
developing and delivering dedicated solutions to their associated challenges.
The innovation divisions include:
 Start-up Division (Technological Incubators, Early Stage)

 Growth Division (R&D)
 Technological Infrastructure Division
 Advanced Manufacturing Division
 International Collaboration Division
 Societal Challenges Division
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These divisions pave a variety of customized paths for entrepreneurs and companies to
promote, implement and realize their innovative R&D ideas at various stages.
ECONOMIC ENVIRONMENT, 1.1 Main Features of the Economy. Page 10, Paragraph 1.4. "Some of
the main economic challenges lie in raising productivity growth, which is low by high-income country
standards. Israel also faces demographic challenges in the labour market (particularly in the hi-tech
sector), which are related to low participation and productivity among Arab-Israeli and ultra-
orthodox (Haredi) communities, although some progress has been made in raising employment rates
by increasing the incentives to work (notably, cuts in income taxes and social benefits). However,
income disparities and poverty levels remain high, despite some improvement in recent years."
3. Through which strategies is Israel fighting the economic challenge related to

productivity growth? What incentives to promote work is Israel implementing?
Answer:
The government has identified the need to enhance productivity by implementing
different types of programs, one related to advanced manufacturing and the other to the
encouragement of employment in labor intensive sectors:
1. The adoption of advanced manufacturing techniques is at the core of a national

program, led by the Ministry of Economy and Industry, aiming to increase productivity,
improve the competitiveness of Israeli factories, as well as their profitability and the
average salary they pay. This program seeks also to focus on Israel's relative advantage
in fields such as Big Data for manufacturing, Industrial IoT, Robotics, Machine Learning,
Cyber defense for the industrial arena, additive manufacturing and more. The program
will provide both the adequate infrastructure for the transition of the industry from
traditional means of production to the more advanced ones as well as the relevant funds
to support the Research and Development of such technologies and their implementation
throughout the industrial sector. In addition, a plan to establish a national Advanced
Manufacturing Institute in Israel, which will coordinate the development and
implementation of the Advanced Manufacturing transition of the industrial sector, is
currently in its final stages.
2. A program to increase the the supply of skilled workforce in the Hi-Tech sector:
While recognizing that the Hi-Tech sector has been the growth engine of the Israeli
economy in the last two decades, Israel adopted a program to increase the supply of a
skilled workforce in the next 5 years. The measures and goals include inter alia:
 A target of 40% increase of students in universities and colleges enrolled in Hi-Tech

related programs;
 An increase in the number of foreign students and researchers in the Israeli
academia;
 The Israeli Innovation Authority will work to design training programs for non-
skilled employees, that is, in cooperation with the industry and academia;
 Promotion of training opportunities among underrepresented sectors of the
population in the Hi-Tech sector namely: women, ultra-orthodox and Arabs;
 Incorporating technological courses in the teaching programs of ultra-orthodox
women as part of their bachelor studies;
 Establishment of a range of informal programs by the Ministry of Science,
Technology and Space to expose and train high school students in robotics, cyber,
computers and engineering.
3.3.7 Intellectual property rights, 3.3.7.2 Economic policy context. Page 57, Paragraph 3.141.
"Rankings of the Israeli economy in global indices of innovation and competitiveness over the review
period reflect its status as one of the most innovative economies. It continues its efforts to further
improve the policy framework for its vibrant high-tech industry sector. Israel's overall ranking in the
Global Competitiveness Index rose from 26th place in 2012-13 to 16th in the 2017 18 report , with
its 3rd place ranking in the innovation sub-category remaining unchanged throughout the period.
Israel's ranking in the IP protection sub-category – improving from 33rd place in 2012-13 to 10th
place in the 2017-18 report – reflects that IP protection is a central component of its overall
innovation policy, which is borne out by intensive use of the IP system for innovation outputs. In
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that regard, Israel ranked among the top ten countries in PCT patent applications per million
population throughout the review period."
4. In addition to the protection of intellectual property, what are other fundamental

components of Israel's innovation policy? Colombia would welcome a thorough
description in order to deepen Colombia's understanding of all implemented policies as
well as the main aspects of the country's overall innovation strategy.
Answer: No one factor can be pointed to explain Israel's innovation output. Amongst the
leading factors are included investments in educational institutions, R&D policy and trade
policies.
Some of the indicators of Israel's success in R&D are total expenditure on R&D as share
of the GDP, venture capital availably, number of patents per capita and quality of research
institutions. Foreign investment in R&D accounts for 57% of the total business R&D and
84% of the investments in R&D comes from the business sector; these two indicators
reflect the attractiveness of the Israeli research environment and strong business driven
innovation eco-system that also helps create a business environment which is conducive
to entrepreneurship and favours risk- taking.
The competitive advantage of the Israeli Hi-Tech sector is based on various factors,
notably an innovation culture and infrastructure that benefits from the world's highest
expenditures, 4.3% as a share of GDP, for civilian R&D.
Israel's innovation strategy that allows this success is led by the Israeli Innovation
Authority and its establishment marks one of the most substantial developments in Israel
in the field of innovation in the past few years. The Authority was set up on the basis of
the Office of the Chief Scientist in the Ministry of Economy and Industry. The objective
was to fulfil the missions assigned to it by the R&D Law in a more conclusive way, and to
provide more efficient and high-quality service to the Israeli innovation community. In
order to do so, the Authority operates with a structure of "innovation divisions".
The Start-up Division offers unique tools to support the early development stages of
technological initiatives. These tools assist entrepreneurs and start-up companies in
developing their innovative technological concepts at the pre-seed or initial R&D stages,
transform their ideas into reality and reach significant milestones.
The Growth Division operates a wide range of incentive programs that promote
technological innovation of mature and growth companies. This division contributes to
the promotion and preservation of competitiveness and technological leadership of
companies, as well as the increase of their growth rates and potential.
The Technological Infrastructure Division focuses on collaboration between industry and

academia to produce advanced technologies and innovative products. The incentive
programs offered by this division promote cooperation, exchange of knowledge and
experience, and development of generic ground-breaking knowledge by an integrated
group of researchers from academia and industry. These incentive programs seek to
strengthen the long-term technological advantages of Israeli industry in the face of fierce
international competition.
The Advanced Manufacturing Division focuses on promoting the implementation of R&D

and innovation processes in companies in the manufacturing sector, in order to
strengthen their competitiveness in the global arena and improve productivity across a
variety of industrial sectors. The programs offered by this division aim to boost
manufacturing-oriented industries and encourage the owners of mainly small and medium
sized factories to develop products, technologies and manufacturing processes to realize
these goals.
The Societal Challenges Division focuses on improving productivity through technological

innovation in the public sector and social organizations. This division is also responsible
for R&D aimed at dealing with social and environmental challenges, including the
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diversification of the population employed in the hi-tech industry and the creation of
appropriate technological solutions for disadvantaged populations in Israel and abroad.
The International Collaboration Division is responsible for creating bridges to new

international markets, building platforms for cooperation in innovative R&D, and
attracting strategic foreign stakeholders to Israel, all while creating competitive
advantages for the Israeli industry in the global market. These initiatives are made
possible through an array of bilateral cooperation agreements and bi-national funds that
support joint R&D and projects between international partners.
2.3.3 Other agreements and arrangements. 2.3.3.1 Qualifying Industrial Zones. Page 23, Paragraph
2.18. "In 1996, the United States launched the Qualifying Industrial Zone (QIZ) initiative to support
the peace process and economic cooperation in the Middle East. QIZs are designated industrial parks
in Egypt and Jordan from which goods can be exported duty free and quota free to the United States.
Most of the QIZ production has been in textiles and clothing, given relatively high tariffs on these
products in the United States. According to the authorities, the Jordanian QIZs have not been in use
since 2010, following the full implementation of tariff concessions (textiles) under the U.S.-Jordan
FTA. The QIZ rules require local content of at least 35%, of which a minimum of 11.7% must be
Israeli under the Israel-Egypt QIZ agreement. The remaining local content may come from a
Jordanian QIZ, an Egyptian QIZ, Israel, the West Bank and the Gaza Strip, or the United States (a
maximum of 15% U.S. content). Israeli suppliers to the QIZ manufacturers must comply with the
rules of origin under the Israel-U.S. Free Trade Agreement, i.e. a minimum of 35% local content,
and substantial transformation. The QIZ initiative has no expiry date and thus does not require
renewal by the U.S. Congress."
5. What has been the result of the Qualifying Industrial Zone (QIZ) in support the Israeli
peace process? What impact have they had at a social, commercial and political level? If
this initiative were to be implemented in Colombia, what improvement would you foresee
they could have?
Answer: The QIZ contributed substantially in strengthening the economic and trade
relations between Israel and Egypt, as well as supporting the industries of both sides and
facilitating Egyptian trade with the United States. Israeli exports to Egypt reached US$100
million per year, of which about US$80 million are Israeli inputs to Egyptian QIZs
(currently 14 QIZs). In addition, as a result of the QIZ, Egyptian exports to the United
States reached approximately US$800 million. Regarding a possible implementation in
Colombia, we are willing to further share our experience and discuss this bilaterally.
2.4 Investment Regime. Page 24, Paragraph 2.23. "The Foreign Investments and Industrial
Cooperation Authority (formerly "Invest in Israel") under the Ministry of Economy and Industry is
the Government's investment promotion arm for foreign investors. Eligible foreign or domestic
investments in industrial projects benefit from assistance pursuant to the Law for the Encouragement
of Capital Investment, which is managed by the Investments Authority at the Ministry of Economy
and Industry."
6. Could you please explain in detail the strategies applied by the Foreign Investments
and Industrial Cooperation Authority (formerly "Invest in Israel") to attract Foreign
Investment to the country. Could Israel explain in detail the changes introduced with the
new entity, compared to those existing under "Invest Israel", if any. Regarding the grants
to investments in industrial projects, what are they and what do they entail?
Answer: The Foreign Investments and Industrial Cooperation Authority at the Ministry of
Economy and Industry is responsible for promoting foreign investment, offset
management in government procurement, and industrial cooperation agreements with
international corporations, no fundamental change in its responsibilities was introduced
following the change of its name. As stated in the Report, the Authority promotes
investments in Israel and with its assistance; eligible foreign or domestic investors in
industrial projects receive benefits they are entitled to pursuant to the Law for the
Encouragement of Capital Investment. Please see paragraph 3.74 (page 43) of the
Secretariat Report for more details on these benefits.
3.3.7 Intellectual property rights. 3.3.7.3 International context and WTO participation. Page 60,
Paragraph 3.149. "Since the last TPR in 2012, Israel has signed and ratified WIPO's Marrakesh VIP
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Treaty which entered into force for Israel on 30 September 2016. Israel is a member of WIPO and
a party to most of its treaties. The Patent Cooperation Treaty (PCT), the Protocol Relating to the
Madrid Agreement Concerning the International Registration of Marks, and the Lisbon Agreement
for the Protection of Appellations of Origin and their International Registration directly affect the
working of the domestic system of IP protection. While a signatory to the WIPO Copyright Treaty
and the WIPO Performances and Phonograms Treaty since 1997, Israel has not ratified these
agreements. It is also not a signatory of the Patent Law Treaty."
7. Given Israel's highly innovative and competitive industry, which is in part due to its
extensive experience and importance given to IP rights and policy, what is preventing the
ratification of the Patent Cooperation Treaty (PCT), the Protocol Relating to the Madrid
Agreement Concerning the International Registration of Marks, and the Lisbon Agreement
for the Protection of Appellations of Origin and their International Registration?
Additionally, what is preventing Israel from becoming a signatory of the Patent Law
Treaty?
Answer: Israel has been a longstanding member of the Patent Cooperation Treaty, the
Protocol Relating to the Madrid Agreement Concerning the International Registration of
Marks and the Lisbon Agreement. Israel is not a member of the Patent Law Treaty due to
differences between certain requirements of the Patent Law Treaty and existing Israeli
legislation.
In order for trade to contribute to the economic and social development of countries, it is necessary
it is done in accordance with the law. However, not all exchanges have beneficial consequences.
Fraud in international trade damages the rights of many groups in society: including consumers, IP
right holders, taxpayers and the national industry; particularly SMEs, since it affects security,
innovation and competition. Due to stricter controls over the financial system, criminal organizations
have been increasingly using international trade transactions for illicit purposes in order launder
their illegal income. The trade and commerce connected to illicit objectives could consequently have
opposite effects to the economic and social development.
8. Colombia would like to know if Israel has identified cases of trade with illicit
purposes that occur in its territory? What obstacles and challenges have you encountered
when fighting against this type of trade, if any? Does Israel have any recommendations
or lessons learned that can be shared with other members of the WTO?
Answer: Israel has identified the phenomenon of using international trade as an

instrument for laundering money or financing terror activities.
There are some obstacles and challenges that we face when enforcing measures required
in order to fight this phenomenon.
The main challenges we are facing are in the intelligence and legal spheres.
We strongly support more cooperation between countries under frameworks such as

bilateral customs cooperation agreements
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CANADA
3. TRADE POLICIES AND PRACTICES BY MEASURE

3.3.7.4.1 Patents
3.167
Question(s)
The report notes that amendment No. 11 "introduced the early examination of a PTE application
even if the reference extensions under the "two state requirement" have not yet been granted in
the reference countries". What is the "two state requirement" referenced? Could Israel further
explain this new early examination process?
Answer by Israel
Patent term extension provisions are not required by the TRIPS Agreement. Nevertheless,
Israeli patent legislation does provide for patent term extension orders in certain
circumstances.
The "two state requirement" refers to one of several pre-conditions necessary for the
grant of an Israel Patent Term Extension Order of an Israeli basic patent (i.e. the patent
whose duration will be extended). With respect to this pre-condition, where a
pharmaceutical product covered by the basic patent has been approved for marketing in
the United States of America and in at least one of five designated European Union
reference countries (Italy, the United Kingdom, Germany, Spain and France – hereinafter
"EU-5"), and a parallel patent in both the United States of America and at least one EU-5
state has been extended, then the "two state requirement" will be fulfilled.
When said marketing approval is only granted in the U.S but not in the EU-5, or vice versa,
then reference to an extension in "one state"will suffice for purposes of obtaining an
Israel PTE Order. Nevertheless, as a general rule pharmaceutical products covered by a
patent which have utility and commercial success will have marketing approval in both
the US and the EU-5.
The "new early examination process" refers to certain changes in the timing of the
examination of the PTE application. Under the new system the examination process can
commence, prior to submission of information regarding "two state" reference country
extension orders, whereas prior to amendment No. 11 the application examination would
only commence d once all elements of the applications were on file, and in particular
notifications regarding reference extensions.

