Israel reportedly intends handing over to the Palestinians much of the industry currently run by Israelis in the Gaza Strip.
The transfer will be part of the wider withdrawal of all Israeli interests from Gaza.
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In addition to factories, the Palestinians will take over management of some of the world’s most technically advanced hothouses.
The process will be overseen by Israeli Vice-Premier Shimon Peres. He is convening a team of experts from all the relevant government ministries. They are meeting for the first time on Wednesday.