sign in sign up
<<
Home , Alei Zahav, Alon Shvut, Avnei Eitan, Beit Horon, Beit Yatir, Einav

Flash Report

TOURING ISRAELI SETTLEMENTS: BUSINESS AND PLEASURE FOR THE ECONOMY OF OCCUPATION

SEPTEMBER 2017

Tourism under Occupation: A Tale of Two In a characteristic display of audacity, Israeli Industries officials claim that their campaigns to Tourism to Palestinian and Syrian lands increase benefit both (namely the , East , and and the West Bank. According to Oren Drori, the ) is a key incentive, if not senior deputy director of Israel’s Tourism Min- a deciding factor, for international tourists istry, “There’s a sense of competition, but it’s when choosing Ben Gurion Airport as their healthy and good… When it rains, it rains on destination. Rich with cultural heritage, his- everyone.”3 The reality, however, is more akin torical landmarks, and religious sites, these ar- to a downpour for the occupier and a drought eas become particularly attractive for specific for the occupied. traveling demographics. According to a 2015 From the onset of its 1967 military occupa- inbound tourism survey by the Israeli Minis- tion, Israel recognized the substantial market try of Tourism, 22% of tourists listed pilgrim- potential of tourism to the oPt and pursued age as the prime purpose of their visit, sug- a dual strategy for its aggressive exploitation, gesting that and heavily investing in Israeli tourist enterprises 1 were critical destinations. A 2014 survey by beyond the while simultaneous- the same ministry indicated that nearly 40% ly restricting and actively de-developing the of touristic sites frequented by international Palestinian tourism industry. As is the case in visitors were located in the occupied Palestin- other sectors, the accumulation of profit by 2 ian territory (oPt). Israeli and multinational corporations was 1 Statistics, Research and Knowledge Man- and is contingent upon strangling Palestinian agement Department, “Tourism to Israel: Statisti- cal Report 2015” (Hebrew), Ministry of Tourism, Journal, Alternative Tourism www.gov.il, accessed 19 August 2017. Group, 2016, p. 25. 2 Cited in Makhul, Manar, “Staged Au- 3 Sanders, Edmund, “This Holy Land battle thenticity: The Israeli ‘Annexation’ of Palestinian focuses on tourists’ wallets.” Los Angeles Times, in the 1967 Occupied Territory.” 20 December 2011. Accessed 19 August 2017.

1 | Touring Israeli Settlements tourism and diverting all touristic movement In 2015, Israel’s tourism-generated income away from Palestinian neighborhoods, villag- reached a total of USD 5.3 billion, while a to- es, and cities, both within and beyond the tal of 3,069,800 tourists visited Israel and the Green Line. Although the situation in Gaza occupied Palestinian territory in 2016 (a slight will not be discussed in this report, it should 1.2% decrease from the previous year’s figure be noted that Israel’s illegal blockade and re- of 3,108,600).6 In 2017, April registered an peated brutal military assaults have rendered unprecedented peak in tourist arrivals, with Gaza’s tourism sector virtually non-existent. the expectation that 3.3 million tourists will This flash-report will provide an account of land in Israel in 2017.7 both facets of tourism under occupation The Israeli tourism sector enjoys major in- before examining the role of private digital vestments, both private and public. Private tourism corporations in promoting tourism to investments in the sector are continually settlements and normalizing their illegal pres- growing, reaching record levels over the past ence on occupied Palestinian and Syrian land. few years.8 According to the Israeli Minister of Tourism, Yariv Levin, increased to Israel (and the Palestinian territory under its Best of Both Worlds: The Israeli Tourism control) is attributed to the government’s sig- Industry nificant investment in targeted marketing ini- Ever since Israel’s establishment in 1948, tour- tiatives and outreach to “new markets.”9 And ism has been one of the most lucrative indus- as the annual budget of the Israeli Ministry tries in the Israeli market, securing major sourc- of Tourism reveals, governmental investment es of income for Israel. With some of the world’s in tourism for 2017 was estimated at NIS 328 best known religious, historical, and cultural million in expenses, in addition to NIS 629 sites under its full control, Israel attracts millions million allocated specifically to the “develop- of tourists annually.4 This is achieved despite po- ment of the sector.”10 litical unrest inflicted by Israel within its borders 5 of Finance, www.gov.il, p. 19-17. Accessed 19 and surrounding Arab region. August 2017. 6 Central Bureau of Statistics, “Table E/7.- 4 In 2016, a total of 2.9 million tourists Tourist Arrivals and Day Visits, By Country of Citi- entered Ben Gurion Airport, an increase of 3.6%, zenship”, www.gov.il. Accessed 19 August 2017. compared with 2015. “Tourism to Israel up 3.6% in 7 Central Bureau of Statistics, “Table 23 - 2016”. Globes [online], 9 January 2017. Income from Tourism and Expenditure of 5 According to the Israeli Minister of Tour- Departing Abroad (1),” www.gov.il. Accessed 19 ism, “the increase in the volume of tourism took August 2017. place concurrently with the security situation in 8 Avramovich, Lee, “A jump in tourism to the Middle East, with many countries in the region Israel: How much is it worth?” (Hebrew), 13 June experiencing a drop in tourism.” The Ministry of 2017. Accessed 19 August 2017. Tourism claims to be unsurprised, and “attributes 9 Central Bureau of Statistics, “Table 23 - the increase to a change in marketing strategies Income from Tourism and Expenditure of Israelis and a higher marketing budget.” Ibid. Departing Abroad (1),” www.gov.il. Accessed 19 Also see Ministry of Tourism, “Budget Proposal August 2017. for Fiscal Year 2017-2018” (Hebrew). Ministry 10 Also see Ministry of Tourism, “Budget