3.3.7.4.1 Patents
3.167
Question(s)
The report notes that Israel's patent term extension (PTE) system expires "either before, or
coterminous with, the earliest-expiring reference patent term extension in any of the reference
countries". Under what circumstances can a PTE expire in Israel prior to the expiry of a protection
in a reference country?
Answer by Israel
A Patent Term Extension Order could expire prior to the expiry of a parallel protection in a reference
country, for example, where the Israeli basic patent underlying the said PTE Order has been
invalidated or where the duration of the shortest reference extension would arrive at an expiration
date that would exceed a period of 14 years from the grant of the first reference marketing approval
in a reference country. We recall that patent term extension is not required under TRIPS.
COSTA RICA
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Trade Policies By Sector

4.2 Mining and Energy
4.2.3 Electricity
4.51
In accordance with Sustainable Development Goal (SDG) 12 (c) 2, how does Israel intend to
rationalize the inefficient use of subsidies for fossil fuels that encourage wasteful consumption
in such a way as to avoid disadvantages in the absorption of renewable energies?
Answer: Israel does not maintain subsidies for fossil fuels.

4.2 Mining and Energy
4.2.3 Electricity
4.51
Could Israel elaborate on the specific measures being implemented in order to meet Israel's
objectives of generating renewable energy for environmental purposes (Paris Agreement)? Is
Israel still maintaining the objective of generating at least 10% of renewable energies by 2020?
Answer: An overview of Israel's renewable energy scheme is available in pages 19-20 of

the document in following link:
http://www.medreg-regulators.org/Portals/_default/Skede/Allegati/Skeda4506-233-
2018.3.9/RES_Benchmarking.pdf?IDUNI=ygbawh5lnnkutwk2j0z1k2yy8432
2
See (https://sustainabledevelopment.un.org/sdg12). Rationalize inefficient fossil-fuel subsidies that
encourage wasteful consumption by removing market distortions, in accordance with national circumstances,
including by restructuring taxation and phasing out those harmful subsidies, where they exist, to reflect their
environmental impacts, taking fully into account the specific needs and conditions of developing countries and
minimizing the possible adverse impacts on their development in a manner that protects the poor and the
affected communities.
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JAPAN
4. TRADE POLICIES BY SECTOR

4.4 Services
4.47
Question(s)
With regard to data obtained within Israel, does Israel have any measure in effect which obliges
private companies to store or process such data using computer facilities located within Israel? If
any, could Israel elaborate concrete regulations concerning such measure?
Answer by Israel
The Privacy Protection Regulations (Transference of Data to Databases Located outside
the State of Israel), 2001, regulate trans-border data flows. In principle, the transfer of
data from databases within Israel to a location outside the country is prohibited. However,
the regulation clearly provides legal basis for cross border transfer of data under certain
circumstances.
Additionally, the Privacy Protection Regulations (Data Security), 2017, which came into
force in May 2018, apply to both private and public sectors. The regulations establish
organizational mechanisms aimed at making data security part of the management
routines of all organizations processing personal data, and maintain a reference to the
abovementioned regulations when transferred for processing by a third party service
provider if that service provider is located outside of Israel.

4.4 Services
4.47
Question(s)
Does Israel have any measure in effect which restricts cross-border transfer of information including
personal information? If any, could Israel elaborate concrete regulations concerning such measure?
Answer by Israel
The Privacy Protection Regulations (Transference of Data to Databases Located outside
the State of Israel), 2001, regulate trans-border data flows. In principle, the transfer of
data from databases within Israel to a location outside the country is prohibited. However,
the regulation clearly provides legal basis for cross border transfer of data under certain
circumstances.
Additionally, the Privacy Protection Regulations (Data Security), 2017, which came into
force in May 2018, apply to both private and public sectors. The regulations establish
organizational mechanisms aimed at making data security part of the management
routines of all organizations processing personal data, and maintain a reference to the
abovementioned regulations when transferred for processing by a third party service
provider if that service provider is located outside of Israel.
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CHINA
Part I. Questions based on Report by the Secretariat

Page 24, para 3.4
"Israel has a fully computerized customs system to which all customs agents are linked. The services
of a customs broker/agent are not mandatory for commercial imports. A company may request
special authorization from the ITA to have a direct link to the customs systems if it employs a
licensed customs clerk with at least five years of experience. Since 2008, Israel Customs operates
a single window with electronic processing of import permits through the competent authorities: the
Ministry of Economy and Industry, the Ministry of Transport and Road Safety, the Ministry of Energy,
the Ministry of Health, and the Israel Standards Institute. There are seven customs houses."
Question 1: please further introduce the overall planning and specific progress of the
development of single window in Israel, as well as the challenges encountered in
operation.
Answer: The competent authorities send out their resolutions simultaneously both to the
submitting entity such as the importer and the Customs Authority. As a result of the
transmission of the respective import declaration to customs, the resolution is available
in the Customs Authority's foreign trade system.
The most recent upgrades included adding the following government ministries to the
system:
Ministry of Communications, Ministry of Culture and Sport, Israel Antiquities Authority,
Ministry of Agriculture and Rural Development, Ministry of Environmental Protection
Page 27, para3.7

"According to the World Bank's ease of trading across borders ranking, regarding border compliance,
it takes 64 hours and US$307 to import into Israel (down from 240 hours and US$545 in 2012).
This is more than the OECD high income countries average (Table 3.2).3 In the World Bank's
Logistics Performance Index (LPI), Israel ranked 28th (23rd for customs) out of 160 countries in
2016 (41st in 2014)."
Question 2: please further explain the reason why customs clearance costs in Israel stay
at a high level, what are the measures taken to reduce customs clearance costs, and what
are the effects.
Answer: According to our understanding the World Bank's rating was based on data that
included some procedures that are not within the scope of the Customs Authority. For
example, the costs and time lines for unloading shipments at the ports are not controlled
by the Customs Authority. Therefore, in our view the rating is an inaccurate indicator for
the performance of customs clearance. Taking into consideration only the factors that are
under the Customs Authority's responsibility 95% of the import consignments to Israel
are released within one hour.
Page 28, para 3.8

"Customs valuation is based on the transaction value, adjusted to reflect costs and services that are
not already included in the purchase price (Customs Ordinance Amendment Law of 1997).5 The ITA
provides an electronic facility for advance rulings regarding the classification of goods. Customs
appeals procedures are set out in the Customs Ordinance of 1957. In cases of disagreement with
the authorities, the importer must stipulate on the import declaration form that the disputed customs
duties were paid under protest. Appeals must first be made to the High Customs Authority and then
to the courts; they may be lodged against any customs decision."
Question 3: please explain the customs valuation rules and procedures, clarify whether
such rules and procedures comply with Article VII of the General Agreement on Tariffs
and Trade (GATT) and the Customs Valuation Agreement dated in 1994, and indicate the
reasons why HS 17 is not revised.
Answer: Israel has implemented the WTO Agreement on Customs Valuation since January
1998. Under the Customs Ordinance Amendment Law of 1997, the basis for customs
valuation is the transaction value. The transaction value is defined as the price paid or
RD/TPR/969
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payable for the goods when they are sold for export to Israel. Ad valorem duties are
applied on the transaction value, adjusted to reflect some costs and services not already
included in the price incurred by the buyer. The costs and services include those for fees
and commissions (other than buyer's commissions); containers; packaging; royalties and
license fees; transportation to the ports; loading, unloading and handling; and insurance.
Separately, Israel is in the process of transposing its bindings from HS12 to HS17.
Page 27, para 3.9

"In July 2014, Israel notified its Category A commitments under the Trade Facilitation Agreement
(TFA).6 The Agreement was ratified and entered into force on 8 December 2017."
Question 4: please specify whether Israel has established the National Trade Facilitation
Committee, the leading department of the Committee, and the model through which the
business circle participates in the Committee.
Answer:
Israel has established its national committee on trade facilitation.
The committee consists of 6 members:
 2 from the international department of the Israeli Customs Authority
 1 customs expert on clearance process
 1 legal advisor
 2 representatives from the Foreign Trade Administration of the Ministry of
Economy and Industry
The committee is the led by the Customs Authority in collaboration with the Ministry of
Economy and Industry.
Regarding the participation of the business community, we maintain on-going contact

with the business sector and consult them regularly.
Page 70, para 4.3

"About 93% of land (1,959,800 ha) in Israel is publically owned, either by the State, the Jewish
National Fund or the Development Authority, and managed by the Israel Land Authority. Of this
area, about one quarter is designated as agricultural land."
Question 5: how does the owner of each type of land obtain the land right?
Answer: All state owned land ("Israeli Land") is administered by the Israel Land
Administration (ILA). "Ownership" of real estate in Israel usually means leasing rights
from the ILA for 49 or 98 years.
Question 6: how does Israel determine the area of land for agriculture it needs?
Answer: The Ministry of Agriculture and Rural Development is about to finalize a strategic
plan for Israeli agriculture for the coming decade 2020-2030. The future needs of Israel
in terms of overall agricultural land aspects is one of the main pillars of that strategic
plan. The main tool for this specific issue is the Ministry's Planning Policy Document –
"Mapping the Agricultural Land in Israel", whose main outputs are:
1. The scope and location of areas required to maintain agricultural production

capacity in Israel, in correlation to population growth and the comprehensive
economic policy
2. Future demand for cultivated agricultural land
3. Allocation of agricultural land to the rural communities
4. Foreseen changes of agricultural land uses
5. Allocation of water for agriculture
6. Determining areas' statutory status for agricultural land
7. Basic data for any future planning of agriculture in Israel
RD/TPR/969
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Page 83, para 4.45

"Israel Natural Gas Lines Ltd. (a state-owned enterprise) holds a licence to operate and develop the
natural gas transmission system. The regional distribution networks are operated by the private
sector; distribution licences are issued by public tender. To encourage a competitive domestic market
for natural gas, the Natural Gas Authority requires the national or regional licensees to provide open
access without discrimination to all consumers and marketers of natural gas.24 Service fees for
infrastructure services (transmission and distribution) require approval from the regulator;
consumer prices of natural gas are not regulated."
Question 7: in addition to Israel Natural Gas Lines Ltd., which companies hold licenses as
well? Are foreign companies allowed to participate in this area? Is there any foreign
company participating in so far?
Answer: At this point no other company holds a license to develop and operate a natural
gas transmission system and there is no plan to allocate such additional license.
Page 83, para 4.46

"Liquefied natural gas (LNG) is one of the main sources of energy in Israel, especially for home use.
Israel has a consumption of LNG of about 650,000 tons annually, of which 40% are imported via the
Hadera Deepwater LNG Terminal. The market is divided into two groups: 4 large companies hold a
market share of approximately 85%, and about 20 companies account for the rest. In September
2016, the Israel Antitrust Authority initiated an investigation into suspected collusion between
companies operating in the LNG market. Also, in 2016, the Israel Antitrust Authority published a
draft report on the domestic gas market for public comment, as part of the Government's efforts to
promote competition. Some of the conclusions of the examination were implemented in the
Economic Arrangements Bill (supplementary legislation to the state budget). The Bill was enacted in
January 2017. Rules were included to reduce obstacles for consumers to change their gas supplier,
and price discrimination between consumers connected to the same central gas system was
prohibited. The Fuel Authority in the Ministry of Energy has established an Internet price system
that enables consumers to choose the company that gives the best price in the town or region."
Question 8: how are the anti-monopoly measures in LNG market performed?
Answer: Due to a typographical error in the report, the energy source mentioned is LNG
(Liquefied Natural Gas) while the paragraph actually refers to the market of LPG
(Liquefied Petroleum Gas). Currently, there is no LNG market in Israel and therefore the
question regarding LNG is not relevant.
RD/TPR/969
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NEW ZEALAND
Report by the WTO Secretariat (WT/TPR/S/376)
WT/TPR/S/376, Summary, page 8

Paragraph 23 of the Secretariat report notes that while Israel exceeded its total Aggregate
Measurement of Support (AMS) commitment level for the period 2011 to 2014, for 2015 and 2016
Israel's notified total AMS level for these years is below its commitment level.
Question 1:
 What policy changes has Israel undertaken that have ensured it did not exceeded its total
AMS commitments in 2015 and 2016, and will these changes ensure that it does not
exceeded this important commitment level in future years?
Answer: Discussions are still being held between relevant stakeholders and government
representatives regarding reforms in the dairy and table eggs sectors with government
support, with the following aims:
1. Improving production infrastructures in terms of animal welfare and

environmental aspects
2. Expanding the units of production in order to improve farmers' profitability and
mainly further reducing the costs of production in order to further reduce
consumer prices of these products
3. Further liberalization of trade measures regarding increased imports of these
sectors' related products
SECTIONS: SUMMARY / ECONOMIC ENVIRONMENT / TRADE POLICIES AND PRACTICES

