A very small step to more competition in Israel. Why Israel needs a Justicial Reform

One of the main reasons, if not the main reason, for the exorbitantly high cost of living in Israel (Tel Aviv is the most expensive city in the world in 2022) without corresponding quality and service is the oligopolistic structure and the resulting lack of competition.

Israel cannot be considered part of the free market economy. The bureaucracy and the regulatory frenzy do the rest. These two interest groups are also those who are very interested in the legal situation remaining as it is.

They guarantee influence and high returns for a few. It is reasonable to say that a major judicial reform can contribute to reducing the cost of living.

The Ministry of Agriculture wants to create a small, microscopic improvement by allowing more slaughterhouses. The Ministry of Agriculture and Food Security simplifies the conditions and regulations for establishing slaughterhouses. Nice. But too late, too little.

Minister of Agriculture and Food Security, Avi Dichter expresses optimism: “This step will increase competition in the meat industry, lower prices, and enable a tailored response for communities with unique slaughter traditions. This, while reducing the phenomenon of black slaughter and without compromising on the high standards of public health.“

Until now, the legislation allowed the establishment of slaughterhouses in only 20 areas, and in the new situation, the geographical criterion for an establishment permit has been lifted, so that a slaughterhouse can be established throughout the country, subject to compliance with veterinary requirements, of course.