A new study published on August 13, 2026, by the Yesodot Institute-Arlozorov Forum—a think tank affiliated with the Histadrut (General Federation of Labor in Israel)—in cooperation with the Histadrut Consumer Authority, portrays the reduction of customs duties on tuna as a failure. However, a more thorough examination of the research data itself reveals that lowering import taxes achieved significant success in comparison with the high prices prevailing in the Israeli market, according to an analysis by Globes.
Local Packing Rendered Superfluous by Tariff Cuts
The story of the tuna market began in 2013, when the tariff on imported cans of tuna was gradually reduced to lower store prices and alleviate the soaring cost of living. Israel does not harvest its own tuna and has never done so, meaning all tuna consumed in the country has always been imported. Prior to the implementation of the reform, industrial-scale containers of the fish were brought in by an Israeli facility managed by Diplomat Global and StarKist Tuna—a plant that has since shut down—and were subsequently transferred into cans for Israeli buyers.
Once import taxes on finished cans were reduced, that economic advantage vanished. Importing tuna in bulk and maintaining a local packing line was no longer worthwhile because finished cans could be imported directly from anywhere at the same or a lower price. This exposed the Israeli market to a wider variety of products at lower prices, rendering local packing superfluous.
Data Contradicts the “Negligible Decrease” Narrative
According to the Yesodot-Arlozorov study, the price of tuna fell only 1.1% between 2013 and 2023, a figure the researchers termed “negligible.” Yet this number omits the broader global context. The price of tuna rose globally during this period due to higher raw material costs, putting upward pressure on Israeli prices as well. The isolated effect of lowering the import tax—excluding global price increases—is estimated at a 6% decrease. Had the tariff not been lowered, the price in Israel would have risen rather than fallen.
During this same decade, the Israeli food price index (excluding fruits and vegetables) rose 13.4%. While the rest of the food basket climbed steeply, the price of tuna remained almost unchanged because the drop in the import tax offset global price increases. Furthermore, a 2022 probe by the Israel Competition Authority found that reducing customs duties caused an aggregate household savings of NIS 38 million a year on tuna products, while government revenue losses from import duties were conservatively estimated at NIS 11 million annually.
Responses From Research Institutes and Labor Representatives
Defending the research, the Yesodot Institute-Arlozorov Forum stated in response: “The claim that the study portrayed the reduction in import taxes as not lowering the consumer price of tuna is incorrect. The question that the study sought to examine is broader—the long-term results of the reform and whether it achieved its targets beyond the initial effect on the price.” Throughout the majority of the timeframe, international costs for raw materials experienced a substantial decline exceeding the decrease observed in the cost of tuna within Israel, the organization further noted.
The Histadrut responded by emphasizing a broader policy view: “The attempted import reform in recent years proves that lowering customs duties without oversight mechanisms has not made the consumer basket cheaper. A responsible policy should view the economy from a holistic perspective—lowering the prices of products while at the same time safeguarding food security, Israeli manufacturing, and employment, as is practiced everywhere in the world.”
What May Happen Next in Market Competition
As policymakers weigh future reductions in customs duties and the opening of the economy to overseas competition, similar debates are likely to continue. The Histadrut has previously asked Minister of Agriculture and Food Security Avi Dichter to halt chicken imports from Brazil to protect workers at local plants like Miluof and Galilee Poultry. Future tariff reviews could trigger similar clashes between advocates of lowering the cost of living through unfettered imports and labor advocates pushing for safeguards on local manufacturing and food security.
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