BY MEASURE / TRADE POLICIES BY SECTOR
Sub-section title: Summary / Main Features of the Economy / Measures Directly Affecting
Imports / Internal Policies
WT/TPR/S/376, Summary and sections 1, 3 & 4, pages 6, 13, 29 & 76, sub-sections 1.2,
3.1.3.1, 4.1.1.3.2
Paragraphs 7, 1.14, and 3.15 of the Secretariat report note that popular discontent in 2011 led Israel
to undertake reforms aimed at increasing competition, which resulted in Israel's average MFN tariff
reducing from 7.6% in 2012 to 5.2% in 2018. These reforms included the elimination of import
duties and the opening of autonomous tariff quotas including for some agricultural products.
Paragraph 4.20 of the Secretariat report further notes that Israel's dairy industry remains closely
regulated and controlled through production quotas, reregulated prices for milk from producers, and
regulated retail prices for milk and other dairy products.
Question 2:
 Does Israel intend to continue to support increased competition in its domestic industries,
including it dairy and meat industries, through further liberalisation of import duties?
Answer: Israel is evaluating competition in its domestic industries, including its dairy and
meat industries, through further liberalization of import duties by means of opening
voluntary TRQs with reduced or zero tariff rates.
As part of pilot programs in the beef, dairy and fisheries sectors, the following steps have
been taken:
1. Beef:
 Increased TRQs for imported fresh and chilled beef from 7,500 tons in 2016 to
17,500 tons in 2020, combined with gradual reduction of the MFN tariffs on the out
of quota imports from 12% plus 1,300 ILS (USD 339) per ton in 2016 to 12% with
zero ILS in 2020.
2. Dairy
RD/TPR/969
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 Gradual liberalized import regime for selected dairy products has been put in place
as follows:

2014 1,250 750 750
2015 1,500 1,000 1,000
2016+ 2,000 1,250 1,200

2014 4,200
2015 4,800
2016 5,400
2017 6,000
2018+ 6,500
3. Fishery
by 50% from 15 NIS/KG to 7.5 NIS/KG. Further tariff reductions will be examined
based on fish growers' profitability over the coming years.
SECTIONS 1 & 4: ECONOMIC ENVIRONMENT / TRADE POLICIES BY SECTOR

Sub-section title: Main Features of the Economy / Policies
WT/TPR/S/376, sections 1 & 4, pages 13 & 73, sub-sections 1.2 & 4.1.1.3
Paragraph 4.11 of the Secretariat report notes that the Government maintains a significant role in
agriculture, and the overall policy objective has been to ensure food security, including through self-
sufficiency in fresh dairy products, poultry, and eggs. Paragraph 1.14 of the report, however, notes
that public protests occurred in 2011 due to the high price of dairy products in particular, and reforms
to stimulate competition have been undertaken as a result.
Question 3
 How has Israel's reforms supported its overall policy of ensuring food security, and what is
the impact of its extensively regulated agricultural industries?
Answer: The reforms have not addressed food security issues directly. The impact of the
regulated agricultural industries may be reflected in relatively high consumer price,
mainly of meat and animal products.
SECTION 3: TRADE POLICIES AND MEASURES

Sub-section title: 3.1 Measures Directly Affecting Imports
WT/TPR/S/376, section Trade Policies and Measures, page 27, sub-section 3.1.1 Customs
procedures, valuation, and requirements
Paragraph 3.8 on page 27 notes that the Israel Tax Authority provides an electronic facility for
advance rulings regarding the classification of goods. The report appears to be silent on other types
of customs rulings such as advance rulings on origin of goods and valuation methodology.
Questions 4 and 5
 Could Israel advise whether it has provisions for the issuance of advance rulings on origin
matters and valuation methodology? and;
Answer: Yes.
 If it has provisions, could Israel elaborate on timeframes for advance rulings, who can apply
and fee structure?
Answer: The advance ruling on origin will be given within 45 days of applying for an
advance ruling. There is no limitation on who can apply and no fee is required.
SECTION 3: TRADE POLICIES AND PRACTICES BY MEASURE
RD/TPR/969
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Sub-section title: Measures Directly Affecting Imports

WT/TPR/S/376, section 3, page 28, Table 3.3
The applied MFN tariff on agricultural products was at 19.1% in 2018, while non-agricultural tariffs
were 3%. We welcome Israel's reduction of tariffs on certain agricultural products since its 2012
review. This was an encouraging improvement on the 2012 figure of 27.7%, but tariffs on
agricultural products remain higher than tariffs on non-agricultural products.
Question 6
 New Zealand commends Israel as being among the first to implement the Nairobi Decision
on Export Competition by submitting an amended schedule. Is Israel considering any further
reductions on tariffs on agriculture?
Answer: Further reductions of tariffs on agriculture are considered from time to time
within different contexts such as:
1. Israel's future FTAs
2. Future agreement on the multilateral level
3. As part of an overall reform in the agricultural support system
WT/TPR/S/376, section 4, page 73, sub-section 4.13

There is an average MFN tariff of 65.6% on dairy products.
Question 7
 We would welcome further information from Israel on whether it is considering any steps to
reduce tariffs on dairy products.
Answer: Reforms in the agricultural support system of Israel, inter alia, the shift from
indirect measures such as high tariff rate to direct budgetary support, is under an ongoing
evaluation. As far as the dairy sector is concerned, the government has granted ILS 65
million of direct support to dairy farmers for the years 2014-2018, mainly aimed for
production upgrading investments. In return, the guaranteed prices for raw milk
decreased in 2016 – by an average of 9% and gradual liberalized import regime for
selected dairy products has been put in place as follows:

2014 1,250 750 750
2015 1,500 1,000 1,000
2016+ 2,000 1,250 1,200

2014 4,200
2015 4,800
2016 5,400
2017 6,000
2018+ 6,500
Further steps are being considered.
SECTION 4: TRADE POLICIES BY SECTOR

Sub-section title: 4.1: Agriculture, Forestry and Fisheries
The average applied MFN tariff is particularly high on fish and fishery products, at up to 146.3%.
This well exceeds the average maximum tariff on non-agricultural products (12%).
Questions 8 and 9
 Can Israel provide further information on why its tariffs on fish and fishery products are this
high?
 Is Israel considering reducing the tariffs on fish and fishery products?
RD/TPR/969
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Answer: Israel imports about 80% of its fish consumption. Therefore most of its fish tariff
lines are duty free. The tariff on fish species produced in Israel has a higher tariff rate.
However, a special upgrading program consisting of ILS 30 million has been granted to
this sector for R&D and marketing promotion of fresh fish as well as for direct payments
based on past production -for the period 2016 until 2023. In addition, ILS 77 million will
be allotted in the years 2017 to 2020 as support to the fish growers in the form of 60%
grants for the implementation of an environmental related reform. Furthermore, custom
duties for tilapia, carp, and mullet (fresh, frozen and fillet) were reduced by 50% from 15
NIS/KG to 7.5 NIS/KG. Further tariff reduction will be examined, based on fish growers'
profitability.
Sub-section title: 4.2 Mining and Energy

Paragraph 4.51 of the Secretariat Report notes that Israel has established targets under the Paris
Agreement for renewable energy use, aiming for 10% by 2020 and 17% by 2030. It also notes that
the transition is behind target, at 3% of total energy generation in 2017
Question 10 and 11
 New Zealand welcomes Israel's efforts to encourage the uptake of renewable energy. How
does the Government intend to get back on track to meet its stated targets?

the document in following link:
 How does Israel intend to rationalize any inefficient fossil-fuel subsidies that encourage
wasteful consumption in line with SDG 12(c) so as to avoid disadvantaging renewable energy
uptake?
Answer: Israel does not maintain subsidies for fossil fuels.

RD/TPR/969
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RUSSIAN FEDERATION
PART I: QUESTIONS ON THE SECRETARIAT REPORT (WT/TPR/S/376)
3 TRADE POLICIES AND PRACTICES BY MEASURE

3.3.3 Sanitary and phytosanitary requirements.
page 47, paragraph 3.92
Israel has made a total of 13 notifications (including revisions, addenda, and corrigenda) to the WTO
on SPS measures, most recently in 2011 on the approximation with OIE guidelines relating to BSE
on the importation of live animals and animal products.61 Four specific trade concerns have been
raised about SPS measures taken by Israel, all of which have been resolved.62 In addition to
notifications of SPS measures, some of the notifications on technical barriers to trade are concerned
with protection of human health or safety, protection of animal or plant life or health, or protection
of the environment. From 1 January 2012 to 31 December 2017, 60 such notifications were made
(including revisions, addenda, and corrigenda) about products under HS headings 1 to 24 (all for
food and beverages, except for one notification on tobacco products). Some of these notifications
may include references to SPS measures.
Question №1: According to the Secretariat Report, Israel has not made SPS notifications since
2011. However, 60 TBT notifications contain information about SPS-related issues. Does Israel
intend to notify SPS measures which came to force since 2011 as SPS notification?
Answer: During the preparation of the Secretariat Report we have been made aware that
some TBT notifications may, in fact, be more relevant to the SPS mechanism. We thank
the Secretariat and Members for drawing our attention to that possibility. We plan to look
into the matter. Any Member that has an interest in a particular TBT notification is invited
to indicate it to us.
Plant protection and inspection services

page 49, paragraph 3.101
Under the Plant Import Regulations of 2009, importers of many plant products (as listed in Annexes
3 and 4 of the Regulations) no longer require an import permit, provided:
- the plant products are not used for propagation, unless imported for this purpose and, if so, the
relevant authority of the exporting country certifies that the material is not genetically modified;
- for products listed in Annex 3 of the Regulations, the importer attaches to the consignment a
certificate of origin. Annex 3 includes several major plant products, including: dried grains for human
consumption, animal feed or oil extraction (excluding cotton seeds); wood products (excluding logs,
bark and chips); shelled nuts (excluding peanuts and pecans); and dried fruit, vegetables, and
herbs; and
- for products listed in Annex 4 of the Regulations, the importer attaches a phytosanitary certificate.
Annex 4 includes a long list of plants and plant products, and includes requirements that must be
met (often stating they must originate from "European countries").
Question №2: According to the Secretariat Report importers of many plants and plant products
listed in the Annex 4 of the Plant Imports Regulation and originated in European countries no longer
require import permit if they have a phytosanitary certificate. Please clarify are only European
countries included in this list? What are the criteria for inclusion of countries into the list?
Answer: The Plant Protection Regulations of 2009 define, "Countries of Europe" for the
purposes of the regulation as Austria, Italy, Ireland, Belgium, the United Kingdom,
Germany, Denmark, the Netherlands, Spain, Portugal, Finland, France, Sweden and
Switzerland. These were the approved countries of origin for imports of most of the
regulated commodities mentioned in Annex 4 prior to the 2009 revision of the regulations.
Therefore only these countries may be exempted from import permits as their import
requirements were transferred to the Plant Protection Regulations. Any revisions to this
list, included in the Regulations, require parliamentary approval.
RD/TPR/969
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Page 41, paragraph 3.65
The state-owned Israel Foreign Trade Risk Insurance Corporation Ltd. (ASHR'A) provides credit
insurance to Israeli exporters, as well as credit guarantees for loans extended by commercial banks
to exporters. ASHR'A insures medium- and long-term export credit transactions (ranging from 1 to
15 years) and Israeli investments abroad, against political and commercial risks, mainly in
developing countries. ASHR'A covers up to 95% of losses for political risks and up to 90% of losses
for commercial risks. There is no maximum commitment per transaction. ASHR'A income consists
mainly of premiums; there are no transfers from the Government. Its maximum guarantee exposure
is US$2.5 billion.
Question №3: Please illustrate types of projects and relevant sectors supported under ASHR'A
programs with the tenor up to 15 years? Does ASHR'A follow the provisions of the OECD
Arrangement on officially supported export credits with respect to medium- and long term
transactions?
Answer: Below are Some projects under ASHR'A programs:

 Zambia – an Infrastructure project with a 13Y tenor.
 Papua New Guinea – agriculture project with a 10Y tenor.
 Angola – agricultural project with a 10Y tenor.
 Ethiopia – water project with a 10Y tenor.
Yes, ASHR'A does follow the provisions of the OECD Arrangement on officially supported
export credits with respect to medium- and long term transactions

The Ministry of Finance (MOF) provides reinsurance for private credit insurance companies for short-
term export transactions of up to 50% on top of the amount the private company takes upon itself
(i.e. up to 33.3% of the entire transaction amount can be insured by the Government). A minimum
domestic content of 40% of the insured transaction is required.
Question №4: Does the Ministry of Finance or any other Israel institution have a mandate to provide
official export credit support via direct loans? Please specify whether any regulatory documents
authorize commercial banks to provide export credit support? According to current practice, please
indicate if a direct loan of a commercial bank with the ASHR'A or Ministry of Finance support can be
qualified as an officially supported export credit.
Answer: In 2014 the Ministry of Finance launched a program for foreign trade transactions
in medium and long term which included cooperation with the private insurers dealing
with credit insurance for foreign trade in Israel - the Clal Credit Insurance Companies and
the FSB. As part of the plan, the MOF undertook to indemnify private insurers in a state of
insolvency repayment of the insured transaction, in respect of receipts that are to be
received during the second period of export transactions of up to 10 years.
The plan was terminated in December 2017.

3.3.7.1 Overview
Question №5: Please specify the purposes for which the funds, invested in the improvement of
administrative procedures in the areas of protection of patent and designs, have been allocated.
Have the funds been invested in improving administrative procedures in the protection of other
objects of industrial property?
Answer: The ILPTO has made efforts to improve efficiency and timely service, for example,
through training and improved allocation of existing resources as well as recruitment of
new patent and trademark examiners. Further improvements in productivity have been
achieved through use of fully online service and correspondence systems for patents,
trademark and designs applications, examinations and correspondence. Also of
importance has been ILPO's patent department has participated in WIPO's global system
RD/TPR/969
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for centralized access to search and examination (CASE) since 2014 and computer-aided
search and examination (CASE2) since 2015.
In early 2016, in an effort to nurture and develop the Israeli innovation infrastructure, and to adapt
and improve the innovation strategy of the former Office of the Chief Scientist (OCS), Israel replaced
the OCS and its Industry Centre with the Israel Innovation Authority (IIA). This new independent
agency comprises several dedicated innovation divisions that administer programmes targeted at
start-ups, R&D financing, technological infrastructure improvement and international collaboration
on R&D, among others (Section 3.3.1).
Question №6: Please provide more details on functions and powers of the Israel Innovation
Authority.
parliament ("Knesset") committees regarding innovation policy in Israel and furthermore
their businesses.

promote, implement and realize their innovative R&D ideas at various stages.

