A new rationing program designed to combat the high cost of living in Israel and concentrate production on essential requirements will be debated in the Khesseth tomorrow after it is presented by Premier David Ben Gurion and by Dov Joseph, Minister of Rationing and Supply. The Cabinet discussed the program yesterday and decided to refer it to the parliament as soon as possible.
Most foodstuffs and essential consumers’ goods will be rationed under this plan. Items like clothing will be manufactured only in conformity with regulation specifications, and production of luxury goods for the local market will be prohibited completely. The new rationing plan may also extend to consumption of electric current.
Along with this extended rationing program will be a closer regulation of imports into the country with further limitation on import of non-essential goods. Government subsidies to industries producing cheap consumption goods are also expected to fit into the new plan.
The new measures, it is understood, are aimed to correct conditions caused here by scarcities of most items in general demand and secure better distribution of available supplies. A ban on production of luxury items for the local market will enable the authorities to concentrate the country’s available facilities on production of items universally needed. The ban on luxury imports would save foreign exchange and permit the country to import machinery and equipment, raw materials and the basic commodities it needs.
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