Trade Agreements and the Continuation of Tariff Protection Policy in Mandate Palestine in the 1930s
Author(s)
El-Eini, Roza I. M.
Abstract
Britain’s mandate for Palestine in 1917 led to major economic changes with great progress being made in the expansion of transport and communications and in the development of the ports of Jaffa and Haifa. Foreign trade also reflected these changes, and Jewish immigration and the influx of capital brought demands for Western goods, machinery, and materials, causing an increase in the trade deficit. Britain also altered the tax system, moving toward specific duties, which were applied to 25% of the dutiable import value in the 1930’s. The policy shifted toward one of protectionism in the late 1920’s, and this continued into the 1930’s with an extension of protectionism into the agricultural sector. The further rise in Jewish immigration from Germany brought about a building boom that dramatically increased imports, thus worsening the trade balance in an economy reliant upon exports of citrus fruits. The article examines the various protection measures and trade agreements, measures to protect agriculture and industry, the issue of imperial preference for Palestine, and the more active promotion of trade largely as a result of advocacy on the part of the Jewish sector.
