Flat Honey Usage in Israel

TEL AVIV - Sep 9/02 - STAT -- Honey consumption in Israel remains unusually low, despite the traditional use of honey in making Middle Eastern pastries.

As a result, production rarely exceed 3,000 metric tons (MT) and imports only amount to a few hundred tons per year in support of an annual per capita consumption rate of 0.5 kilograms.

Commenting on the sector, the U.S. agricultural attache here notes Israel's bee industry is important to the fruit and field crop sectors of agriculture as a provider of pollination services. As such, its honey is protected from foreign competition. The high prices of domestic honey tax consumers to subsidize the pollination of the crops.

The government import policy applies prohibitive tariffs to all but a small quantity of honey for which it has granted TRQs in bilateral trade agreements. U.S. honey pays 75% of the MFN rate for an unlimited amount of imports. In contrast for example, Bulgarian honey pays 50% of the MFN rate on a TRQ of 150 MT. Duties on all but packages of 1.5 kg or more are prohibitive, directing all imports to producer-wholesalers who import in barrels and repackage for the retail market.

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