Since the last TPR in 2012, Israel has signed and ratified WIPO's Marrakesh VIP Treaty107 which
entered into force for Israel on 30 September 2016. Israel is a member of WIPO and a party to most
of its treaties.108 The Patent Cooperation Treaty (PCT), the Protocol Relating to the Madrid
Agreement Concerning the International Registration of Marks, and the Lisbon Agreement for the
Protection of Appellations of Origin and their International Registration directly affect the working of
the domestic system of IP protection. While a signatory to the WIPO Copyright Treaty and the WIPO
Performances and Phonograms Treaty since 1997, Israel has not ratified these agreements. It is
also not a signatory of the Patent Law Treaty.
RD/TPR/969
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Question №7: Israel signed the WIPO Copyright and Performance and Phonogram treaties in 1997,
but has not ratified them yet. Please explain what caused the lengthy procedure of ratification of
these treaties, as well as the non-signature of the Patent Law Treaty.
Answer: Due to substantive law differences between certain requirements of those

treaties and existing Israeli legislation, the Government of Israel is not presently
contemplating ratifying any of the aforementioned agreements.
We note that neither the 1996 WIPO treaties nor the Patent Law Treaty are covered by
the TRIPS Agreement.
3.3.7.4 Structure and use of the IP System

3.3.7.4.2 Industrial designs
Under the new Designs Law, an unregistered design will be protected for 3 years from the first
publication of the design if marketed in Israel. The new Designs Law also introduces statutory
damages of NIS 100,000 for each act of infringement, and border measures for registered design
piracy. It establishes as a criminal offence the intentional copying of a registered design by way of
business and in a commercial manner. Corporate officers who – under the new law - are required to
supervise and implement measures to avoid the offence, are also liable in that regard.
Question №8: Please describe how is this article implemented.
Answer: Under Israel's new Designs Law duration of protection will last for up to 25 years
from date of application with respect to registered designs. Unregistered designs will be
protected for a period of up to 3 years, against copying, from the date of first publication
anywhere provided that the product embodying the unregistered design is offered for sale
in Israel within 6 months of said publication.
Remedies for infringement include temporary and permanent injunctions, monetary

damages based on direct losses, lost profits and disgorgement of infringer's profits, or
where plaintiff so elects, statutory damages (i.e. court estimated damages, without actual
proof of extent of damage) not to exceed 100,000 NIS per infringement. In determining
the amount of statutory damages in a particular case the court may take into account
several factors, including, the scope and severity of the infringement, estimated actual
injury caused, court estimate of the defendant's profits attributable to the infringement,
the defendant's activities, the nature of the relationship between the parties and the good
faith of the defendant.
Border measures of a type compliant with TRIPS Articles 51-60 will be applicable to goods
embodying registered designs.
Criminal remedies against a person, include, corporate officials, who in the course of
business and in a commercial manner, knowingly manufacture or import goods
embodying infringed registered designs.
4 TRADE POLICIES BY SECTOR

4.4 Services
4.4.3 Banking
There are no restrictions on the establishment (through local incorporation) of banks or on their
acquisition by foreign residents, provided prudential requirements on ownership and management,
laid down by the Supervisor of Banks, are respected. There are some requirements, mostly
prudential, when foreign banks open branches in Israel. Nonetheless, the presence of foreign banks
in Israel remains limited, mainly due to the fact that it is a relatively very small and developed
banking market. The four foreign banks (HSBC, Citibank, Barclays Bank P.L.C., and State Bank of
India) together held 1.3% of bank assets in 2017, and operate mainly in niche markets (e.g. the
diamond industry, mergers and acquisitions). However, there is a large presence of foreign banks
that are not deposit takers (underwriters, etc.).
Question №9: Please provide more information on control of the concentration of foreign capital in
the banking sector.
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Answer: Information on licensing and regulatory methodology is available on the Banking

Supervisions Department's website, please see link below:
http://www.boi.org.il/en/BankingSupervision/SupervisorMethod/Pages/Default.aspx
PART II: QESTIONS ON THE GOVERNMENT REPORT (WT/TPR/G/376)

1 THE ISRAELI ECONOMY: RECENT DEVELOPMENTS
1.3 Israel's Monetary Policy
In recent years the Bank of Israel is maintaining a very accommodative policy, keeping its official
interest rate at a historically low level of 0.1% since March 2015. The authorities also intervene in
the foreign exchange market to limit fluctuations and excessive appreciation that would result from
the extraordinarily accommodative monetary policy settings by the world's major central banks.
These interventions come on top of currency purchase to offset the exchange-rate pressures from
expanded natural gas production. The result of persistent intervention is that the Bank of Israel has
foreign-currency reserves of US$118 billion (34.5% of GDP), one of the highest GDP shares amongst
developed countries. Since November 2015 the Bank of Israel has also provided forward policy
guidance to influence investor expectations: this accommodative policy is thus expected to be
maintained as long as necessary to entrench inflation within the 1-3% target range. Although
shorter-term inflation expectations are below 1%, they are well anchored to the target beyond this
horizon, indicating monetary policy credibility.
Question №10: By what date this figure is calculated? Could you, please, provide with recent official
information on per capita basis for foreign-currency reserves as it is traditionally high in Israel.
Furthermore, before, Israel provided loans to the development of the third world countries from the
gold reserves of the Bank of Israel, not from the country's budget. How often does Israel use this
practice?
Answer: Israel's foreign currency reserves have reached US$117.6 billion by end-January
2018. Current updates regarding Israel's foreign currency reserves are published on a
monthly basis on the Bank of Israel's website in the following link:
http://www.boi.org.il/en/Markets/PressReleases/Pages/Default.aspx
For further information please see "Investment of the Foreign Exchange Reserves -
Annual Report 2017" on the Bank of Israel's website in the following link:
http://www.boi.org.il/en/NewsAndPublications/RegularPublications/Pages/13-03-2018-.aspx
3 STRUCTURAL AND SECTORAL REFORM INITIATIVES

3.3 Antitrust and Competition
(…) - New primary legislation:
(1) Enactment of the "Promotion of Competition and the Reduction of Concentration Law" of 2013
which aims to reduce the level of concentration in the Israeli market including by an establishment
of a Centralization Committee that advises the Government on licensing and other rights granted to
key entities in the economy; publication of lists of entities which are considered as concentrated,
and setting an obligation for the regulators to take into consideration the level of industry
competition in the process of allocating rights, and to consult with the Antitrust Commissioner
regarding certain rights which have a significant impact on competition. (…)
Question №11: Whereas the aforementioned law indicates the procedures for allocation rights to
concentrated entities, it still remains unclear, whether the regulations concern MNCs. If
multinationals are also subject to the law, than what are the methods adopted to define, whether
their business conduct may be regarded as harmful to competition? Are such entities to be assessed
based on their sales share, or legal jurisdiction, or are such cases to be considered on an individual
basis?
Answer: Every decision regarding granting a license or other rights is examined

individually, according to the specific entities requesting to participate in the allocation
procedure. According to the Concentration Law in order to include an entity in the list of
concentrated entities the turnover of a real corporation will be calculated as its sales
turnover, the turnover of the entity that controls it and any real corporations under its
control and under the control of the entity that controls it. The Law does not specify that
RD/TPR/969
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only Israeli entities are included but it specifies clearly that the relevant turnover consists
of its sales in Israel.
5 ISRAEL'S TRADE POLICY

5.5 Unilateral Trade Liberalization
Israel continues to pursue trade liberalization as part of its general economic policy. In recent years,
as part of the Government's review of tariff and non-tariff measures and in an effort to reduce the
cost of living, Israel has eliminated tariffs on more than 1,300 tariff lines (at HS 8-digit level) on
many consumer goods, where the prior level of customs duties had been in the range of 6-12%. The
reductions are worth over $150 million in annual customs revenue. In addition, in the past few years,
Israel introduced new voluntary Tariff Rate Quotas of substantial amounts, open for all WTO
members, for a number of highly demanded food and agricultural products such as fresh and chilled
beef, hard cheese and olive oil. For some of the product, the out of quota duty rate was reduced as
well.
Question №12: Please clarify what principles Israel followed when new voluntary Tariff Rate Quotas
were introduced? How long will new voluntary Tariff Rate Quotas be in effect and what is its
distribution method? Could Israel clarify, if it provides individual Tariff Rate Quotas for any country?
Answer: As part of the government's efforts to reduce the cost of living in Israel, new
TRQs were opened in sectors where the government came to the conclusion that the prices
are relatively high and where local demand is high. The TRQs are opened for a year, unless
decided otherwise. The allocation method is decided on a case by case basis. There are no
quotas for individual countries other than those with whom Israel has FTAs.
RD/TPR/969
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UKRAINE
PART I: QUESTIONS REGARDING THE Secretariat Report (WT/TPR/S/376)
2 TRADE AND INVESTMENT REGIMES

2.4 Investment Regime
Page 24 (Para 2.23)
According to the Report "The Foreign Investments and Industrial Cooperation Authority (formerly
"Invest in Israel") under the Ministry of Economy and Industry is the Government's investment
promotion arm for foreign investors. Eligible foreign or domestic investments in industrial projects
benefit from assistance pursuant to the Law for the Encouragement of Capital Investment, which is
managed by the Investments Authority at the Ministry of Economy and Industry. Various tax and
non-tax incentives are available for research and development (R&D), including grants to launch
joint R&D projects with Israeli entrepreneurs, or to encourage foreign multinational companies to
establish financial R&D centres in Israel. Israel currently has investment protection agreements with
37 countries and double taxation treaties in force with 54 countries."
Questions:
1. Ukraine would appreciate if Israel could indicate what the various tax and non-tax incentives
are available for R&D (for foreign multinational companies(?
Answer: All incentives for R&D are within the scope of the Israeli Innovation Authority,
please see section 3.3.1(page 41) of the Secretariat Report and Section 4 (page 14) of the
Government Report.
2. Could Israel, please, also specify other key functions of the Foreign Investments and Industrial
Cooperation Authority? )?
Answer: The Foreign Investments and Industrial Cooperation Authority at the Ministry of
Economy and Industry is responsible for offset management in government procurement,
promoting foreign investments, and industrial cooperation agreements with international
corporations.
3 TRADE POLICIES AND PRACTICES BY MEASURE

3.1 Measures Directly Affecting Imports
3.1.4 Other charges affecting imports
Page 34 (Para 3.25)
The Report states that "In general, internal taxes are levied on the duty-inclusive c.i.f. value of
imports, or on the wholesale price of locally produced goods. However, for the imposition of purchase
taxes on imported products, Israel uses an assessment called TAMA (the Hebrew acronym for
additional rate of increase). The TAMA approximates local wholesale prices by adding estimated
profits, insurance, and inland freight to the declared value of imports (coefficients for calculating the
TAMA vary from product to product). The effect of the TAMA is similar to an import surcharge."
Question:
3. Ukraine would appreciate if the State of Israel could give an explanation how the imposition
of the TAMA on imported products as a measure similar to an import surcharge is in conformity with
its WTO commitments?
Answer: TAMA is applied to a very limited number of imported goods where a purchase
tax is imposed and is expressed in ad valorem terms rather than specific duties. The
purpose of TAMA is to equate the purchase tax calculation basis for domestically
manufactured goods and imports. As the basis for calculation of the tax for domestic
goods is the wholesale price (thus increasing the calculation basis), TAMA is added to the
import price. Alternatively, importers have the option of declaring the actual wholesale
value of their products.
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In light of this explanation TAMA does not have the effect of a surcharge on imports and
therefore is not inconsistent with the WTO commitments.
3.1.5 Import prohibitions, restrictions, and licensing

Page 35 (Para 3.29)
Under the Report "Israel applies non-automatic licensing procedures under the Free Import Order of
2014, mainly for reasons of safety, health, protection of the environment, and security, or to comply
with international (non-WTO) commitments, or for purposes of tariff quota administration
(Section 4.1.1.3.1.)."
At the same time according to the information provided on the WTO web-site the Israel's last
notifications under the provisions of Agreement on Import licensing procedures is dated from
October 2013.
Question:
4. When will Israel notify its import licensing regime according to the requirements under Art.
1.4 (a), Art. 5.1 -5.4 and Art. 7.3 (annual notification) of the Agreement on Import Licensing
procedures?
Answer: Israel is in the final stages of preparing an updated notification under Articles
1.4, 8.2, 5.1-5.4 and 7.3 of the Import Licensing Agreement.
Measures Directly Affecting Exports

Page 40 (Para 3.57)
The Report states that "During the review period, Israel eliminated the following programmes that
had been notified to the WTO Committee on Subsidies and Countervailing Measures: the Design
Product Programme; the New Media Support Programme; the Marketing Tutorial Programme; the
Consortia Programme; the "200 X 2" – "Two Hundred Times Two"; and the Greenhouse Gas
Emissions Reduction Programme."
Page 40 (Para 3.63)

Under the Report "Three of the programmes described above (i.e. Marketing Tutorial, Consortia, and
Two Hundred Times Two) have been replaced by others with similar expenditure amounts. In this
regard, the Israeli authorities are preparing a new notification to the WTO Committee on Subsidies
and Countervailing Measures."
Question:
5. When does Israel intend to provide the notification on the abovementioned programmes?
Answer: Israel submitted an updated "New and Full Notification", pursuant to Article
XVI:1 of the GATT 1994 and Article XXV of the Agreement on Subsidies and Countervailing
Measures for 2014-2016 in documents G/SCM/N/284/ISR and G/SCM/N/315/ISR (dated
11 July 2018).
Page 41 (Paragraphs 3.66 – 3.67)

The Report declares that the Ministry of Finance (MOF) provides reinsurance for private credit
insurance companies for short-term export transactions of up to 50% on top of the amount the
private company takes upon itself (i.e. up to 33.3% of the entire transaction amount can be insured
by the Government). A minimum domestic content of 40% of the insured transaction is required.
The MOF also provides reinsurance for private credit insurance companies for medium- and long-
term export transactions; the Government assumes most of the long-term risk and the private
company, the short-term risk ("top up 2"). The programme aims to enhance competition by
encouraging the private sector, with state guarantees, to expand into the market segment
traditionally served by ASHR'A.
RD/TPR/969
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Question:
6. Could Israel kindly present some more information regarding the level of government
spending on reinsurance programs for the last few years
Answer: The level of government spending varies substantially according to ASHR'A's

activity. Except for special and limited programs, the Ministry of Finance provides
reinsurance only to ASHR'A. The maximum amount of reinsurance given by the MOF can
reach 50% of the amount that ASHR'A is insuring and is conditional upon purchasing
private reinsurance by ASHR'A for the remaining 50%.
In 2014 the Ministry of Finance launched a special program for foreign trade transactions
in medium and long term which included a cooperation with the private insurers dealing
with credit insurance for foreign trade in Israel - the Clal Credit Insurance Companies and
the FSB. As part of the plan, the MOF undertook to indemnify private insurers in a state of
insolvency repayment of the insured transaction, in respect of receipts that are to be
received during the second period of export transactions of up to 10 years. The scope of
guarantees under the program was $250 million.
The plan was terminated in December 2017.

