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Diplomacy & Geopolitics

Israeli settlement winery defies UK-led sanctions

Psagot winery co-founder Yaakov Berg said his Israeli settlement business would keep operating and expand after Britain led allies in trade curbs on Israeli settlements in the occupied West Bank.

Berg told AFP at the Psagot winery in the settlement of Shaar Binyamin that the business would lose some sales but that he expected sales to rise in the longer term. He said Psagot exports about 60 percent of its production, including to Britain, the United States, Europe and South America, and that exports to the UK account for around $1 million a year.

Britain, France and Canada said Tuesday they were imposing trade curbs on Israeli settlements in response to settler violence against Palestinians in the West Bank. Nine other European countries joined a statement saying they planned to introduce or support restrictions on trade with settlements.

Berg criticised the sanctions as “pure antisemitism” and said the measures would not make him leave. Addressing British Foreign Secretary Ed Miliband, he said: “We'll grow more grapes, and we'll build more homes, and we'll stay here.”

Israel ordered reprisals against Britain after the UK-led measures, including the closure of Britain's consulate in Jerusalem. UK Prime Minister Andy Burnham defended the trade ban on Wednesday.

Israeli settlements mainly export agricultural products, wine, Dead Sea cosmetics and industrial products. There is no precise public data in Israel on settlement exports, and their products are generally counted among Israel's foreign trade. Calcalist reported that settlement exports account for less than one percent of Israel's total exports of goods and services.

More than 500,000 Israelis live in settlements in the West Bank among about three million Palestinians.

Update

Psagot winery co-founder Yaakov Berg said the business would lose some sales but would stay and expand after the sanctions.

Berg said Psagot exports about 60 percent of its production and that UK exports account for around $1 million a year.

Calcalist reported that settlement exports account for less than one percent of Israel's total exports of goods and services.

Berg described the sanctions as “pure antisemitism” and said he would put money “in the land” by growing more grapes and building more homes.

Source note: AFP news report published on 9 September 2026 at 15:30:38 UTC.

Update

Arab and Muslim nations welcomed the UK-led sanctions on Israeli settlements.

Source note: AFP news report published on 9 September 2026 at 15:38:19 UTC.

Update

UK Prime Minister Andy Burnham defended the trade ban in parliament.

Burnham said Britain would stand with people being bullied and intimidated out of their homes.

Burnham said the timing was linked to the tender for 1,200 homes in Israel's E1 settlement, which he said concludes before Israel's October 27 polls.

Foreign minister Ed Miliband called Israel's order to close the UK consulate in Jerusalem “regrettable and damaging”.

Source note: AFP news report published on 9 September 2026 at 12:46:19 UTC.

Update

British foreign minister Ed Miliband called Israel's decision to order the closure of the UK consulate in Jerusalem regrettable and damaging.

Miliband said he was confident Britain and Israel's intelligence and security relationships would continue.

Miliband rejected suggestions that the sanctions would affect intelligence cooperation with Israel.

Miliband dismissed criticism of the sanctions by Britain's chief rabbi Ephraim Mirvis.

Source note: AFP news report published on 9 September 2026 at 08:49:30 UTC.

Update

Britain's foreign ministry said advertising or promoting land and property in Israeli settlements will be prohibited in Britain.

Britain said five more individuals accused of inciting and conducting violent attacks against Palestinians had been sanctioned, bringing its total to 38 people sanctioned over settler activity.

British Prime Minister Andy Burnham, French President Emmanuel Macron and Canadian Prime Minister Mark Carney said the settlements pose a direct and urgent threat to a two-state solution.

The British government put 2025 trade with the occupied Palestinian Territories at about £38 million, or $51 million.

An AFP tally based on Palestinian health ministry data says Israeli forces or settlers have killed at least 1,105 Palestinians in the West Bank since the start of the Gaza war.

Source note: AFP news report published on 8 September 2026 at 18:33:26 UTC.

Update

Israeli Foreign Minister Gideon Saar said he called Britain's Conservative opposition to praise its stance against sanctions.

Source note: AFP news report published on 8 September 2026 at 17:56:47 UTC.

Update

Britain, France and Canada said they will ban imports from Israeli settlements in the occupied West Bank.

A joint statement on settlement trade restrictions was signed by Denmark, Finland, Iceland, Ireland, Norway, Poland, Portugal, Spain and Sweden as well as Britain, France and Canada.

France's foreign minister said France will end trade with settlements in occupied territories.

The source lists settlement exports including agricultural products, wine, Dead Sea cosmetics and industrial products.

The British government put trade with the occupied Palestinian Territories at about £38 million in 2025.

US Secretary of State Marco Rubio said the United States would not join the new sanctions.

AFP, using Palestinian health ministry data, put the number of Palestinians killed by Israeli forces or settlers in the West Bank since the start of the Gaza war at at least 1,105.

Source note: AFP news report published on 8 September 2026 at 16:32:44 UTC.

Update

Israel’s foreign ministry listed 12 British nationals who will be refused entry if they seek to visit.

The entry ban list includes Jeremy Corbyn, Zarah Sultana and Diane Abbott.

Source note: AFP news report published on 8 September 2026 at 15:34:54 UTC.

Update

Israel said it would expel British diplomats at a centre monitoring the US-brokered ceasefire plan in Gaza.

Israel said it would bar British training for Palestinian Authority forces.

Israel said it would ban 12 British officials from visiting Israel.

Israeli Foreign Minister Gideon Saar said foreign activity in Jerusalem must use agreed channels and not violate Israeli sovereignty.

Source note: AFP news report published on 8 September 2026 at 15:00:07 UTC.

Update

Israel ordered the closure of Britain's consulate in Jerusalem.

Israeli Foreign Minister Gideon Saar said British accusations in parliament were “outrageous lies”.

Source note: AFP news report published on 8 September 2026 at 14:36:22 UTC.

Update

Israel's foreign minister denounced UK criticism of settlements as “outrageous and false”.

Source note: AFP news report published on 8 September 2026 at 14:22:42 UTC.

Update

Britain plans to introduce an import ban on goods from illegal settlements in occupied territories.

Ed Miliband said Britain would act against companies and individuals providing construction, infrastructure, financing or real estate services for settlement expansion.

Miliband said the measures would be in place within six to nine months.

Britain is sanctioning a further set of extremist settlers accused of supporting or inciting violence against Palestinian communities.

Miliband said Britain would refuse all licence applications for arms and other exports that materially contribute to the occupation.

Miliband also announced sanctions against Al-Qard Al-Hasan Association in Lebanon and the reimposition of economic sanctions against Iran in line with the European Union and the United States.

Source note: AFP news report published on 8 September 2026 at 13:54:26 UTC.

Update

The head of an Israeli settler body called the UK-led sanctions “shameful and antisemitic”.

Source note: AFP news report published on 8 September 2026 at 13:26:53 UTC.

Uncertainty notes

There is no precise public data in Israel on settlement exports.
The source item does not give the full list of the nine other European countries that joined the trade-restrictions statement.

Source

AFP news report published on .

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