The loss in daily output and business to the economy in snowbound regions in Jerusalem and the north is estimated at NIS 150-170 million, according to the economic research department of the Manufacturers Association of Israel.

The damage from the snowstorms in the Jerusalem region to factories alone is estimated at NIS 20 million and in the north at about NIS 10 million.

The main damage stems from employees being unable to reach work, which paralyzed broad areas of industrial and business activity. Reports gathered by the Manufacturers Association found that 90% of employees in the industrial sector in the Jerusalem area did not get to work this morning and there were high percentages of absenteeism in the business sector including trade and services. There were also reports of low work attendance in the snowbound north.

Manufacturers Association economic research department director Dafna Aviram-Nitzan said, "While in industry and business services the main damage was from employees not getting to work, the agriculture and construction sectors were forced to cope with the difficult outdoor conditions, which paralyzed their activities, while the commercial sector had to cope with very few shoppers in the malls and people cancelling services they had ordered."

She added, "It is reasonable to assume that most areas of industry, trade and services will make up the lost output and business within a few days but other areas like agriculture and outdoor operation will suffer long term damage."

The Manufacturers' Association estimate does not take into account structural damage from floods, soiled goods etc.

Published by Globes [online], Israel business news - www.globes-online.com - on January 10, 2013

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