The Foreign Ministers of Israel and Turkey met in Jerusalem to discuss possible arrangements for the construction and management of the “Erez” Industrial Zone by a Turkish management company.

Joint Declaration

The Foreign Ministers of Israel and Turkey met today at the Israeli Ministry of Foreign Affairs in Jerusalem to discuss possible arrangements between their two countries in connection with the construction and management of the industrial zone formally known as “Erez” Industrial Zone, by a Turkish management company. At the conclusion of their discussions they have agreed on a set of principles attached herewith. The two ministers wish to notify their understandings and declare as follows:

The Government of Israel and the Government of the Republic of Turkey wish to contribute to the economic development and prosperity of the Palestinian population in the Gaza Strip.

In this context they welcome the Turkish commitment to reinforce its assistance in promoting prosperity and stability in the region.
The two sides also welcomed the “Ankara Forum for Economic Cooperation” as a dialogue and coordination mechanism between Israeli, Turkish and the Palestinian businessmen.

They also expressed their appreciation for the initiative of the Manufacturers Association of Israel and the Union of Chambers and Commodity Exchanges of Turkey (TOBB) to convene a dialogue intended to assist in the revitalization of the Palestinian economy, and the “Erez” Industrial Zone in particular, through the “Ankara Forum for Economic Cooperation”.

Both sides expressed their high value and welcome for the Turkish experience and know-how concerning the establishment of industrial parks as well as the adaptation of global best practices for their management.

The two sides took note that Israel and the PLO have signed an Interim Agreement and subsequent agreements and arrangements that govern their relations.

The parties agreed that practical arrangements for the facilitation of the operation of the “Erez” Industrial Zone, including the usage of the Israeli maritime ports for exports and imports to and from the “Erez” Industrial Zone, would be coordinated between the two sides taking into account the agreed principles attached herewith.

Signed in Jerusalem, 5 of Tevet 5766 which equals to January 5th 2006

H.E. Silvan Shalom 
Deputy Prime Minister 
and Minister of Foreign Affairs
of the State of Israel

H E. Abdullah Gul
Deputy Prime Minister
and Minister of Foreign Affairs 
of the Republic of Turkey


Agreed Principles

1. A Turkish management company will be established for the management of the “Erez” Industrial Zone;

2. Both Parties shall work together in order to coordinate activities in connection with the operation of the Turkish management company in the “Erez” Industrial Zone;

3. All operations and activities regarding the “Erez” Industrial Zone, including the movement of goods into and out of the “Erez" Industrial Zone, will be carried out, as long as relevant, in accordance with the arrangements agreed upon between the Government of Israel and the PLO and/or the PA, including the Interim Agreement and any other applicable subsequent agreement or arrangement, and in accordance with the Israeli law;

4. It is the understanding of both Parties that the access and movement of goods between the “Erez” Industrial Zone and Israel, and all other activities carried out in the “Erez” Industrial Zone will be subject to the security situation at any given time;

5. Detailed security and other relevant arrangements for the construction and daily management of the “Erez” Industrial Zone will be elaborated in advance between the Parties;

6. Israel shall assist, to the extent possible, the Turkish management company in its endeavours for the successful operation of the “Erez” Industrial Zone;

7. Electricity and water infrastructure can be provided by the relevant Israeli companies by way of separate commercial agreements, to be agreed upon between the Turkish management company and the Israeli companies, based on the agreements between Israeli companies and the PLO/PA on such matters;

8. Sewage and waste water treatment and. all other types of industrial and other wastes in the “Erez” Industrial Zone, will be handled by the Turkish management company in accordance with international standards so that sewage, waste waters and waste will not flow towards Israel or harm water sources in the area. To this effect, an Environmental Impact Assessment Report will be presented by the Turkish management company to both Israel and the PA in advance to the commencement of construction;

9. Regarding the temporary entry of executives and managers, the Parties take note, that this will be guided by reaffirmed Israeli policies that are in line with its horizontal commitments made in the framework of the GATS regarding the presence of natural persons.