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Sunday, May 19, 2013
Cabinet Communique

Cabinet Communique
(Communicated by the Cabinet Secretariat)

At the weekly Cabinet meeting, today (Sunday, 19 May 2013):

1. Prime Minister Benjamin Netanyahu made the following remarks:

"I will discuss three items today: The Middle East, the ports and China. You
will decide in what order of importance they are, but there is no doubt that
the Middle East is first. It is in one of its most sensitive periods in
decades with the escalating upheaval in Syria at its center.

We are closely monitoring the developments and changes there and we are
prepared for any scenario. The Government of Israel is working responsibly
and with determination and sagacity, in order to ensure the supreme interest
of the State of Israel – the security of Israeli citizens in keeping with
the policy that we have set, to – as much as possible – prevent the transfer
of advanced weapons to Hezbollah and to [other] terrorist elements. We will
work to ensure Israelis' security interest in the future as well.

Israel's seaports are an issue that we have been occupied with for over a
decade. In 2003, I initiated a multi-stage reform of the seaports. The first
thing we did was the reform of the Ports Authority. We established three
government companies, in Haifa
http://www.haifaport.co.il/english.aspx
, Ashdod
http://www.ashdodport.co.il/english/Pages/default.aspx
and Eilat
http://www.eilatport.co.il/
, and we opened Israel Shipyards
http://www.israel-shipyards.com/
in Haifa under private management. This was the first thing that we did,
Stage I.

Stage II was turning the Eilat port into a privately operated port. This
took place one year ago, two years later than planned.

And the third stage, which is going to happen in the coming months, is to
issue a tender for an additional, new port in the State of Israel. Again,
this will be a privately-operated port. This plan has very major
consequences regarding the cost of living in Israel because 90% of our
imports and exports, and a considerable portion of our GDP, passes through
the ports in one way or another. Almost everything you see before you,
products that are here or that we export to world markets pass through the
ports. Only a few products use aerial transportation. Therefore, efficiency
or the lack thereof at the ports is something that every citizen feels in
his pocket.

We are committed to this change. I know that very many – if not all –
ministers support the moves that we are going to enact. Transportation
Minister Yisrael Katz will submit to me the proposal that is being
formulated. I will discuss it with Finance Minister Yair Lapid and Economy
Minister Naftali Bennett, and we will convene the entire Government in order
to enact this reform, which will greatly affect the cost of living in the
State of Israel.

Regarding China, I agreed with Chinese Prime Minister Li Keqiang that we
would establish two committees, a Chinese committee and an Israeli
ministerial committee, in order to reduce the bureaucracy for Israeli
companies competing in China and in order to submit various projects by
Israeli experts and Israeli companies throughout China, and most likely
outside China, in third countries.

This committee will be established today under my chairmanship. It will be
managed by National Economic Council Chairman Prof. Eugene Kandel and will
also include the senior economic ministers. Economy Minister Bennett will be
vice chairman and will work with his Chinese counterpart and the top Chinese
planning council.

I attribute significance to the fact that Chinese Prime Minister Li Keqiang
said that China's top planning agency, which is of great importance, will be
part of the Chinese committee. This might allow us to create a growth engine
here. We are looking for ways to increase the pace of GNP growth and opening
the Chinese market is certainly one of the things with the potential to do
this. We are ready and will make all the preparations immediately.
Naturally, I hope that we will see a similar response on the Chinese side.
In any event, this has important significance in ensuring growth which, in
the end, alongside greater efficiency, is the most important factor that
will allow us to meet our national goals."

2. National Economic Council Chairman Prof. Kandel continued (from the 13
May 2013 Cabinet meeting
http://www.pmo.gov.il/English/MediaCenter/SecretaryAnnouncements/Pages/govmes130513.aspx
) his review of the strategic/socio-economic situation.

Bank of Israel Deputy Governor Dr. Karnit Flug briefed the Cabinet on the
Bank's views regarding the strategic/socio-economic situation.

3. The Cabinet approved the establishment of two committees the goal of
which is to formulate an action plan for strengthening economic ties between
Israel and China, as well as increase bilateral trade, mutual investments
and research and development initiatives
http://www.pmo.gov.il/English/MediaCenter/Spokesman/Pages/spokeshituf190513.aspx
. Please click here
http://www.pmo.gov.il/MediaCenter/SecretaryAnnouncements/Pages/govmes190513.aspx
for further details.

4. Pursuant to Article 12 of Basic Law: President of the State
http://mfa.gov.il/MFA/MFA-Archive/1960-1969/Pages/Basic%20Law-%20The%20President%20of%20the%20State.aspx
the Cabinet decided that Minister Amir Peretz will countersign such
documents as would require the signature of Justice Minister Tzipi Livni
should the latter be unable to do so.

5. Pursuant to Article 38 of Basic Law: The Government
http://mfa.gov.il/MFA/MFA-Archive/2001/Pages/Basic%20Law-%20The%20Government%20-2001-.aspx
, the Cabinet proposes that the Knesset declare a state of emergency for one
year. Please click here
http://www.pmo.gov.il/MediaCenter/SecretaryAnnouncements/Pages/govmes190513.aspx
for further details.

6. Pursuant to its 13 May 2013 decision
http://www.pmo.gov.il/English/MediaCenter/SecretaryAnnouncements/Pages/govmes130513.aspx
regarding the implementation of economic policy for the 2013-2014 budget
years, the Cabinet decided on the composition of the ministerial committee
on legislative changes for the implementation of economic policy for the
2013-2014 fiscal years. Please click here
http://www.pmo.gov.il/MediaCenter/SecretaryAnnouncements/Pages/govmes190513.aspx
for further details.

7. The Cabinet decided to appoint a ministerial committee on the struggle
against violence. Please click here
http://www.pmo.gov.il/MediaCenter/SecretaryAnnouncements/Pages/govmes190513.aspx
for further details.

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