The so-called Separation Fence is being constructed and its course is being adjusted by Israel's Supreme Court so as to minimize the discomfort to the Palestinian population.
The fence has come under fierce criticism by the European Union. It has even voted against it in the United Nations. However, it should be noted that the European Union is planning a separation fence of its own. The EU plans to build a fence to separate its new members - Poland and Hungary - from their new neighbors - Russia, Belarus and Ukraine - to prevent the free movement of migrants seeking to enter the EU. The irony of the situation is, that several Israeli companies will participate in the tender for erecting the fence.
Previously the European Union has funded a fence to. keep Moroccans from entering the coastal city of Ceuta, just across the Straits of Gibraltar opposite from Spain. With the fence in place they will be unable to work anywhere in Europe because of the EU's
no-checkpoints policy.
The issues of Peace for Israel and Peace for the region will continue to be debated, argued and undoubtedly, if required, fought for. Peace is as elementary to Israel's very being as the Bill of Rights is for the Americans and the right of free speech to the British. So with the New Year, we hope for a further move towards Peace for Israel and the Middle East.
There is an aura of new energies emanating from the Israeli high-tech sector. Most impressive has been the high rate of growth of newly formed jobs, up by more than 100% year-to-year. Felix Zandman, chairman of US Vishay Intertechnology, a Fortune 500 company, said that the most important issue of the 21st century is employment. Zandman, head of the global enterprise, is short on pontification and long on action. He founded Vishay Israel, a company active in electronics. The company has grown steadily and is now Israel's 11th largest industrial company. We concur with Dr. Zandman's observations.
Next to employment, the most important ingredient needed to maintain a thriving high-tech sector, is capital. Without it, startups cannot function and mature companies cannot expand. The recently published surveys on Israel's venture capital trends, indicate an expansion of capital being raised and more funds are being made available to high-tech industries. In the year ahead observers are projecting that the venture capital industry will invest more than $1.0 billion. Israeli startups have already garnered more than $600m. in the first half of 2004. The expectation is for the Israeli economy to grow between
2.7%-3.8%. Foreign investors have noted the improvement in Israel's economy and new investment funds are flowing into the country.
We at IHTIR try to identify the emergence of new trends, as early as possible. Investors, can appreciate the need for identifying new trends so as to be in on the ground floor.
Two areas currently experiencing booming growth are military systems and homeland security. Israel accounts for 12% of the world's military and security exports. IDF reserve Major General Joseph Ben-Hanah, head of the Defense Ministry's department for security exports, says that some of the most successful export items include pilotless planes, anti-tank missiles, night-vision equipment, radar and the upgrading of planes, helicopters and tanks. You will be surprised to read about an Israeli X-Ray system being used on the private jet of King Fahd. The system bypasses the need for film and chemicals and its main application is in field hospitals.
However, this is just the tip of the iceberg, as in this issue you will read about other companies that are developing a variety of products that match the needs of home security and defense.
Not too many years ago, Israel's defense products were sold as "proved in battle". Today the motto is "proved under security conditions".
Observation balloons, explosive detectors, sensors that can see through smoke and drones are just a few of the products being sought by buyers. This is the beginning of a longer-term trend, as terrorism will haunt us in the indeterminate future.
It is our hope that this will be the year that the extra step "for the sake of peace" will be taken.
And so to all of our Jewish friends and subscribers we extend our best wishes for a Happy and Healthy New Year.
The coming of the Jewish New Year, according to ancient tradition is a time for reflection.
In the year ahead we look forward to the much-heralded Israeli withdrawal from Gaza. Significantly most of Israel's population is looking forward to the event.