Poor market access conditions and effective landlocked status
Although the occupied Palestinian territory (oPt) has a seacoast of its own, the continued delays in the construction of a seaport in Gaza have rendered it a de facto land-locked territory, isolated from global trade. Palestinian enterprises´ participation in international trade is therefore conducted via the neighbouring countries of Egypt, Jordan and Israel.
Historically, Palestinian trade has transited mainly through Israeli port facilities. Palestinian traders are faced with prohibitive transaction costs, however, in view of Israel´s security measures and cumbersome customs and overland transport procedures at the main borders.
The intensification of the Palestinian-Israeli conflict since late September 2000 has resulted in isolating Palestinian enterprises from the rest of the world, as it brought a tightening of the movement of Palestinian labours and goods at the oPt´s main commercial crossing points with Israel, Jordan and Egypt.
In 2005, Israel and the Palestinian Authority signed the Agreement on Movement and Access (AMA) to facilitate the flow of Palestinian labour and goods between Gaza and Israel. However, the agreement is yet to be fully implemented.

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