For decades, Israel has led the world in finding new methods of water conservation. More recently, its scientists have also developed pioneering methods of environmental monitoring, protection & remediation, recycling and waste treatment as well as alternative energy. Israeli firms in this field are increasingly active in the emerging markets of developing countries. Israel is especially strong in providing such services, and many Israeli firms and consultants work with organizations as the World Bank, WHO and FAO as environmental experts. In Israel, close cooperation between university R&D and industry assures rapid commercial application of solutions to environmental problems, yet investments in environmental R&D are rather low in comparison with other developing countries (O.1%, from total R&D budget, in Israel, 3.2% in Canada, 4.2% in Denmark). The market of global environmental technologies in 1994 surpassed $100 million, increased to $250 million by 1997 and expected to increase to over $600 million by 2004.
A proper policy could significantly increase the share of these technologies in export from Israel.
Business opportunities of environmental technologies lie in two main streams, in both Israeli technology can and should be involved: low-tech, rather inexpensive and labor intensive technologies exported to developing countries, high-tech and sophisticated technologies to be used and exported to developing countries.
This policy paper describes the markets, business opportunities as well as difficulties, needs and means to achieve a goal of exporting 1% of the global market of environmental technologies and services from Israel.