Israel is entering negotiations with Poland for a deal by which it would barter agricultural produce and electronic equipment for Polish coal. Energy Minister Moshe Shahal has authorized the talks and the head of Israel’s National Coal Supply Corp. has been to Warsaw to meet with Polish officials.
Samples of Polish coal are presently being examined by Energy Ministry experts to see if it meets Israel’s needs, mainly the generation of electric power. If the tests prove positive, they may lead to the biggest trade deal in many years between Israel and an Eastern European country.
Israel currently imports coal from Australia, South Africa and the U.S. sufficient to meet its present energy needs. But they are expected to grow from the current level of two million tons a year to 10 million tons by the end of the century. The worsening internal situation in South Africa could jeopardize supplies from that country.
Meanwhile, Poland is expected to open its interest section in Tel Aviv “within two or three weeks” according to diplomatic sources here, and Israel will open a corresponding interest section in Warsaw at about the same time. The move is expected to lead eventually to the restoration of diplomatic relations between the two countries.
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