Israel has decided to shut down one of the last vestiges of economic cooperation with the Palestinians. On June 8, Israeli Industry & Trade Minister Ehud Olmert ordered the closure of the Erez industrial zone on the border with the Gaza Strip. More than 4,000 Palestinians provided cheap manpower for the 100 or so textile factories in the zone. The move will be a further blow to the devastated Gaza economy, where unemployment is running at 40%. Erez has been the scene of several recent terrorist attacks.

Edited by Rose Brady

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