Fight against settlements not about boycotting Israel, says U.K. envoy

Britain's envoy to the Middle East on Monday said the United Kingdom would continue its fight against West Bank settlements, but would not mount a broader divestment campaign.

"This isn't about boycotting Israel. The settlements are not Israel," said Bill Rammell. He made the comments in Jerusalem after meeting Israeli and Palestinian leaders and touring parts of the West Bank.

While Britain has stepped up inspections of Israeli imports to make sure products from West Bank settlements not enter duty-free, Rammell said pressuring British companies to pull out of the settlements would be a step too far.

In addition to random inspections of Israeli goods by the British tax authority, Britain has taken the lead in trying to get the European Union to set labeling standards to make clear to consumers which products come from Israel and which come from settlements in the West Bank.

Starting in early January, Britain also plans to start warning its citizens about the risks of buying property in settlements, saying they could be affected should a peace agreement be reached.

The initiatives, some of which were outlined by British Prime Minister Gordon Brown in a Dec. 9 letter to Palestinian Prime Minister Salam Fayyad, are meant to discourage Israel from expanding settlements.

Palestinians say the settlements are a land grab and an obstacle to a peace agreement, and they have urged Britain and other European states to step up pressure on Israel to halt their expansion.

Outgoing Prime Minister Ehud Olmert has called for withdrawing from nearly all West Bank territory in return for peace with the Palestinians, but, under this proposal, major settlement blocs would stay with Israel.

Israeli exports to Britain total nearly $2 billion a year, and British officials said it is not yet clear what percentage of those products come from the settlements.

Under a 2005 agreement, products from Israel enter EU states like Britain duty-free. But Palestinians complain that many of those goods, labeled as made in Israel, actually come from West Bank settlements.

Rammell said the inspections were helping British authorities identify producers from the settlements, who are then denied the benefits.

"One, you would make sure that it wasn't given a tax-exemption. Two, you would tell that to the producer. And three, you would be alerted to that source for the future," he said.

But Rammell made clear Britain has no plans to join a campaign in some European countries to pressure companies to divest from the settlements.

"I'm not sure it's effective. It would be extremely complicated. And I think it's about a proportionate response," he said.

	British envoy to the Middle East Bill Rammell (center right) touring the West Bank on Monday. (Mati Milstein / British Embassy)