Israel

This report assesses the business environment in Israel, focusing on the regulatory environment, stability of the financial system, FDI intake, labour market flexibility and skillset, trade openness, mobility infrastructure, ICT adoption and…

Butter in Israel had a very high customs tax of 126-140%. This made importing butter unviable for players in the category, except for specific importers allowed to import small amount without the customs tax attached. In 2019, the country started to…

There was a price increase for raw milk in the Israeli market in 2023. After prices rose for consumers in supermarkets, suppliers also increased prices for restaurants. In May 2023, Tnuva announced a 4.6% price hike for dairy products that are not…

In 2023, growth in the number of medical cannabis patients slowed significantly in Israel. In the first half of the year the number of medical patients grew by only 1,500; meanwhile, in 2021 monthly growth averaged 2,400, while in 2022 it was 1,220.…

The tax on all sweetened beverages was removed at the end of March 2023, as a result of opposition from the ultra-Orthodox community. The Ministry of Health required retailers to lower prices within three days of the tax being removed, with the…

Cat food is expected to see current value growth in Israel in 2024. Despite the continued rise in the cost of living towards the end of the review period, local consumers are continuing to purchase premium foods and products for their cats. Locals…

The increasing prevalence of charge cards issued by non-bank entities in 2023 is significantly impacting the usage of charge cards. The convenience and security offered by digital wallets pose a threat to credit card usage. The rapid growth of…

The government has removed customs taxes for certain imported cheeses, such as soft cheeses with a fat percentage over 5%. Previously, these cheeses were taxed at ILS8.04-13.21 per kg. The customs tax is mainly set to be removed in two stages. Half…

Childrenswear has faced various headwinds. The several increases in interest rates and high inflation, which averaged at around 4.3% in 2022 and 2023, compounded by the political turmoil revolving around the government’s contentious judicial reforms,…

Retail sales of chocolate confectionery in Israel saw modest growth in volume terms in 2023, following the declining performance of the previous year. Growth was boosted by an improvement in the fortunes of leading chocolate confectionery company…

There is a lack of innovation in cider/perry, thus suppressing potential growth in the category. For example, we are not seeing the same styles of numbers of product developments to stimulate consumer demand. Added to which, the consumer base of…

The tobacco industry in Israel has seen consistent price increases over the review period. In 2022, the price of a cigarette package increased by NIS1, and there was an additional NIS1 increase in January 2023.

The product area has seen two recent price increases: by 2 shekels in June 2021, and by a further 2 shekels in January 2023. In 2021 the category saw positive growth as a result of lockdown and lower sales of duty-free stores. Post-COVID-19, it has…

In 2023, prices have continued to rise in the packaged food and beverages market, and this has impacted coffee as well. This has largely been due to the high rate of inflation, with rising costs of transportation, energy and raw materials, and…

Colour cosmetics registered double-digit current value growth in Israel in 2023. The cosmetics imports reform that came into effect on 1 April 2023 means that importers and manufacturers no longer need to get a licence for cosmetics products that…

The commodities country overview provides comprehensive data on production, consumption and price trends on key commodities markets. The commodities overview in Israel covers production and consumption trends in agricultural commodities, energy…

The report examines key factors in supply chain risks in metals, energy and agricultural commodities. Production, market supply concentration and political risks analysis can help to better identify potential risks and prepare for potential…

As occurred in 2022, laptops is the only computers category in Israel projected to expand in retail volume terms in 2023. Thanks to growing consumer appreciation for their portability, these devices continue to gain popularity at the expense of…

The tax on all sweetened beverages was removed at the end of March 2023, with the Ministry of Health requiring retailers to lower prices within three days of the tax being removed. The removal of the tax led to the lowering of prices in the…

Overall, the consumer appliances market in Israel was navigating political uncertainties in 2023, while embracing change through regulatory reforms and an emphasis on energy efficient technologies. After the big surge in sales with the COVID-19…