Marketplace®
Every story is an economic story

Gaza bombings a boon for smugglers

Israeli air strikes continue to hit Gaza, and over the weekend 40 underground tunnels on the Egyptian border were bombed. Daniel Estrin reports some smugglers stand to make good money off of the crisis.

Download

TEXT OF STORY

Steve Chiotakis: The world is keeping an eye on the Middle East this morning as deadly violence continues there in the Gaza Strip. Today’s Israeli air strikes targeted Hamas strongholds. A general strike has shut down banks and businesses there. But not all business in Gaza has come to a standstill. Daniel Estrin has this report.


Daniel Estrin: Over the weekend, Israeli warplanes bombed 40 underground tunnels on the border between Egypt and Gaza. Israel says those tunnels are used to smuggle in weapons, missiles and even foreign fighters.

But the tunnel industry has also dominated Gaza commerce. Israel’s sanctions on Gaza restrict certain consumer goods, so smugglers squeeze through everything from refrigerators to Viagra.

There are about 800 tunnels altogether. And Omar Shaban, a Gaza-based economist, says some smugglers are making good money off of the crisis.

Omar Shaban (voice of interpreter): These people who are managing or owning these tunnels will use this opportunity to raise the prices, and they’ll profit from it. Because working the tunnels during such Israeli military operation becomes more risky.

Shaban says that there are rumors floating around the Gaza Strip that some rockets launched into Israel have been paid for by tunnel operators — because crisis drums up their business.

From Jerusalem, I’m Daniel Estrin for Marketplace.

Latest Episodes

View All Shows
  • Marketplace Morning Report
    7 hours ago
    8:18
  • Marketplace Tech
    12 hours ago
    13:11
  • Marketplace
    a day ago
    25:23
  • Million Bazillion
    2 days ago
    30:58
  • This Is Uncomfortable
    7 days ago
    28:46
  • Make Me Smart
    4 months ago
    24:33