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IEICI: Israel’s exports have grown 13,400 times since the State’s establishment

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Wednesday, June 1st, 2011

As published on Port2port:

Since 1948 Israel’s exports grew from US$6M to US$80B. The figures also show changing trends in Israel’s export economy from citrus fruit and diamonds to mainly technologic devices and systems

Figures published by the economic division of Israel Export and International Cooperation Institute (IEICI) show exports grow 13,400 times since State’s establishment in 1948. Exports rose from some US$6 million 63 years ago to some US$80.5 billion in 2010. Diamond exports, which totaled about US$2.8 million in 1948, rose to about US$8.9 billion last year, a 3,190-fold rise.

The data show that exports of goods and services in the high-tech industries – including research and development services – reached some US$28.5 billion in 2010, making up 35% of Israel’s total exports.

Agricultural exports, which reached us$1.3 billion in 2010, make up only 2% of Israel’s exports these days.

The figures also show changing trends in Israel’s export economy. Whereas at the beginning the state exported mainly citrus fruit, diamonds, and a small amount of industrial products, Israel has become mainly an exporter of technology: electronics, software, and computer systems, communications, and medical devices.

An IEICI analysis reveals that markets in North American and Europe have served as main destinations for the export of goods since the State’s establishment. And yet, while in the early 1950s and 1960s the export of goods to Europe made up some 70% of Israeli exports, today it stands at only 32%.

Exports to Asia, on the other hand, made up only 1% of Israel’s exports in the 1950s, while today 24% of the goods are exported there. The IEICI predicts a 7% rise in the exports of goods and services in 2011, reaching about $86 billion.

Institute Chairman Ami Erel said investment in education and research was needed to continue the rise in Israeli innovation.