Gaza factories back to work making protective wear

Palestinians make protective overalls to shield people from the coronavirus. Factories in Gaza City are working at full capacity to meet the growing demand for safety equipment. (AP)
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Updated 25 April 2020
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Gaza factories back to work making protective wear

  • Garment firms gain rare economic lifeline as coronavirus boosts demand for safety clothing

GAZA CITY: For the first time in years, sewing factories in the Gaza Strip are back to working at full capacity — producing masks, gloves and protective gowns, some of which are bound for Israel.

It is a rare economic lifeline in the coastal territory, which has been blockaded by Israel and Egypt since the Hamas militant group seized power from rival Palestinian forces in the strip in 2007. The blockade, and three wars between Hamas and Israel, have devastated the local economy, with unemployment hovering around 50 percent.
But the sudden opportunity also shows how Gaza’s economy is at the mercy of those enforcing the blockade — and how depressed wages have become. Workers earn as little as $8 a day.
So far, Gaza appears to have been largely spared from the coronavirus pandemic, with only 17 cases detected, all within quarantine facilities set up for those returning from abroad. Many still fear an outbreak in the impoverished territory, which is home to 2 million people and where the health care system has been battered by years of conflict. But for now, authorities are cautiously allowing most businesses to stay open.
Rizq Al-Madhoun, owner of the Bahaa garment company, said he has produced more than 1 million masks in the past three weeks, “all for the Israeli market.”
Gaza may not have the advanced machinery seen in other places, but he said residents’ sewing skills are unmatched. “Gaza workers are distinguished in handiwork and they are better than workers in China or Turkey,” he said.
Another factory, Unipal 2000, is able to employ 800 workers across two shifts to produce protective equipment around the clock.
Both factories import fabric and other materials from customers in Israel and then produce items like masks, gloves and surgical gowns. Unipal makes about 150,000 pieces a day, and demand is high as countries around the world grapple with shortages.
Asked about doing business with Israeli customers, both factory owners said they did not want to discuss politics and framed their work in terms of business and humanitarian needs.
“Despite the siege in Gaza, we export these masks and protective clothes to the whole world without exception,” Bashir Bawab, the owner of Unipal 2000, said. “We feel we are doing a humanitarian duty.”

FASTFACT

260 The Palestinian Authority, which governs parts of the occupied West Bank, has reported around 260 COVID-19 cases and two deaths.

In recent years, Tamer Emad, a skilled textile worker, was able to work one week per month at best. But over the past month, he has been on the Unipal factory floor every day, earning around $8 per shift.
“This has provided us with a good opportunity ahead of Ramadan,” he said.
Such wages are typical in the depressed Gazan economy, but would barely keep a family afloat. It costs around $250 a month to rent a two-bedroom apartment.
Omar Shaban, an economist who heads a local think tank, said the conditions created by the blockade allow for “exploitation,” but that low-wage jobs still provide income for many people.
Unipal 2000 first opened in an industrial zone along the frontier in 1998, when the peace process was in full swing. But like many other Gaza businesses, it was forced to shut down after the Hamas takeover and the blockade.
Israel began easing some restrictions after the 2014 Gaza war, and the factory reopened two years later. But by then most of its clients had found suppliers elsewhere, so it only operated intermittently.
Its fortunes could change again — especially if there is an outbreak.
Gisha, an Israeli group that advocates for easing the blockade on Gaza, appealed to Israeli leaders to do more to promote economic activity in the territory.
“The pandemic has created demand for these products,” it said. “But Israel must lift restrictions on trade entirely so that Gaza residents can work and so that Gaza’s faltering economy can brace itself as much as possible against the wider global crisis caused by the pandemic.”


Gulf-EU value chain integration signals shift toward long-term economic partnership: GCC secretary general

Updated 03 February 2026
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Gulf-EU value chain integration signals shift toward long-term economic partnership: GCC secretary general

RIYADH: Value chains between the Gulf and Europe are poised to become deeper and more resilient as economic ties shift beyond traditional trade toward long-term industrial and investment integration, according to the secretary general of the Gulf Cooperation Council.

Speaking on the sidelines of the World Governments Summit 2026 in Dubai, Jasem Al-Budaiwi said Gulf-European economic relations are shifting from simple commodity trade toward the joint development of sustainable value chains, reflecting a more strategic and lasting partnership.

His remarks were made during a dialogue session titled “The next investment and trade race,” held with Luigi Di Maio, the EU’s special representative for external affairs.

Al-Budaiwi said relations between the GCC and the EU are among the bloc’s most established partnerships, built on decades of institutional collaboration that began with the signing of the 1988 cooperation agreement.

He noted that the deal laid a solid foundation for political and economic dialogue and opened broad avenues for collaboration in trade, investment, and energy, as well as development and education.

The secretary general added that the partnership has undergone a qualitative shift in recent years, particularly following the adoption of the joint action program for the 2022–2027 period and the convening of the Gulf–European summit in Brussels.

Subsequent ministerial meetings, he said, have focused on implementing agreed outcomes, enhancing trade and investment cooperation, improving market access, and supporting supply chains and sustainable development.

According to Al-Budaiwi, merchandise trade between the two sides has reached around $197 billion, positioning the EU as one of the GCC’s most important trading partners.

He also pointed to the continued growth of European foreign direct investment into Gulf countries, which he said reflects the depth of economic interdependence and rising confidence in the Gulf business environment.

Looking ahead, Al-Budaiwi emphasized that the economic transformation across GCC states, driven by ambitious national visions, is creating broad opportunities for expanded cooperation with Europe. 

He highlighted clean energy, green hydrogen, and digital transformation, as well as artificial intelligence, smart infrastructure, and cybersecurity, as priority areas for future partnership.

He added that the success of Gulf-European cooperation should not be measured solely by trade volumes or investment flows, but by its ability to evolve into an integrated model based on trust, risk-sharing, and the joint creation of economic value, contributing to stability and growth in the global economy.

GCC–EU plans to build shared value chains look well-timed as trade policy volatility rises.

In recent weeks, Washington’s renewed push over Greenland has been tied to tariff threats against European countries, prompting the EU to keep a €93 billion ($109.7 billion) retaliation package on standby. 

At the same time, tighter US sanctions on Iran are increasing compliance risks for energy and shipping-related finance. Meanwhile, the World Trade Organization and UNCTAD warn that higher tariffs and ongoing uncertainty could weaken trade and investment across both regions in 2026.