Blockade Helps Gaza Militants, Says Report

Israel's latest blockade of Gaza is threatening to destroy the territory's commercial sector and drive more people into the hands of extremists, according to a report published yesterday.

In the last three weeks, 75% of Gaza's factories have closed because they are not allowed to import raw material or export finished products, forcing thousands of families to rely on food aid to survive.

The report by Gisha, an Israeli human rights organisation, concludes that the increase in poverty and dependency will lead to a further radicalization of Gaza's population which will cause further violence and attacks on foreigners, such as the kidnapping of Alan Johnston, the BBC correspondent freed early on Wednesday after almost four months in captivity. Johnston, who is expected to return home to Scotland on Saturday, spent his first full day of freedom yesterday visiting Mahmoud Abbas, the Palestinian president, right, to thank him for his efforts in securing his freedom.

The Gaza he left behind is choking under the near total suspension of movement of goods. Gaza's residents depend entirely on Israel for their exports and imports. Israel controls all the crossing points between Gaza and Israel and has a veto on the operation of the Rafah crossing between Gaza and Egypt.

Israel has reduced the flow of goods into Gaza to a bare minimum and stopped goods from leaving since Hamas wrested control of Gaza from Fatah and the Palestinian Authority last month. But Gazan militants are also exacerbating the problem by firing rockets at the crossing terminals which halts the little movement of goods that is taking place.

Sari Bashi, director of Gisha, said the impoverishment of Gaza was strengthening extremists at the expense of moderates. "Israel is attempting to achieve political objectives by exerting pressure on 1.4 million women, men and children, whose suffering is supposed to bring about the change it wants - toppling Hamas control in Gaza," she said.

"In reality, a policy of collective punishment is being imposed upon 1.4 million people, in violation of international humanitarian law and contradictory to Israel's interest. Destroying Gaza's economy only exacerbates dependence on extreme elements."

Israel is determined to avoid accusations of causing a humanitarian crisis in Gaza so is allowing basic food products ,which are distributed by the United Nations Relief and Works Agency (Unrwa).

An Israeli military official involved in Gaza policy described Israel's policy as "no development, no progress, no humanitarian crisis".

In a further blow to the Gazan economy Unrwa and the UN Development Program will announce today the suspension of all construction projects because Israel will not allow the import of cement. The projects are worth about $80m (£40m) and employ hundreds of people. The works include the construction of homes, health centers and sewage works.