3.3.3 Sanitary and phytosanitary requirements
Page 48 (Para 3.95)
According to the Report "All food importers must be registered with the NFS, and consignments of
sensitive goods must have prior authorization from the NFS. For non-sensitive food products, prior
authorization for imports is no longer required, nor is original documentation from the manufacturer
demonstrating compliance with Israeli regulations. Non-sensitive food products may be imported
based on a declaration by the importer that they comply with Israeli regulations and may be
automatically released, unless randomly selected for documentary and physical checks (5% of
consignments are sampled). The importer is required to keep all documents relating to the import,
including copies of labels and packages, for one year after the expiration of the shelf-life of the goods
and the importer must also keep a record of those supplied with the goods."
Question:
7. Could Israel provide detailed information on the procedure for registration for importers
(requirements for documents and their acceptance, reasons for refusal, lengths of registration
procedure, fees for registration procedure etc.) as well as on the procedure for prior authorization
of consignments of sensitive goods?
Answer: In order to register as an importer one should apply to NFS with its details: name,
address, contact person, e-mail, copy of identity papers and the address of a licensed
warehouse for storing the food products. Registration of the importer is based on
municipal license/ approval of the warehouse for food storage. The warehouse could be
the property of the importer or leased . Refusal to register an importer could be in the
case where the importer does not have a licensed warehouse to store the goods. Another
reason for refusal could be in case of severe convictions or indictments on the grounds of
public health protection. No fees are required for registration. Registration takes a
maximum of 10 working days (subject to receiving complete information). The
registration is valid for 2 years and can be renewed for up to 5 years.
Prior authorization of sensitive goods is carried out based on documentation from the
manufacturer and analyses relevant to quality and safety of the product and compliance
with the requirements, and based on documentation from the competent authorities that
the manufacturing site is under supervision.
A decision concerning a request for prior authorization takes up to 45 days (except infant
formula and food for special purposes- up to 60 days). The authorization is valid for 1-4
years according to the importer's request. The fees for a request are currently 384 NIS
for 1 year.
RD/TPR/969
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The procedure for issuance of prior authorization and release from the port:
https://www.health.gov.il/hozer/food05-001.pdf
Page 48 (Para 3.96)

The Report declares that "Imports of sensitive foods must be accompanied by certificates of analysis
that certify their quality and safety, are checked at import, are sampled every three months, and
are released to the importer's warehouse subject to a bank guarantee while awaiting the test
results."
Question:
8. Could Israel provide detailed information on certificates of analysis certifying quality and
safety of imported sensitive foods?
Answer: Consignments of sensitive foods should be accompanied with certificate of

analysis of the food product from the manufacturer showing that relevant
microbiological/chemical/physical parameters are in compliance with the Israeli
requirements and with the specification of the prior authorization.
Page 50 (Para 3.102)
Under the Report "Imports of regulated articles such as plants, plant products, seeds, propogation
material anb biotic material not listed in Annexes 3 and 4 of the Regulations require import permits
from the PPIS and, where a new commodity or originating market is concerned, a pest risk
assessment. For these products, applications for import permits must be submitted before the date
of import. If approved, a permit will be granted and will include the import requirements for import,
ific product, a certificate of origin, and additional statements required for import, based on PPIS
decision. These statements should appear in the health certificate accompanying the shipment from
the country of origin. Under the Plant Protection Law, Regulations for Importation of Plants – 2009,
imports of biotic material (which include invertebrate organisms, microbes, fungi, viruses, and soil)
are forbidden. However, for research and development purposes a permit may be issued for imports
of limited amounts from proven reliable sources and under restrictive conditions."
Question:
9. Please, provide information on where the procedures of applying for import permits are
published and updated, including a website, if possible.
Answer: Link to the Israeli PPIS import permits website, where requirements are being
updated on a regular basis:
http://www.moag.gov.il/en/Ministrys%20Units/Plant%20Protection%20and%20Inspection%20Ser
vices/Import%20of%20Plants%20and%20their%20Products/Pages/default.aspx
Link to the Israeli Veterinary Services import permits website, where requirements are
being updated on a regular basis:
http://www.moag.gov.il/en/Ministrys%20Units/Veterinary_Services/Import%20-
%20Export/Pages/default.aspx

The Report notes that "…While a signatory to the WIPO Copyright Treaty and the WIPO Performances
and Phonograms Treaty since 1997, Israel has not ratified these agreements. It is also not a
signatory of the Patent Law Treaty."
Question:
10. Could Israel clarify whether it has an intention to ratify the aforementioned treaties?
RD/TPR/969
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3.3.7.4.1 Patents
In accordance with the Report, despite its active generic pharmaceutical industry that could
potentially benefit from the permission to export pharmaceuticals produced under compulsory
licenses, Israel has not yet implemented the WTO's Paragraph 6 System into domestic law.
Question:
11. Has Israel considered possibility of using the WTO's Paragraph 6 System, set out by the
Protocol Amending the TRIPS Agreement, for export of pharmaceuticals, produced under compulsory
licenses, and what steps does it intend to apply, if any, for implementation of this System into
domestic law?
Answer: To date domestic stakeholder interest in use of the "Paragraph 6 System" has
been minimal however the government reserves the right to implement the "Paragraph 6
System" in the future.

4.1 Agriculture, Forestry, and Fisheries
4.1.1 Agriculture
4.1.1.3 Policies
4.1.1.3.1 Trade Policies
Page 73 (Para 4.14)
The Report notes that "Israel's commitments under the Uruguay Round include 12 bound tariff
quotas (TQs) covering a number of tariff lines, some at the eight-digit level and some at the four-
digit level. However, two quotas (for walnuts, and edible fats and oils) were not opened, as the out-
of-quota applied tariff was below the in-quota tariff. According to the notifications on imports within
tariff quotas, in most cases, in-quota imports are much greater than the commitment level (Table
4.3)."
Question:
12. Would Israel kindly provide the link to a website, if any, where information on TQs fill rates,
yearly quantities and criteria for submission and allocation of TQs is publicly available?
Answer: The information is published on the Ministry of Economy and Industry and
Ministry of Agriculture and Rural Development's websites:
Ministry of Economy and Industry:
https://www.gov.il/quotas
Ministry of Agriculture and Rural Development:

http://www.moag.gov.il/yhidotmisrad/sahar_hutz/import/Pages/default.aspx
http://www.moag.gov.il/yhidotmisrad/sahar_hutz/publication_list/2018/nohal_2018/Pages/nohal_
michsot2018.aspx
http://www.moag.gov.il/yhidotmisrad/sahar_hutz/publication_list/2018/nizul_2018/Pages/dohnizu
lmichsot140118.aspx
Page 73 (Para 4.15)

According to the Report "The most recent notification on the administration of TQs was in 2003.
Import licences for in-quota imports may be issued by either the Ministry of Economy and Industry
for processed products or the Ministry of Agriculture and Rural Development for fresh products,
usually based on a pro rata basis or, if applications exceed the TQ quantity, by a lottery or on a first-
come-firstserved basis, with 10% of the TQ reserved for newcomers."
RD/TPR/969
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Questions:
13. Could Israel elaborate on the main regulatory developments of the administration of TQs that
have occurred since 2003?
Answer: The Ministry of Agriculture and Rural Development issues its in-quota TRQs either
on a first-come-first served basis or on a pro rata basis, depending on the demand for a
specific TRQ, the number of importers etc. The lottery system has been phased out from
the Ministry's TRQ mechanism.
The administration of TRQs and other import procedures has gone through significant
regulatory and policy improvements in recent years:
 As for TRQs under bilateral and multilateral agreements:
o 75% reduction in document requirements
o Computerized TRQ submission system
 As for Imports of animals and animal products:
o Eliminating import license requirement for live fish
o Reducing inspections at ports using Risk Management Methodologies
 As for Imports of agricultural equipment:
o Adaptation of international regulations
o 90% reduction in document requirements
Please note that the 2003 notification has been updated and submitted recently.
14. Ukraine would appreciate if Israel could inform more on the established mechanism of issuance
of import licences for in-quota imports, in particular describe both procedures - based on a pro rata
basis and if applications exceed the TQ quantity, clarifying cases when import licences may be
granted by a lottery and when on a first-come-firstserved basis.
Answer: The Ministry of Agriculture and Rural Development issues its in-quota TRQs either
on a first-come-first served basis, or on a pro rata basis, depending on the demand for a
specific TRQ, the number of importers etc. The lottery issuance system has been phased
out from the Ministry's TRQ issuance mechanism.
More information regarding this issue will be forthcoming in Israel's updated notifications
under Articles 1.4, 8.2, 5.1-5.4 and 7.3 of the Import Licensing Agreement
15. How could Israel ensure that these import licensing arrangements are in conformity with the
requirements of the Import Licensing Agreement?
Answer: After reviewing the multilateral and bilateral agreements, and in light of the
aforementioned answers, in our view Israel fully complies with the Import Licensing
Agreement.
More information regarding this issue will be forthcoming in Israel's updated notifications
under Articles 1.4, 8.2, 5.1-5.4 and 7.3 of the Import Licensing Agreement
Page 75 (Para 4.18)
The Report states that "Up to the end of 2016, Israel used export subsidies for a limited range of
products, mainly for non-citrus fruits and for vegetables. During the period 2007-16, the budgetary
outlay for export subsidies varied from zero for the year ending 30 September 2007 to US$2 million
for the year ending 30 September 2011 (Table 4.4). Israel has stated that, as of 1 January 2023,
export subsidies will no longer be granted."
Questions:
16. Ukraine welcomes notification and modification by the State of Israel its schedule of
commitments, implementing the Nairobi Decision on Export Competition, nevertheless could the
State of Israel please elucidate reasons to keep on lending its export subsidy entitlements to certain
agricultural products till 1 January 2023 according to the WTO document G/MA/TAR/RS/511?
RD/TPR/969
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Answer: Israel will fully comply with WTO document G/MA/TAR/RS/511. However, Israel
reserves the right to gradually prepare for a complete phase out of its currently low export
subsidies by January 1st 2023.
17. Will any supporting measures for these products be planned in the future period, after 1
January 2023?
Answer: As of January 1st 2023, Israel intends to cease all export subsidies in accordance
with the WTO document G/MA/TAR/RS/511. Most of the support to agricultural exports
will be allocated to marketing promotion programs.
4.4 Services
4.4.1 Overview
Page 86 (Para 4.4.1)
According to the Report "Israel's specific commitments under the GATS cover 58 out of 160
subsectors."
Israel pursued unilateral trade liberalization in goods in recent years (in particular review of tariff
and non-tariff measures, elimination of tariffs on more than 1,300 tariff lines on consumer goods,
introduction of new voluntary tariff rate quotas for a number of products).
Question:
18. Does Israel have any plans within further liberalization of its services market access?
Answer: Israel is constantly seeking different ways to promote competition and reduce
the cost of living, and reviews specific sectors taking into account its domestic needs.
4.4.3 Banking
Page 87 (Para 4.4.3)
The Report describes the regulatory developments of the banking sector regime in Israel that have
occurred during the period under review.
Questions:
19. Could Israel, please, describe the procedure for assessment of transparency of banks'
ownership structures by the Bank of Israel: indicators of a non-transparent ownership structure and
approaches to revealing banks' beneficial owners?
Answer: Information on licensing and regulatory methodology is available on the Banking

Supervisions Department's website, please see link below:
http://www.boi.org.il/en/BankingSupervision/SupervisorMethod/Pages/Default.aspx
20. What are the requirements for authorization and licensing of non-banking financial institutions
in Israel (types of activities subject to authorization/licensing, key requirements to applicants,
approval procedure, including verification of sources of funds used for capital formation, assessment
of financial standing, business reputation and transparency of applicants' ownership structure)?
Answer: The term non-banking financial institutions refers to a very wide range of
institutions that may vary from one to the other in terms of regulation and requirements.
The information and policy regarding licensing and control of insurers, pension funds and
provident funds is published in the Capital Market, Insurance and Savings Authority's
website:
http://www.mof.gov.il/hon/Information-
entities/ControlLicensingandtransferofgoods/Pages/Licensing.aspx
http://www.mof.gov.il/hon/Information-
entities/ControlLicensingandtransferofgoods/Pages/Controlandpossession.aspx
21. What are the specific approaches to regulation of FinTech companies and supervision over
their activities in Israel?
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Answer: The Financial regulators supervise services provided by FinTech companies.

