2008 Woodie Awards
Palestine struggles to preserve its own economic identity
By: THE ASSOCIATED PRESS
Issue date: 3/19/08 Section: World
HEBRON, West Bank - Yasser Herbawi once supplied much of the West Bank and Gaza with black-and-white checkered scarves, the proud emblem of Palestinian identity made famous by the late Yasser Arafat.
But most of his looms now stand idle, his product edged out by cheap imports from the world's newest keffiyeh capital: China.
After a decade of being flooded with Chinese goods, from scarves to toys and bags, the West Bank's largest city is struggling to compete - yet another obstacle to economic independence for Palestinians as they strive for a state of their own.
Two-thirds of Hebron's textile workshops have closed and 6,000 shoe factory workers have lost their jobs in the last eight years, pushing unemployment to 30.5 percent, the highest in the West Bank, according to Hebron's chamber of commerce.
Cheap imports have hit manufacturing towns across the world, but the economic decline of this city of 230,000 is particularly ironic. Hebron long adhered to what is now China's recipe for success: work hard and sell cheap. And Chinese goods are imported to the West Bank by traders from Hebron, the city suffering most.
It's hard to find an upside to globalization here.
Old industries are being squeezed out, while Israeli restrictions on movement and land development limit the scope for new ventures. Israel's measures to stop suicide bombers make it much harder to get goods into Israel, and West Bank manufacturers can no longer sell to Gaza, sealed off after the violent Hamas takeover there last year.
U.S.-led efforts to broker a peace agreement between Israelis and Palestinians will be futile without a Palestinian economic recovery, but Hebron Mayor Khaled Osaily said he doesn't see any quick fixes.
"We have a disaster here," he said.
The door to China opened for Palestinians in the mid-1990s, after Israel and China forged diplomatic ties. The response among Palestinian business people was especially enthusiastic in Hebron.
Flights from the Middle East to China were soon packed with Hebronites, especially to big trade fairs. China operated a visa office in Hebron for several years, and even street vendors began pooling their cash to send representatives there to shop.
Eventually, more than 300 Hebronites had export offices in China, the mayor said.
But most of his looms now stand idle, his product edged out by cheap imports from the world's newest keffiyeh capital: China.
After a decade of being flooded with Chinese goods, from scarves to toys and bags, the West Bank's largest city is struggling to compete - yet another obstacle to economic independence for Palestinians as they strive for a state of their own.
Two-thirds of Hebron's textile workshops have closed and 6,000 shoe factory workers have lost their jobs in the last eight years, pushing unemployment to 30.5 percent, the highest in the West Bank, according to Hebron's chamber of commerce.
Cheap imports have hit manufacturing towns across the world, but the economic decline of this city of 230,000 is particularly ironic. Hebron long adhered to what is now China's recipe for success: work hard and sell cheap. And Chinese goods are imported to the West Bank by traders from Hebron, the city suffering most.
It's hard to find an upside to globalization here.
Old industries are being squeezed out, while Israeli restrictions on movement and land development limit the scope for new ventures. Israel's measures to stop suicide bombers make it much harder to get goods into Israel, and West Bank manufacturers can no longer sell to Gaza, sealed off after the violent Hamas takeover there last year.
U.S.-led efforts to broker a peace agreement between Israelis and Palestinians will be futile without a Palestinian economic recovery, but Hebron Mayor Khaled Osaily said he doesn't see any quick fixes.
"We have a disaster here," he said.
The door to China opened for Palestinians in the mid-1990s, after Israel and China forged diplomatic ties. The response among Palestinian business people was especially enthusiastic in Hebron.
Flights from the Middle East to China were soon packed with Hebronites, especially to big trade fairs. China operated a visa office in Hebron for several years, and even street vendors began pooling their cash to send representatives there to shop.
Eventually, more than 300 Hebronites had export offices in China, the mayor said.
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