FAO support to Palestinian wholesale markets bolsters livelihoods for over 1.5 million residents

JERUSALEM, 20 Sept.—When in 2019 FAO visited wholesale markets in the West Bank and Gaza Strip under the Multidonor Agribusiness Programme (MAP), poor infrastructure and governance were negatively impacting the incomes, food security and nutrition of hundreds of thousands of producers and consumers each year.

The agrifood sector is a pillar of the Palestinian economy, but it continues to suffer from inefficiencies. In Qabatiya and Hebron (West Bank) and Khan Younis (Gaza Strip), wholesale markets are a key commercial link between farmers and consumers. However, they previously experienced high energy waste and associated costs, missed environmental and economic opportunities, and inefficient governance.

In response, FAO through MAP designed an innovative support package for the three local wholesale markets to reduce food and energy waste, lower operating costs, improve hygiene and strengthen the markets’ administration. Funded by Denmark, the European Union, the Netherlands, Spain and Switzerland, the support is improving the economic prosperity and food security of 1.5 million vulnerable Palestinian residents.

In addition to basic infrastructure upgrades, FAO installed solar energy systems and generators to reduce energy waste and associated costs, and established cold storage units to reduce the markets’ food waste. In Hebron the programme installed a fire system that, in August, helped the market respond to a fire until the Civil Defense arrived.

Notably, FAO also introduced and promoted regulatory and administrative reforms, including the establishment of boards of directors to oversee the markets’ administration, protocols to guide them and manuals to enhance the efficiency of daily activities.

As a result of FAO support, the Hebron market’s annual revenues are expected to increase by 40 percent, while in Khan Younis they are expected to double. In Qabatiya, annual revenues are forecasted to increase more than threefold.

The improvements were carried out through a cost-sharing approach that encouraged the local municipalities to complement FAO support by investing in their respective markets.

Support to the wholesale markets lies at the intersection of several strategic priorities of FAO in Palestine, including ensuring the competitiveness of the agrifood value chains, supporting highly vulnerable agri-food actors and food and nutrition safety.