There is no specific regulation of FinTech companies at this point.
4.4.7 Tourism
The Report notes that "The Ministry of Tourism is responsible for planning, developing, and
marketing tourism. During the review period, the Ministry of Tourism has been marketing activities
in new emerging markets; providing incentives for investors that have resulted in an increase in the
number of hotel rooms from 47,800 in 2012 to 52,900 in 2017; and developing niche tourism (such
as medical tourism, bird-watching, wine, and gastronomy). As a result, there were 3.6 million
international incoming tourists in 2017 (up from 3.4 million in 2011; figures do not take into account
day visitors)."
Questions:
22. What marketing channels has the Ministry of Tourism used for marketing activities in new
emerging markets?
Answer: The Ministry of Tourism uses a verity of marketing tools to promote tourism to
Israel, such as:
 Marketing activities with airlines and tourists agencies
 Marketing agreements with leading tourism wholesalers
 PR activities and hosting journalists and bloggers
 Participating and presenting in leading conferences and exhibitions
 Special seminars (both physical and webinars) for tourism agents
 On-line and off-line campaigns
23. Are there any technical assistance programs, provided by Israel for developing countries,
aimed at sharing practical experiences and information on such matters?
Answer: The Ministry of Tourism (like other Ministries around the world) is a member of
the Organization of Chambers of Tourism that organizes regular meeting in which
members update and share relevant experience as well as discuss future work plans.
PART II: QUESTIONS REGARDING THE GOVERNMENT REPORT (WT/TPR/G/376)
3.4 Digital Israel

Page 14 (Para 3.4)
The Report describes the national initiative "Digital Israel" in the area of digital services in the public
and business sectors.
Question:
24. Ukraine would appreciate if Israel could inform more concerning set of government's
measures, in particular institutional, and relevant activities within the related national digital plan,
aimed at the above-mentioned initiative's implementation.
Answer: The government adopted a resolution on establishing "Digital Israel". The

mechanism for implementing the government resolution includes the coordination bureau
in the Prime Minister's Office which formulates a national digital plan in this area.
Following previous government decisions and in assessing the socioeconomic and

economic situation, in 2015 the government adopted an additional resolution. This
resolution includes the promotion of the "Digital Israel" project in close cooperation with
government ministries, the private sector and NGOs.
The resolution also included the establishment of additional implementation teams (as
well as digital leaders) in fields related to: local government (the Ministry of the Interior),
the Ministry of Justice, the Tax Authority and the National Insurance Institute.
To coordinate and integrate government work in order to advance the national initiative
and its goals, the government also decided to establish the Digital Israel Bureau that
operates within the Ministry for Social Equality. Among other tasks, the government
RD/TPR/969
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charged the Bureau with the responsibility for formulating a National Digital Program,
while accompanying the development of intra-ministry and inter-ministerial digital
programs, as well as programs to promote cross-government steps necessary for realizing
the national initiative.
To realize the vision of the national initiative the primary goals and the strategic
objectives of the national digital program were defined as follows:
To realize the goals and objectives of the national initiative, a broad scope of activities
was defined, encompassing a wide range of fields, services and products pertaining to the
Israeli government, to the economy and to society. Implementation areas were divided
into two groups: core areas and horizontal areas. Most likely, these areas will be updated
as the national initiative advances.
Page 15 (Para 4.6)

According to the Report "One of the most substantial developments in Israel in this field since the
last Trade Policy Review was the establishment of the Israel Innovation Authority. The Authority was
set up on the basis of the Office of the Chief Scientist in the Ministry of Economy and Industry. The
objective was to fulfil the missions assigned to it by the R&D Law in a more conclusive way, and to
provide more efficient and high-quality service to the Israeli innovation community. In order to do
so, the Authority operates with a structure of "innovation divisions" that allocate a cumulative budget
of approximately NIS 1.6 billion each year."
Question:
25. Could Israel provide more information on the current work of the Israel Innovation Authority
established in early 2016?
parliament ("Knesset") committees regarding innovation policy in Israel and furthermore
RD/TPR/969
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their businesses.

promote, implement and realize their innovative R&D ideas at various stages
Page 18 (Para 5.8)

The Report notes that "Unfortunately, some of the plurilateral initiatives Israel also took part in have
failed to materialize, notwithstanding the intensive work by all participants. These plurilateral
initiatives include the Trade in Services Agreement (TiSA) and the Environmental Goods Agreement
(EGA). TiSA aims to achieve an ambitious outcome, compatible with the GATS, that would attract
broad participation and that could be multilateralized in the future. EGA seeks to eliminate tariffs on
a number of important environment-related products with the objective of helping to achieve
environmental and climate protection goals. The benefits of a potential EGA would be extended to
the entire WTO membership, which show how some plurilateral initiatives can have an effect on a
multilateral level. At the moment the future of these initiatives remains uncertain, but Israel remains
open and willing to continue working towards their conclusion."
Question:
26. Could Israel elaborate on its vision with regard to its participation and further activities under
the multilateral initiatives, such as Trade in Services Agreement (TiSA) and the Environmental Good
Agreement (EGA)?
Answer: Israel believes that rules and/or liberalization steps in international trade should
go hand in hand with latest technological developments, and that the Multilateral Trading
System should be able to take part in addressing some of today's challenges.
Trade in services is rapidly growing and expanding. Advancements in technology and

transportation have not only affected the scale of trade, but also affect the very nature of
how trade in goods and services is conducted.
Israel believes that the rules of trade should evolve accordingly and modernize its
approach, which is over two decades old.
Israel further believes that the efforts to achieve a new Trade in Services Agreement,
encompassing over two thirds of world trade in services, could serve as a catalyst to the
Multilateral Trading System, bringing it up to date and enabling Members to conduct trade
in services in an updated rules based system that addresses the challenges and needs of
businesses in this era.
Another example are the EGA negotiations which could demonstrate how the multilateral
system can contribute to one of the most important challenges we are faceing today,
namely, climate change. We hope that both negotiations will be renewed soon.
RD/TPR/969
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AUSTRALIA
Report by the Secretariat (WT/TPR/S/376)

2 Trade and Investment Regimes
Table 2.3 Selected foreign ownership limitations by sector, 2018
Pages 24-25
The report includes a table that branches of foreign law firms must employ at least one Israeli
licenced lawyer or one foreign lawyer as defined in Israeli law.
Question 1
For further clarity, are there specific limitations on foreign lawyers practising in Israel?
Does Israel allow foreign lawyers to practise foreign or international law?
What is the legal basis for the limitation on legal services described in the table?
Answer: Israeli residency is required for obtaining a license to practice Israeli law.
Foreign licensed lawyers may practice foreign law and international law in Israel provided
that they are registered with the Israeli Bar Association.
The legal basis is the Bar Association Law, 1961 (Articles 20, 42, 98-98M)
Question 2
Does Israel maintain any other limitations on professional services, particularly engineering,
architecture and accounting?
Answer: There are no market access or national treatment limitations on engineering,

architecture and accounting. A corporation's tax return to the Tax Authority must be
certified by an auditor licensed in Israel. An auditor may be either an accountant or a tax
consultant, licensed in Israel. There is an Israeli residency requirement for obtaining a
tax consultancy license.

3 Trade Policies and Practices by Measure
Page 60, Paragraph 3.149
The report states that, Israel has been a signatory to the WIPO Copyright Treaty and the WIPO
Performances and Phonograms Treaty since 1997, however Israel has not ratified these
agreements.
Question 3
Does Israel have plans to ratify these treaties? If so, what are Israel's timeframes for domestic
implementation of these treaties.


4 Trade Policies by Sector
4.4 Services
4.4.2 Financial Services
Page 86-87, Paragraph 4.61
The report discusses the establishment of a deposit insurance scheme to help small banks compete
for additional customers.
RD/TPR/969
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Question 4
Is the deposit insurance scheme available to all deposit-taking institutions, including foreign deposit-
taking institutions?
Answer: While the Secretariat Report discusses the establishment of a deposit insurance
scheme, such insurance is not yet in use in financial institutions in Israel. The terms and
conditions as well as the applicability of the deposit insurance scheme are still being
considered.

4.4 Services
4.4.6 Transport Services
4.4.6.1 Maritime transport
Page 92, Paragraph 4.87
The report provides an overview of reforms to port tariffs and operations aimed at improving the
efficiency of the fee regime and productivity of ports.
Question 5
What has been the impact of the reforms on port productivity?
Answer: The tariff reform improved the service provided to the port users due to increased
competition between the port operators. An overall assessment of the reforms on port
productivity is not available at this time and may probably be addressed only after the
completion of all the reforms in the sector.

4.4 Services
4.4.6 Transport Services
4.4.6.1 Maritime transport
Page 92-93, Paragraph 4.89
The report describes subsidies for Israeli flagged and Israeli controlled vessels for employing Israeli
officers and cadets on board.
Question 6
What is the policy objective for these subsidies?
Answer: The objective is to maintain a sufficient level of professional capabilities and

maritime knowledge, which may otherwise be lost due to the high costs of employing
Israeli personnel.
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BRAZIL
QUESTIONS REGARDING THE REPORT BY THE SECRETARIAT (WT/TPR/S/376)

Page 21 (Para. 3.82)
Israel has made a total of 13 notifications (including revisions, addenda, and corrigenda) to the WTO
on SPS measures, most recently in 2011 on the approximation with OIE guidelines relating to BSE
on the importation of live animals and animal products. Four specific trade concerns have been
raised about SPS measures taken by Israel, all of which have been resolved. In addition to
notifications of SPS measures, some of the notifications on technical barriers to trade are concerned
with protection of human health or safety, protection of animal or plant life or health, or protection
of the environment. From 1 January 2012 to 31 December 2017, 60 such notifications were made
(including revisions, addenda, and corrigenda) about products under HS headings 1 to 24 (all for
food and beverages, except for one notification on tobacco products). Some of these notifications
may include references to SPS measures.
Question 1: Only in the last 12 months, six notifications to the TBT committee referred to food
products, including meat, and had as justification the protection of human health and safety. Some
of them even mentioned food contaminants (heavy metals, pesticide residues and mycotoxins), food
additives, microbiological requirements, and processes such as inspection and quarantine. How does
the choice between notification to the TBT Committee and to the SPS Committee occur?
Question 2: Why does Israel not notify such measures simultaneously in both Committees, in
accordance with the recommended procedures for implementing the transparency obligations of the
SPS Agreement set forth on G/SPS/7/Rev.4? Does Israel intend to follow such recommended
procedures in the future?
Answer to questions 1 & 2: During the preparation of the Secretariat Report we have been
made aware that some TBT notifications may, in fact, be more relevant to the SPS
mechanism. We thank the Secretariat and Members for drawing our attention to that
possibility. We plan to look into the matter. Any Member that has an interest in a particular
TBT notification is invited to indicate it to us.
RD/TPR/969
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EUROPEAN UNION
WT/TPR/S/376 – WTO Secretariat's Report

2 Trade and Investment Regimes
Paragraph 2.21, Page 24
According to the report, Israel maintains foreign-ownership restrictions in a few sectors, including
air and maritime transport, telecommunications and broadcasting, and energy, mainly for public
interest and energy security reasons.
EU question No 1: Does Israel intend to modify its offer in GATS in order to reflect its current
regulation, at least in the Telecommunication services sector, which allows a higher foreign equity
participation in most of its subsectors?
Answer: There is no such intention at this time.

According to the report, eligible foreign or domestic investments in industrial projects benefit from
assistance pursuant to the Law for the Encouragement of Capital Investment. The EU already
required clarifications in the last Trade Policy Report for Israel concerning the aid intensity that can
be granted to a company and whether tax incentives and the grant can be combined.
EU question No 2: Could Israel clarify whether, from the last Trade Policy Review, there have been
changes in the Law for the Encouragement of Capital Investment concerning the aid intensity that
can be granted to a company and whether tax incentives and the grant can be combined?
Answer: Regarding grants – from the last Trade Policy Review there has been no change
concerning the aid intensity of the grants.
Regarding tax benefits - The corporate tax rate in priority area A was reduced from 10%
in 2011-12 to 9% as from 2014, and to 7.5% as from 2017; elsewhere, the rate increased
from 15% in 2011-12 to 16% as from 2014 (the standard corporate tax rate was reduced
from 26.5% in 2014-15 to 23% starting from 2018).
The tax incentives and the grant may be combined.

The table lists a series of limitations of foreign ownership by sector.
EU question No 3: Is Israel envisaging a modification of the list of sectors where foreign ownership
thresholds apply also as a means of inducing competition in the shielded sectors?
Answer: Israel is constantly seeking different ways to promote competition and reduce
the cost of living, and reviews specific sectors taking into account its domestic needs.

3.1 Measures Directly Affecting Imports
3.1.1 Customs procedures, valuation and requirements
Table 3.2 of the report indicates time and cost of border and documentary compliance for imports.
While indicators have definitely improved in the period 2012-2018, the cost and time for operators
are still well above the OECD high-income countries' average.
EU question No 4: Could Israel explain the strong discrepancy in time and costs for border and
documentary compliance towards the average of OECD high-income countries? Is Israel envisaging
any measure to improve those indicators and continue the positive trend of 2012-2018?
Answer: According to our understanding the World Bank's rating was based on data that
included some procedures that are not within the scope of the Customs Authority. For
example, the costs and time lines for unloading shipments at the ports are not controlled
RD/TPR/969
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by the Customs Authority. Therefore, in our view the rating is an inaccurate indicator for
the performance of customs clearance. Taking into consideration only the factors that are
under the Customs Authority's responsibility 95% of the import consignments to Israel
are released within one hour.
3.1.4 Other charges affecting imports

Paragraph 3.24, page 33
According to the report, Israel applies value added tax on imported and domestic goods and services.
Israel is revising its current system and one of the measures of the ongoing reform is to set a
threshold below which "personal imports" do not pay some taxes and tariffs.
EU question No 5: Could Israel provide more information about how the so-called "personal imports"
will be defined?
Answer: At this point we are not aware of a decision to change the current thresholds .
Personal imports are currently defined in the Free Import Order -2014 as imports: 1)
not through a dealer 2) not intended for the purpose of supply, manufacturing or for
providing services and 3) are imported in a reasonable quantity for personal or family use.

