The "Vita Fruit HaGalil" factory in Hazor HaGalil is facing imminent closure
Posted on May 7, 2024 by Ifi Reporter
The "Vita Fruit HaGalil" factory in Hazor HaGalil is facing imminent closure, dealing a blow to the northern region's economy. Despite efforts by the Economic Committee and the Histadrut to salvage the factory, it has seen layoffs and dwindling production, primarily focusing on frozen chips.
Owners of Fruit of the Galilee, the Koparli family, and Zachi Shalom from the owners of the Half Free chain, attribute the closure to sustained losses. Attempts to sell the factory have proven unsuccessful, leading to the decision to shut down operations.
Impact on Employees and Community
The closure affects 50 workers directly employed by the factory and exacerbates unemployment issues in the northern region. The move also impacts local farmers who supplied vegetables to the factory.
Council Head Calls for ActionMichael Kabasa, head of the council in Hazor HaGalilit, has criticized the handling of the closure, emphasizing the need for alternative employment solutions for laid-off workers. He has reached out to Tnuva's CEO for assistance in resettling affected employees.
Factors Contributing to Closure
The factory's decline can be traced back to changes in government policies, including the lowering of customs duties on frozen vegetables in 2022. This policy shift made production unprofitable and intensified the factory's financial struggles.
Industry experts warn that the closure of Fruit of the Galilee may be a precursor to more closures, particularly among small and medium enterprises. Concerns are raised about the government's policies and priorities in supporting local industries.
Established in 1962, the Galilee Vita Fruit factory has faced various challenges over the years. However, recent economic pressures have led to its eventual closure, marking the end of an era for the local community.
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