Agriculture is a principal pillar in the Palestinian economy and accounts for approximately 8% of GDP (2007 est.). This sector plays a crucial role in creating job opportunities with 14.9% of employed persons in the West Bank and Gaza Strip (WBGS) working in agriculture, fishing and forestry as of September 2008.¹

The Agricultural sector generates around 25% of all Palestinian exports, the main cash crops being citrus, strawberries, cut flowers, and cherry tomatoes from the Gaza Strip and tomatoes, cucumbers, eggplants, beans and peas, as well as olives, olive oil and a wide variety of herbs from the West Bank.

The target export markets include Israel, the EU, Saudi Arabia and other countries in the Gulf region. However the majority of exports from the West Bank go to Israel whereby Gaza relies heavily on exporting mainly strawberries and carnations to the EU.

Palestinian agricultural products enjoy a good worldwide reputation for being grown naturally and organically. Palestinian farmers and consumers do not tend towards genetically improved and chemically enhanced crops, and this makes a good marketing opportunity for the sector.

A variety of good quality produce is available nearly all year round because of the climate and environment in Palestine. However, crops are usually grown using traditional low-risk, low-input methods due to the dependency on rainfall.

A new business venture is currently being introduced to enhance the production and export of Palestinian agricultural produce. The newly established "Moon Valley Enterprises Limited" aims to develop new products and help expand high quality facilities, as well as organize suitable logistics and export support for delivery of goods to foreign markets. Designing, branding and packaging of Palestinian agricultural products is also a principal activity, which will increase employment and open doors for other sectors. The UK based founders of Moon Valley have already paid several visits to Palestine during 2009. Another important objective is to introduce Palestinian produce to several UK wholesalers and major supermarkets, namely Marks & Spencer, Sainsbury, Tesco and Waitrose and their suppliers.

Agriculture in Palestine is considered an important sector for the existence and sustainability of other Palestinian industries. Tourism, food, leather, shoes, soap, cosmetics, and furniture, to name a few, depend on agricultural produce to exist. As a result, both the public and private sectors are making intensive efforts to keep standards high and encourage both local and foreign investors to invest in agricultural infrastructures and projects.

Political instability is the main threat to this sector as access to farms and markets and movement of goods and people is restricted by Israel. Furthermore, Palestine faces tough competition from Syria, Egypt and Lebanon in terms of supply.

Despite all obstacles, Palestinian olive oil has been awarded a Fairtrade Certificate in the UK and exports continue, generating an increase in production and hence employment within the sector.

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