2 | Touring Israeli Settlements To further enhance the tourism industry in “Tourists but not Profits”: The Strangulation Israeli settlements, governmental financial of the Palestinian Tourism Industry programs and investment plans have been The profit figures of the Israeli tourism indus- adopted and implemented. On 19 June 2016, try alone reveal only a fraction of the eco- the Israeli government adopted Resolution nomic injustice perpetrated against the oc- No. 1561, titled “Special financial aid for Ju- cupied Palestinian population in the arena of dea and ”.11 Following this resolution, tourism. The full picture is one of staggering the Ministry of Tourism designated NIS 5 mil- economic, political, and cultural losses. lion to developing the infrastructure of public tourism in the occupied West Bank, extended In 1966, income from tourism and related consultation services to corporate and public services accounted for roughly 13% of the stakeholders in the tourism industry in the oc- Gross Domestic Product of the West Bank.13 cupied West Bank, designated half a million By contrast, in 2010, tourism contributed only NIS to marketing activities for the encourage- 0.6% of the Palestinian GDP, making it one of ment of local tourism to the occupied West the smallest sectors of the Palestinian econ- Bank and authorized an administrative grant omy.14 The period between 1967 and 1994 of 20% of its national investment plan to ho- witnessed a decrease of 55% in the number tel chains and in the occupied West Bank. of licensed Palestinian tour guides.15 Between 1976 and 1994, a period in which the entire As stated by the decision’s architect, Minister Palestinian territory was under the direct of Tourism Yariv Levin: “After years of trying, administration of the Israeli army, no for the first time today, the [Israeli] Ministry of were built in Palestinian areas in the oPt.16 Tourism will financially support the establish- As the former Palestinian Minister of -Tour ment of hotels and in and Sa- ism Kholoud Daibes told a Los Angeles Times maria. Over the past few years, we have been journalist, “We have more sites on our side, witnessing the development of tourism in this and Israel is using them to develop their own region, many attractions were cultivated and tourism, leaving us with a smaller piece of the a need to incentivize hotels has risen.”12 pie.” According to Daibes, Israel collects 90% of pilgrim-related revenues.17 Proposal for Fiscal Year 2017-2018.” (Hebrew) Ministry of Finance, www.gov.il, p. 17. Accessed 13 Hazboun, Samir, “Needed: A Modern In- 19 August 2017. frastructure.” Palestine-Israel Journal, 1(1), Peace 11 Prime Minister’s Office,Government “ Economics, 1994. Resolution 1561: Special Assistance for the Year 14 Shir Hever & Connie Hackbarth, “Lost of 2016 to Judea and Samaria” (Hebrew), www. Revenue from Tourism to the Palestinian Econ- pmo.gov.il, 19 June 2016. Accessed 19 August omy.” Alternative Tourism Journal, Alternative 2017. Decision is saved on file with Who Profits. Tourism Group, 2014. 12 “The Government decided: As part of as- 15 Ibid. sistance to Judea and Samaria - Ministry of Tour- 16 Ibid. ism will support the creation of hotels.” (Hebrew) 17 Sanders, Edmund, “This Holy Land battle Rotters: Israel’s Forums Community, www.rotters. focuses on tourists’ wallets.” Los Angeles Times, net, 19 June 2016. Accessed 19 August 2017. 20 December 2011. Accessed 19 August 2017.