According to the report, Israel uses an assessment called TAMA for the imposition of purchase taxes
on imported products, which approximate local wholesale prices by adding estimated profits,
insurance and inland freight to the declared value of imports. The effect of the TAMA is similar to an
import surcharge. TAMA was cancelled for alcoholic beverages in 2014 and replaced by a specific
tax.
EU question No 6: What are the products currently targeted by this measure? What is the rationale
for the imposition of this import surcharge on certain products?
Answer: TAMA applies only on car parts and jacuzzis and is applied on imported goods
where a purchase tax is imposed and is expressed in ad valorem terms rather than specific
duties. The purpose of TAMA is to equate the purchase tax calculation basis for
domestically manufactured goods and imports. As the basis for calculation of the tax for
domestic goods is the wholesale price (thus increasing the calculation basis), TAMA is
added to the import price. Alternatively, importers have the option of declaring the actual
wholesale value of their products.
3.1.5 Import prohibitions, restrictions, and licensing

According to the report, Israel maintains a ban on imports of non-kosher meat and meat products
(Kosher Meat Import Law of 1994).
EU question No 7: Is Israel considering accepting the import of non-kosher meat and related
products, the same way it is possible to import other non-kosher products? Could Israel explain why
the local production of non-kosher meat in Israel is possible while the importations are banned?
Answer: There is no intention to accept the import of non-kosher meat and related
products. In order not to restrict totally the minorities in Israel who do not keep the
religious practice of eating kosher meat, the sale of non-kosher meat is permitted in
Israel.
EU companies would be interested in exporting meat to the Palestinian Territories. Paris Agreement
gives Israel the control on the meat export that will transit in Israeli Territory.
EU question No 8: Even though meat imports addressed to the Palestinian Territories (in transit in
Israel from Ashdod or Haifa ports) are halal, the EU would like to know if those are affected by the
kosher meat policy.
Answer: Halal does not fulfil kosher requirements but we note that in light of the Paris
Agreement the Palestinians are entitled to an annual import quota of meat of 1,300 tons
to which kosher requirements do not apply.
RD/TPR/969
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3.2.4 Export support and promotion

Paragraphs 3.54-3.55, pages 39-40
Under the Eilat Free Trade Zone Law of 1985 and under the Free Port Zone Law of 1969, companies
located in Eilat benefit of tax concessions and other benefits.
EU question No 9: The EU would like to receive additional information on the budget and expenditure
of these two measures (Eilat Free Trade Zone law and Free Port Zone law), as well as on their
envisaged duration.
Answer: The measures are aimed to promote the development of the Red Sea's coastal
city of Eilat which is located at Israel's most southern border and other areas around it.
These measures are currently ongoing with no specific termination date. Since the nature
of the measures is consumption based, it varies significantly from time to time, therefore
the data is not available.

3.3.2 Standards and other technical requirements
Israel has recently been working on new regulation on marking of nutritional values on certain
categories of food (mandatory as of 1 January 2020) and on the draft secondary legislation of the
law on cosmetics. The EU provided its comments within the WTO-TBT Committee. Some of the rules
that are included in the law on nutritional marking and in the draft secondary legislation on cosmetics
may result in unnecessary barriers to trade.
EU question No 10: What is the status of the secondary law on cosmetics? How will Israel ensure
that the application of those rules will not result in unnecessary market access barriers and therefore
in increased prices for consumers? Could also Israel clarify whether the opening of the Israeli
cosmetic market include the perfumes?
Answer: The purpose of the proposed regulations is to open the market to more
competition while still maintaining the safety and quality of the cosmetics market in
Israel. This is part of a broader effort to further lower barriers to imports into the Israeli
market in order to reduce prices and improve the quality of goods for the consumer's
benefit. The proposed regulations are still being discussed including the status of
perfumes.

As of 1 January 2016, the Regulatory Impact Assessment (RIA) is a necessary requirement to initiate
any governmental legislative initiative.
EU question No 11: Could Israel explain how does this procedure assure the participation of relevant
stakeholders, including international trade partners?
Answer: The decision of whom to include as relevant stakeholders in the RIA procedure
is made on a case by case basis.
It should be noted that most draft regulations are required to be published on the Ministry
of Justice's website for public comments as to assure relevant stakeholders, including
trading partners, of participation in the legislative process.

The report states that Israel has taken steps to align its standards to international ones and that
recent Amendments to the Standards Law of 1953 require the adoption of international and regional
standards in place of Israeli standards that have no national deviations, and also set out timetables
for a three-year re-evaluation of all mandatory standards, by August 2019. Table 3.13 illustrates
the equivalence of Israeli standards with international ones as of 2017.
EU question No 12: In the context of the reform of the Standard Institute of Israel (SII) is Israel
envisaging a full alignment of all its mandatory standards with international ones and if yes, in which
timeframe? How does the process of reform make sure that all standard setting bodies (such as
Ministries of Health, Transport, Agriculture and so on) are duly involved?
RD/TPR/969
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Answer: The substitution of Israeli standards by international standards is a continuing

process. The standards are revised according to an annual program with the intention of
replacing them with international standards, if such exist.
The standards are developed by public standardization committees in which all relevant
government ministries participate. The requirement to adopt international standards
involves all aspects of the standardization process and all the standards committees.
Paragraph 3.80 3.81 3.83, pages 44 and 45

EU companies encounter difficulties to provide input in the process of developing standards by the
Standards Institution of Israel (SII).
EU question No 13: Does Israel accept certificates and test reports as proof of compliance with its
technical regulations and standards from foreign laboratories? Under which conditions?
Answer: In addition to the US-Israel and Canada-Israel MRA agreements on recognition

of test certificates of telecom equipment and to the ACAA agreement on GMP, signed with
the EU, the Standards Institution of Israel has a lengthy list of B-2-B agreements with
European and other foreign laboratories.
Israel is also part of the CB Scheme. In addition, when imports fall into product groups
that require only a Supplier's Declaration of Conformity to be released from customs, it
suffices to submit a certificate from a foreign laboratory that is accredited by an
accreditation organization that is a an ILAC member.
As regards the complaint implied above, we are not aware of any problem EU companies
have encountered.
EU question No 14: Could Israel explain why its authorities require, under certain circumstances,
extra Good Manufacturing Practices (GMP) certificate for different sectors of the EU exports?
Answer: According to Public Health Regulations (Food) (Dietary Supplements)-1997,

dietary supplements should be manufactured by a GMP certified manufacturer.
According to Public Health Regulations (Food) (Gluten Labelling)-1996, food products
labelled "gluten free" should be manufactured by a GMP certified manufacturer.
EU question No 15: Could Israel explain why its authorities do not recognize international standards
or EU standards in food registration?
Answer: Food imported to Israel has to comply with the Israeli legislation which aligns
with the international standards of Codex Alimentarius and with legislations such as of
the European Union and the United States. This is the case in many areas such as food
additives, pesticide residues, contaminants, commodity standards, bearing in mind that
no full global harmonization has yet been achieved in food standards.
3.3.3 Sanitary and phytosanitary requirements

Paragraph 3.90-3.92, page 47
Reference is made to the importation of live animals and animal products in light of the most recent
developments.
EU question No 16: In light of the recent recommendations formulated by the inter-ministerial

advisory committed under the leadership of the Israeli Ministry of Agriculture what steps do Israel
plan to take to ensure that international trade is carried out in line with multilateral obligations?
Answer: The position of the inter-ministerial advisory committee on related aspects of

animal welfare as well as that of the professional levels at the Ministry of Agriculture and
Rural Development is to ensure both the continuation of imports of live animals while
constantly improving and adequately monitoring all aspects of animal welfare of the
shipments in line with Israel's international commitments.
RD/TPR/969
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Paragraph 3.104, Page 50.

The report states that the Chief Rabbinate of Israeli has exclusive competence over kosher
certification and the recognition of kosher certifying bodies outside Israel.
EU question No 17: How many certifying bodies outside Israel have been approved by the Chief
Rabbinate of Israel? Are there clear requirements for those bodies to be certified? Is there any third
country in which local rabbis are authorized by the Israeli Chief Rabbinate to certify kosher
slaughtering for meat to be exported to Israel? If this is the case, why this possibility is not extended
to other WTO members?
Answer: Regarding kosher certificate, the chief Rabbinate is the competent authority for
the certificates. The Chief Rabbinate issues a list of rabbis located worldwide, whose
certificates are recognized.the list is published on the Chief Rabbinate's website:
https://www.gov.il/he/Departments/publications/reports/pirsum_yevu2
Local rabbis are not authorized to certify slaughtering for meat to be exported to Israel;
only representatives of the Chief Rabbinate of Israel are authorized to certify kosher meat
slaughtering.
3.3.4 Competition policy and price controls

According to the report, the main competition legislation in Israel is the Restrictive Trade Practices
Law, 5748-1988 (RTP). It provides the legal grounds upon which the Antitrust Commissioner and
the Israel Antitrust Authority (IAA) regulate restrictive arrangements, merger transactions,
monopolies and concentration groups.
EU question No 18: What further actions will be taken to make use of all means at the disposal of
the IAA to apply competition law (including leniency), also in light of the information provided in
Table 3.15?
Answer: The means which the IAA is authorised to use, in order to apply competition law,
are elaborated in part 3.3.4 of the Secretariat Report. Among these actions are,
investigating criminal proceedings, imposing administrative fines, blocking mergers,
declaring of monopolies and instructing measures to be taken by a monopolist or a
concentration group in order to prevent hindering competition. All these tools are given
to the IAA by the RTP law. Furthermore, according to the RTP law, the Antitrust Director
General may determine whether different obligations according to the RTP law have been
violated. For example, the Director General may determine that a particular monopolist
abused or is abusing its dominant power. A determination can be used as evidence in any
judicial proceedings, including class actions taken by citizens. As reflected in the table
mentioned in the question the IAA also has a program which allows for leniency towards
whistle blowers that were involved in infringement of the Law.
The IAA also acts as an advisor to the government in order to assist in promoting
competition in Israel.
Authority to initiate administrative proceedings, is also granted to the IAA by the "Food
Law". The Director General is authorised to give instructions to a big retailers, in order to
prevent hindering competition. In case that the retailer does not follow the instructions,
they may be subject to administrative fines or criminal proceedings.
EU question No 19: How many complaints leading to investigations have been received?
Answer: The numbers are detailed in the following table:

Year Number of complaints leading to investigations
2012 4
2013 3
2014 1
2015 0
2016 2
2017 0
RD/TPR/969
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According to the report, the Food Sector Law 5774-2014 prohibits, limits and regulates certain
practices that could potentially be used by major suppliers or retailers to limit competition.
EU question No 20: Is there any plans for allowing a foreign company to own 100% equity in the
retail sector in the future?
Answer: The Promotion of Competition in the Food Sector Law, 5774-2014 (Food Law)
was enacted to increase competitiveness in the food sector and reduce product prices.
The law does not restrict foreign equity in the retail sector.

The report states "(…) However, some external sources suggest creating independent regulators
with well-defined mandates (e.g. in the telecoms, postal services, and gas sectors) to improve
competition."
EU question No 21: In addition to the Capital Markets, Insurance and Savings Authority mentioned
in page 9 of the report, will other independent regulators be established? If so, which ones?
Answer: there is no intention of establishing such other regulators at this point
3.3.5 State trading, government-linked enterprises and privatization

Government companies are subject to the general Companies Law and to the Government
Companies Law of 1975 (the GCL). The Government Companies Authority (the GCA) is responsible,
inter alia, for supervising, restructuring and privatization.
EU question No 22: Has GCA veto power in commercial operations with public entities involved?
Answer: The GCA has no veto power. It should be noted that according to the Government
Companies Law the GCA may send a representative to participate in the meetings of the
board of directors but the representative neither has the right to vote nor be considered
for the purposes of a quorum.
EU question No 23: In the restructuring and privatization process, does the GCA or a separate body
exercise a form of subsidies control?
Answer: A governmental company that has been privatized may not receive a financial
subsidy from the government by virtue of the fact that it was formerly a governmental
company.

