Israeli Government Faces Criticism Over Inaction on Eilat Port Amid Houthi Blockade
The Israeli Knesset's Economic Committee convened on Monday to discuss the concession of Eilat Port, which is set to expire in January 2028. However, the debate quickly shifted to the port's current operational challenges due to the Houthi blockade of the Bab al-Mandeb Strait, effectively closing the maritime route to Eilat.
MK Oded Forer criticized the government for its lack of action over the past three years to reopen the port, calling the situation "a disgrace" and highlighting the strategic problem of having a closed maritime route. He also condemned ongoing negotiations to open the Strait of Hormuz without Israeli demands on the Houthis, accusing the government of abandoning Eilat and its port.
The blockade has severely limited port activity, with only 3,800 vehicles imported through Eilat in May 2026 compared to 13,000 in Haifa and 10,000 in Ashdod. In 2023, about 150,000 vehicles were unloaded at Eilat. Eilat Mayor Eli Lankri echoed concerns, emphasizing the port's economic importance and the city's reliance on it for future development.
During the session, Transportation Ministry representative Attorney Benny Shauli noted that Minister Miri Regev is currently barred from handling the issue due to a conflict of interest, delaying the transfer of authority to the Finance Minister. The conflict stems from legal representation ties involving Regev and the Nakash brothers, owners of the port.
Labor representatives warned that the current operator failed to meet concession conditions, urging preparations for a new tender or alternative management to avoid a leadership vacuum. The port's finance deputy, Batya Zaafrani, said the operator met two of three extension conditions but found container activity development economically unfeasible, expressing a desire to continue operations.
Committee Chairman MK Eli Biton called for a resolution within two weeks on authority transfer, tender publication, and potential state intervention or partial extension. He expressed skepticism about holding a tender given the current situation, stressing the urgency for decisions to prevent further uncertainty for workers and the concessionaire.