3 | Touring Israeli Settlements In the same article, Nabil Giacaman, co-own- Article X of the Paris Protocol, the economic er of a shop in downtown Beth- annex of the Oslo Accords, was designed to lehem, explained that many tourists arrive regulate tourism between Israel and the Pal- to the city, but are taken directly to the Na- estinian Authority. Under the Paris Protocol, tivity Church and back to the bus by Israeli the PA was to establish a Tourism Authori- operators, spending little time, and conse- quently little money, in local businesses. “We have tourists,” he said, “but not profits.”18

The channeling of touristic movement into Is- raeli controlled and populated areas and away from Palestinian-majority areas (especially in Areas A and B in the West Bank) functions as a calculated Israeli policy of Palestinian de-de- velopment. In April 2017, the Ministry of In- terior’s Population and Immigration Author- ity sent an official letter19 to several tourist agencies instructing them to not take foreign visitors to the West Bank.20 According to the letter, unless accompanied by a form stating that tourist groups would not enter the West Bank, requests to invite a tour group to Israel would not be processed. The directive spe- cifically targeted groups entering the Pales- tinian city of Bethlehem, where many popu- lar religious sites are located. As part of the The letter from the Interior Ministry’s Population and Immigration Authority. efforts to de-develop the city’s local tourism industry, the request also urged tourist agen- ty with the powers of regulating, licensing, cies to refrain from booking overnight visits classifying and supervising tourist services, for their clients and tourist groups there.21 sites, and industries in the oPt. It was further 18 Amjad Alqasis & Dafer Kassis, “Status of agreed that tourist entities licensed by one Tourism Legislation in Palestine.” Alternative Tour- side would be “allowed to enter and proceed ism Journal, Alternative Tourism Group, 2015. on their tour within the area under the juris- 19 Official letter is saved on file with Who Profits. diction of the other side” and “enjoy equal 20 Melnitcki, Gili, “Israel bans tour access to tourism-related facilities and ame- groups from staying in West Bank, then back- nities in border points of exit and entry.” In tracks.”, 24 April 2017. Accessed 19 August 2017. reasons and it is currently on hold and is not op- 21 According to the Israeli Immigration erational. http://www.themarker.com/consumer/ Authority the letter was written out of security tourism/1.4041164

4 | Touring Israeli Settlements reality, Israel enjoys full access while Pales- mits were granted. Today, only 25 of those 42 tinians suffer severe restrictions on freedom are still operational, compared to 8,000 Israeli of movement. Israeli tour operators can pro- guides.”25 This means that 0.3% or less of li- ceed on their tours into occupied territory censed tour guides permitted to lead tours in while their Palestinian counterparts exercise Israel and the oPt are from the zero control of border crossings and face ex- oPt.26 Israel refuses to issue replacements treme policing and severe restrictions if they for expired licenses. Israel has also violat- wish to move between the West Bank and ed border-crossing agreements with the PA, East Jerusalem or to enter Israel. The forced raising fees but leaving the Palestinian share economic integration codified in the Paris unchanged while pocketing the difference.27 Protocol, which imposes the Israeli curren- Palestinian tour guides also face discrimi- cy on the Palestinian economy, also bene- nation at the Allenby Bridge border cross- fits the Israeli economy at the expense of ing between and the West Bank the Palestinian one. A Palestinian economy and are prevented from meeting tourists not subordinated to the Israeli Shekel would at the gate at Ben Gurion airport, a privi- likely have a lower exchange rate and thus lege extended to their Israeli counterparts.28 be able to offer lower prices to tourists.22 The tourism sector is also adversely affected Since all entry points to the oPt are controlled by the broader facts of life under prolonged by Israel, which also has full control over is- military occupation. For example, discrimina- suing tourist visas, Palestinian agencies can- tory zoning plans and building permit restric- not guarantee that their visa requests will be tions in occupied East Jerusalem contribute met.23 Moreover, since 1967, Israel’s occu- to funneling tourists to Jewish areas, both pying power has issued at least 15 military in and in East Jerusalem set- orders pertaining to tourism. According to tlements. According to Hever & Hackbarth Hazboun (1994), “As a result of having qual- (2014), in 2011, revenue from tourists ity standards raised, but access to funding in Jerusalem was USD 307.1 million, and ac- sources denied, many [Palestinian] tourism counted for 28.75% of all hotel revenue from firms were confronted with serious problems, .29 This means that the severe such as the often insurmountable challenge restrictions placed on Palestinian commercial of unequal competition with Israeli firms, construction in East Jerusalem likely lead to or demotion to lower tourist grades.”24 The major financial losses, effectively depriving agreements concerning licensing powers the city’s Palestinian residents of their right- have been violated and undermined. Accord- ful share of hotel-related revenue. Israel’s An- ing to Alqasis and Kassis (2015), “42 permits were granted in 2005, the only time such per- 25 Alqasis & Kassis, p. 19. 26 Ibid, p. 20. 22 Hever & Hackbarth, 2014. 27 Hever & Hackbarth, 2014. 23 Alqasis & Kassis, 2015. 28 Ibid. 24 Hazboun, 1994. 29 Ibid.