According to the report, reforms have been carried out for improving the regulatory framework to
ensure competitive neutrality between public and private firms in the same market in terms of
regulation, financing and taxation. SOEs are strongly represented in defence and many network
industries (maritime and rail transport, postal services, water management, electricity and other
energy-related activities).
EU question No 24: Are SOEs entrusted with providing services of general economic interest or other
exclusive activities? If so, what is the procedure for granting these rights? In case they conduct
other economic activities, is a separation of accounts envisaged?
Answer: Most governmental companies have been established in order to supply an

essential service to the public. In addition, they may engage in other business activities
The establishment of a governmental company requires a government resolution in
accordance with the Government Companies Law. The resolution will be approved
following a proposal by a relevant minister together with an assessment submitted by the
GCA. The resolution will determine the companies objectives, capital structure,
composition of the board of directors and the minister responsible for the company's
activities.
In theory the GCA may request disclosure of information concerning all governmental
company's activities if such disclosure is in the public interest . In practice, there is a
RD/TPR/969
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separation in disclosure of accounts in certain situations, for example, regulators that

determine fees charged by governmental companies, tend to require separation of costs
between those needed to cover the essential service activities provided by the company
from costs related to other activities of the company.
3.3.6 Public Procurement

Paragraph 3.131, Page 55.
The report recalls that Israel benefits from an exemption from certain GPA rules, by which Israel
applies offset percentage for procurements (20% of the value of the contract for procurements
covered by GPA obligations; 35% for procurement excluded from GPA coverage and 50% or military
procurements). The exemption is valid until 2019. The EU reiterates its opinion that the offset regime
creates a burden and obstacle especially for SMEs to compete in the government procurement
market.
EU question No 25: How does Israel assess the results of the application of the offset procedure?
How is Israel preparing for the expiry of this exemption?
Answer:
The offset right Israel negotiated as part of its GPA accession was, and to a certain extent
still is viewed by Israel as an essential part of its industrial policy. Being a small, island-
like economy the offset mechanism exposed foreign companies to the Israeli industry's
capabilities on the one hand, and on the other hand, encouraged Israeli companies to
improve their products in order to meet higher standards and requirements of foreign (in
some cases more sophisticated ) companies, thereby becoming more competitive both in
the Israeli market as well as abroad.
The offset will be gradually eliminated for GPA Members starting in 2019 until 2029 as
specified in Israel's Note to its GPA Schedule.
We disagree with the EU's position regarding the offset mechanism as stated above, and
note that the Israeli government procurement market is very open. We further note that
it is Israel's experience that government procurement is a very challenging area for SME's
in any market including that of the EU's.
Paragraph 3.134 page 56

According to the report, each exemption from public tender must be published on the website of the
Government Publications Office within five days; this is a prerequisite for the entry into force of the
exemption decision. The EU believes that the information on public tenders should be more readily
available in English and easily accessible for foreign bidders.
EU question No 26: Is Israel envisaging any actions that would allow to access to all necessary
documentation for a bid in English?
Answer: No, and we do not recall that there is any obligation to do so under the GPA.
3.3.7 Intellectual Property Rights

Page 62
Contrary to major developed economies, Israeli IPR legislation still does not provides for data
protection for biological medicines.
EU question No 27: What is the status and, possibly, the timeframe of the process leading to the
drafting and approval of a legislation ensuring data protection for biological medicines?
Answer: Israel is in the preliminary stages of reviewing the issue. There is no timeframe
at this point. We recall that data protection for biological medicines is not required under
the TRIPS Agreement, and in particular not under Article 39(3) of the TRIPS Agreement.

4.1 Agriculture, Forestry, and Fisheries
4.1.1 Agriculture
4.1.1.3.2 Internal policies
RD/TPR/969
- 50 -
As well as Government report point 3.1, page 11
Given the policies of the dairy and eggs sectors described in the report, which in some years lead to
the overpassing of amber box limits, as well as the Israel political determination in introducing
reforms aiming at enhancing competitiveness, reduce the high cost of living and reduce regulatory
burden referred to in page 11 of the government report:
EU question No 28: Could Israel indicate whether it intends to advance with reforms for the dairy
and eggs sectors similar to what has been done for beef? In particular, could Israel explain the main
instruments Israel intend to use in carrying out this reform and how these will help Israel to comply
by its Amber box limits?
Answer: Discussions are still being held between relevant stakeholders and government
representatives regarding reforms in the dairy and table eggs sectors with government
support, with the following aims:
Improving production infrastructures in terms of animal welfare and environmental

aspects
Expanding the units of production in order to improve farmers' profitability and mainly
further reducing the costs of production in order to further reduce consumer prices of
these products
Further liberalization of trade measures regarding increased imports of these sectors'

related products
EU question No 29: Could Israel explain what is the state of play in reforming the agricultural support
system possibly switching from protection through border measures (high tariffs) to direct subsidies
for farmers?
Answer: In 2016, the Ministry of Agriculture and Rural Development and the Ministry of
Finance initiated a process to reform the agricultural support policies through the
reduction of market price support and the introduction of direct payments to farmers.
The above mentioned reform of the agricultural support system is still undergoing
evaluation, mainly following the implementation over the last two years of three related
pilot programs in the following sectors:
1. Beef:
 An agreement between cattle producers and the government that foresees
increased TRQs for imported fresh and chilled beef from 7,500 tons in 2016 to
17,500 tons in 2020, combined with gradual reduction of the MFN tariffs on the out
of quota imports from 12% plus 1,300 ILS (USD 339) per ton in 2016 to 12% with
zero ILS in 2020.
 On top of the ongoing 7 year support program of ILS 23 million which was agreed
upon in 2014, an additional direct support program to the grazing cattle growers
until 2024, has been agreed upon - gradually rising in accordance with the increase
of the TRQs and tariff reduction from ILS 12 million in 2017, up to ILS 16 million
in 2021 and on.
 ILS 4 million (out of the abovementioned sums) will be allocated annually to
improve professional practices.
2. Dairy
 The government has granted ILS 65 million of direct support to dairy farmers for
the years 2014- 2018, mainly aimed for production upgrading investments. In
return, the guaranteed prices for raw milk decreased in 2016 – by an average of
9% and gradual liberalized import regime for selected dairy products has been put
in place as follows:

2014 1,250 750 750
2015 1,500 1,000 1,000
RD/TPR/969
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2016+ 2,000 1,250 1,200

2014 4,200
2015 4,800
2016 5,400
2017 6,000
2018+ 6,500
3. Fishery
 A special upgrading program consisting of ILS 30 million has been granted to this
sector for R&D and marketing promotion of fresh fish as well as for direct payments
based on past production for the period 2016 until 2023.
 In addition, ILS 77 million have been allotted during 2017 to 2020 as support to
the fish growers, in the form of 60% grants, for the implementation of an
environmental related aspects reform.
by 50% from 15 NIS/KG to 7.5 NIS/KG. Further tariff reductions will be examined,
based on fish growers' profitability over the coming years.

4.2 MINING AND ENERGY
4.2.2 Natural Gas
According to the report, Israel has a natural gas export policy (Government Decision No. 442 of 23
June 2013), whereby, starting from June 2013, approximately 540 bcm of production is reserved for
the domestic market and around 300 bcm for export. The Ministry may order to domestic needs are
met first at market prices. Exports require permits.
EU question No 30: Is the export to Egypt still on the table? Would it need a construction of a new
gas pipeline? If so, would it get to Damietta plant?
Answer: As stated in the Report "in 2018, the Tamar owners and Leviathan owners
concluded two agreements to export a total quantity of 64 bcm of natural gas to Egypt
(32 bcm from each reservoir)." Further details are not available at this point.
4.2.3 Electricity
Paragraphs 4.50 and 4.51, page 84
According to the report, the Government pursues the objective of fostering a competitive market
structure in electricity generation, while maintaining a natural monopoly in transmission, and
regional monopolies in distribution. Reforms of the electricity market have been implemented to end
the monopoly of the Israel Electric Corporation (IEC), mainly through the licensing of independent
power producers.
EU question No 31: When the reform of the electricity sector will be concluded? Could Israel
anticipate which are the perspectives of such reform?
Answer: The reform of the electricity sector includes 3 major elements:

1. Establishment of a new independent system operator to replace the current SO
unit in IEC, as a separate government owned company, starting December 2019
2. Reduction of IEC's market share in the production segment by privatizing 5
production sites with total capacity of 4500 MW, over a period of 60 months,
starting December 2019
3. Introduction of competition in the retail segment to households - this measure is
still pending final approval of the Knesset.
EU question No 32: Could Israel explain what measures are foreseen to support the increase of
renewable energy production?
RD/TPR/969
- 52 -

the document in the following link:
WT/TPR/G/376 – Israel Government's Policy Statement

3 Structural and Sectoral Reform Initiatives
3.1 Main Initiatives
Services represent ca. 80% of Israeli GSP, but the presence of international operators in some
sectors is negligible, like in the retail banking, insurance, food retail or construction.
According to the Government report, a series of reforms have been initiated to address the relatively
high cost of living and, in particular, several reforms are underway in the financial services sector.
EU question No 33: Given the influence of services on the cost of living, is Israel envisaging any
action to promote the presence of international actors?
Answer: Israel is constantly seeking different ways to promote competition and reduce the cost of
living, and reviews specific sectors taking into account its domestic needs.
EU question No 34: With particular reference to the financial sector, could Israel list the reforms in
the final service sectors and whether these will results in an increased openness of the Israeli
market?
Answer: Since 2012, regulators have taken various steps to improve stability, competition, and
investors' confidence in banks, institutional investors, and the capital market.
In 2013 the Zaken Committee proposed the following major reforms:
Increasing competition in the provision of credit to households and small businesses by non-bank
institutions;
Removing impediments to switching from one bank to another by improving and streamlining the
process of transferring direct debits from the old bank to the new one.
In 2015 the Strum Committee addressed the problem of increasing the level of competition in the
banking system and in the credit market by the following proposals:
The separation of two credit card companies from the two largest banks and the possible separation
of the third card company from its two mid-sized bank owners;
Expanding access to the clearing and settlement infrastructures by regulating these in accordance
with the EU Payment Services Directive, along with an increased role for nonbanks in credit
provision.
In 2016 the Baris Committee addressed the regulatory framework for non-banking credit
institutions by proposing the regulators introduce reforms or specific relegations in the following
areas:
Section a (Baris-1) –
Non-institutional credit - direct credit, leasing and credit services while providing other
services, including discounting, credit facilities and guarantees.
Deposits without credit - the preservation and management of financial assets.
Payment service providers (transfers) and currency, as well as currency
conversions (excluding credit).
Section b (Baris 2) –
Cooperative banking - in terms of credit unions and deposits.
Non-interest non-profit credit and deposit institutes (known as "G'Machim")
Section c (Baris 3) –
RD/TPR/969
- 53 -
Peer-to-Peer ("P2P") Online brokerage and lending platforms
3.3 Antitrust and Competition

Israel mentions, as new primary legislation adopted, the "Enactment of the "Promotion of
Competition and the Reduction of Concentration Law".
EU question No 35: What is the institutional setup of the Centralization Committee? How are its
member nominated? Does it have an advisory role in all circumstances or can it eventually issue
binding opinions?
Answer: The Centralization Committee is established according to the Promotion of

Competition and Reduction of Concentration Law ("The Concentration Law"). The
Antitrust Commissioner is the head of the committee, and the other members are the
Director General or the Chief Economist of the Ministry of Finance, and the Director
General of the national economic council. The committee's role is only an advisory role.
5 Israel's Trade Policy

5.4 Bilateral Trade Agreements
The Policy Statements lists a series of recent negotiations on bilateral agreements that Israel has
with trade partners, such as Colombia, Panama and Canada.
EU question No 36: What are the main innovations of the latest bilateral agreements in terms of
content and scope?
Answer: From Israel's perspective the above mentioned agreements (Colombia and
Panama new and Canada revised) are all more modern compared to the agreements Israel
signed before 2013, and in some cases include separate chapters on areas not covered in
detail, in Israel's previous agreements. For example, all three agreements have TBT and
SPS chapters and both agreements with Colombia and Panama include chapters on
services and investment protection. The Agreement with Canada goes further to include
chapters on trade and environment/labour/gender.
Additional questions
Israel is supporting the participation of foreign companies in different sectors in the country, but
there is not enough normative to support the management of working visas.
EU question No 37: Does Israel intend to automatize and reduce the cost of short working visas for
EU citizens?
Answer: An inter-ministerial committee is currently examining the policy regarding short

term entry permits, including costs. The committee is not expected to discuss the
automatization of short working visas for EU citizens.
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Trade Policy Review Body Original: English/anglais/inglés

UNOFFICIAL ROOM DOCUMENT1

17 AND 19 JULY 2018

REPLIES TO ADVANCE WRITTEN QUESTIONS

Organe d'examen des politiques commerciales

DOCUMENT DE SÉANCE NON OFFICIEL1

17 AND 19 JULY 2018

REPLIES TO ADVANCE WRITTEN QUESTIONS

Órgano de Examen de las Políticas Comerciales

DOCUMENTO DE SALA NO OFICIAL1

17 AND 19 JULY 2018

REPLIES TO ADVANCE WRITTEN QUESTIONS

* In Original language only/En langue originale seulement/En el idioma original solamente.

3. Trade Policies and Practices By Measure

A geographical indication may also be eligible for protection as a registered certification

3. Trade Policies and Practices By Measure

3. Trade Policies and Practices By Measure

4. Trade Policies By Sector

4. Trade Policies By Sector

Full Exemption WTO TRQs (Tonnes)

Full Exemption WTO TRQs (Tonnes)

2. Trade and Investment Regime

3. Trade Policies and Practices By Measure

3. Trade Policies and Practices By Measure

3.1.6 Antidumping, countervailing, and safeguards measures

Answer: The decision not to apply a duty is definitive.

3. Trade Policies and Practices By Measure

3. Trade Policies and Practices By Measure

3. Trade Policies and Practices By Measure

3. Trade Policies and Practices By Measure

1) Mutual recognition with other international AEO programs

3. Trade Policies and Practices By Measure

1. Can you describe the levels/percentage of participation of the Israel Innovation

The innovation divisions include:

 Start-up Division (Technological Incubators, Early Stage)

3. Through which strategies is Israel fighting the economic challenge related to

1. The adoption of advanced manufacturing techniques is at the core of a national

 A target of 40% increase of students in universities and colleges enrolled in Hi-Tech

4. In addition to the protection of intellectual property, what are other fundamental

The Technological Infrastructure Division focuses on collaboration between industry and

The Advanced Manufacturing Division focuses on promoting the implementation of R&D

The Societal Challenges Division focuses on improving productivity through technological

The International Collaboration Division is responsible for creating bridges to new

Answer: Israel has identified the phenomenon of using international trade as an

We strongly support more cooperation between countries under frameworks such as

3. TRADE POLICIES AND PRACTICES BY MEASURE

3. TRADE POLICIES AND PRACTICES BY MEASURE

Trade Policies By Sector

Answer: Israel does not maintain subsidies for fossil fuels.

4. Trade Policies By Sector

Answer: An overview of Israel's renewable energy scheme is available in pages 19-20 of

4. TRADE POLICIES BY SECTOR

4. TRADE POLICIES BY SECTOR

Part I. Questions based on Report by the Secretariat

Page 27, para3.7

Page 28, para 3.8

Page 27, para 3.9

Regarding the participation of the business community, we maintain on-going contact

Page 70, para 4.3

1. The scope and location of areas required to maintain agricultural production

Page 83, para 4.45

Page 83, para 4.46

Question 8: how are the anti-monopoly measures in LNG market performed?