Cultivating Opportunities: Olive Oil Production

Olive cultivation is the backbone of West Bank agriculture, accounting for 50 percent of farmed land. More than 100,000 Palestinian families are directly, or indirectly, involved in olive farming. To spur growth in this sector, IFC is working closely with Wadi Food, one of our long-term investment clients and among the leading agribusiness firms in Egypt, to link Palestinian olive oil bottling companies to Wadi’s markets in the Middle East. 

Through this project, IFC worked with nine Palestinian bottling companies to improve their production management and export marketing. At the end of the first phase of the project, the participating companies reported a 35 percent increase in their exports. With IFC support, four companies achieved international quality certification, allowing them to compete in high-value markets. One project success was the acquisition of ISO 22000 certification by the Near East Industry and Trade Co. The company is now better positioned to negotiate new contracts with potential buyers and access new markets. 

“This is a major tool in exporting our products to the international market, one which is becoming mandatory in many markets,” said Mr. Ali Anabtawi, CEO of Near East Industries and Trade Co. 

IFC is now beginning the second phase of the project and will work with an additional eight companies, helping them comply with international food standards, improve environmental performance, and access finance. It is expected that by 2014, IFC involvement will be responsible for additional Palestinian olive oil exports worth $1.5 million, which is around 30 percent of current annual exports.