The Prime Ministers’ Third Economic Conference opened here last night attended by 1200 delegates from 26 foreign countries and 1000 Israeli businessmen. The purpose of the conference, which will continue through Thursday, is to aid Israeli business and industry with capital and know-how from abroad. Premier Golda Meir established the framework in her opening address in which she declared, “We do not want your help. We dare say we want your participation.”
Mrs. Meir was greeted by a standing ovation when she entered the packed convention hall. An even greater crescendo of applause greeted Israel’s new President, Prof. Ephraim Katzir, whose inauguration took place in the Knesset last Thursday. Most of the conference’s business will be transacted by 15 working committees which moved to Tel Aviv this morning to begin their deliberations.
Highlights of the conference will include the inauguration of a new oil refinery at Ashdod and a new assembly line at the Ford plant in Nazareth. The latter will be formally opened by Henry Ford II, chairman of the Ford Motor Co., who arrived here last night from Detroit in his private plane.
The conference is expected to establish a new $1 million-a-share investment company financed by foreign capital which will funnel foreign investments into such industries as power plants, oil refineries, petrochemical plants, the merchant marine, shipbuilding, public transport and tourist facilities.
Another project under consideration by the conference is the establishment of free trade zones at the ports of Haifa and Eilat where foreign interests will be invited to build factories, warehouses and offices tax free.
The three largest delegations attending the conference are from the United States, headed by Victor Carter; from Western Europe, headed by Francoise Pereire; and from Great Britain, headed by Derrick Kleeman. There is also a delegation from Turkey, a Moslem nation; and from India, which has no diplomatic relations with Israel.
HOPES FOR REDUCTION OF RED TAPE
Addressing the conference last night, Minister of Trade and Industry Haim Barlev pointed out that although investments increased in Israel last year, it was concentrated in sectors other than industry. Marc Moshevich, president of the Manufacturers Association, drew an enthusiastic response when he expressed the hope that the conference would help reduce the red tape that hampers Israel’s business community.
Mrs. Meir was the only one of the long list of opening speakers who did not come with a prepared speech. She said that although she was not in business, she did not believe that big business could work without vision and dreams. She linked Israel’s economic development to peace. “With every increase of strength we move closer to peace,” she said. “A strong Israel is a must for peace because weakness invites destruction.”
Avraham Agmon, director general of the Israeli Treasury, said he hoped the conference would serve as a launching pad for Israel’s new five-year economic plan. “We have to double our exports every five years,” he said.
FORD SEES INCREASING TIES WITH ISRAEL
Henry Ford II, the Detroit automobile magnate and grandson of the founder of the Ford Motor Co., was the focus of greatest interest when he arrived here. Ford, the guest of the Israel Manufacturers Association which is marking its 50th anniversary, will address, the economic conference. He was greeted at the airport by Max Fisher of Detroit, chairman of the Board of the Board of Governors of the Jewish Agency.
Ford said at a press conference at Lod Airport that “surveys have indicated that Israel was a good place for investments and the Ford Co. is considering increasing its ties with Israel.” He noted that Ford has no direct connection with the Ford assembly plant in Nazareth which assembles Ford trucks and cars from imported components. He said, however, that Ford was now considering buying spare parts from Israeli manufacturers for its plants in Europe. “We are also thinking of contracting out some research work which some of your institutions could do for us and I believe we are already doing something with the Technion,” Ford said.
The auto manufacturer noted that Ford products have been barred from Arab states since 1966 by the Arab boycott. “Just the same,” he said, “we have managed to sell some trucks to Jordan. I do not see any good in this boycott and I would like to see it lifted,” he said. Ford’s arrival was marred by the theft of his private car which was brought here from abroad. The vehicle, which reportedly contained valuable documents, was stolen near the Tel Aviv Hilton hotel.
Finance Minister Pinhas Sapir said in an interview prior to the conference’s opening that he hoped the gathering would bring about new contacts and new initiatives. He said that Israel is presently represented on the international trade map by some $6.5 billion. He said he hoped this would increase to $10 billion in the next five years. Sapir noted that 45 of the 500 largest American corporations are now involved in one way or another in Israel’s industry.
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