Israel | Canned food, baby food and air tickets: Barkat intends to declare a state of emergency and introduce price controls

Economy Minister Nir Barkat sent a letter of intent to Finance Minister Bezalel Smotrich to declare an economic emergency under the Consumer Protection Law.

According to the law, the Minister of Economy has the right to take such a step only after consultation with the Minister of Finance. Now Smotrich has a week to respond to the letter, otherwise Barkat will have a free hand to act at his own discretion.

A state of emergency in the economy can be declared for a period of 45 days with the possibility of further extension. After declaring a state of emergency, the Minister of Economy gains the right to introduce supervision over the pricing of essential goods and services throughout the country or in a particular region, demand from manufacturers and retailers justification for raising prices, and fine for excessive, unjustified price increases.

If a state of emergency is declared, the following goods and services will be placed under supervision:

Bottled mineral water 1-2 liters, rice, pasta, rapeseed oil, canned tuna, canned corn, chocolate spread, baby food, wheat flour, gluten-free flour, toothpaste, feminine sanitary pads, liquid soap, toilet paper, air tickets to Israel.