5 | Touring Israeli Settlements nexation Wall and checkpoints apparatus has ist sites and monuments… deeply affected also dealt a major blow to Palestinian tourism, the Palestinian identity and cultural rights.”30 especially in Bethlehem, the most popular Although it is impossible to estimate precise- tourist destination in Area A. Moreover, the ly the Palestinian economy’s financial losses degradation of the natural environment as a as a result of the economic strangulation of its tourism industry, even conservative es- timations are striking. A 2011 report by the Palestinian Ministry of National Economy and the Applied Research Institute of Jeru- salem found that the Palestinian economy loses USD 144 million annually in the area alone as a result of Israeli prohi- bitions and impediments to tourism-gen- erated income. Elsewhere, Palestinian Ministry of Tourism adviser Fadi Kattan es- timated that Palestinian tourism loses USD 1.4 billion in revenues on an annual basis.31

Tourist Trap: Digital Tourism and Deceptive Advertising

In addition to the heavy financial support of the Israeli government, private investment and corporate actors also foster the Israeli in- dustry of tourism. With emerging markets of digital tourism and online booking platforms, A sign at Qalandia checkpoint. Though more Israeli and multinational corporations addressed to Israeli citizens, the message to foreign visitors is clear: dangerous, stay have been reaping enormous profits from away. tourism in the oPt, strengthening Israel’s ille- Photographed by Who Profits, August 2017. gal hold over Palestinian and Syrian popula- tions, economy, and land. result of the occupation (e.g. theimpact of Is- raeli waste management facilities being relo- In its 2016 National Investment Plan in tour- cated to the oPt or the pollution on the coast ism, Israel stressed the economic and politi- of Gaza) also negatively impacts tourism. cal importance of digital marketing through

Finally, as one researcher notes, cultural 30 Kassis, Rami, “Tourism and human rights rights are also a pillar of human rights, and in Palestine.” Articles, Alternative Tourism Group. 31 Reuters Staff, “Israeli settlements squeez- the “systematic obliteration, Judaization, an- ing Palestinian tourism, officials .”say Reuters, 12 nexation and confiscation of Palestinian -tour December 2014. Accessed 19 August 2017.

6 | Touring Israeli Settlements “cooperation with digital tourism agents in istrative arrangements.36 success-dependent agreements.”32 According Since it is more complicated to apply tax ben- to the Ministry of Tourism, “these websites efits to an entire area in which Israeli law are paid according to results, not as a result does not apply, the government instead pro- of advertising.”33 As the Ministry of Tourism moted an amendment to the Income Tax Or- figures show, a trend toward independent der, under which the benefits will be extend- online bookings has been replacing tourism ed to Israeli individuals in the West Bank.37 through booking agencies. A majority (60%) Amendment No. 226 – which stipulates that of tourists are now traveling independently to an Israeli resident of the West Bank, who is Israel and purchasing services from an online eligible for benefits under the Investments . 34 The Ministry of Tourism has Law, will receive similar income tax benefits endorsed this trend by investing NIS 18.5 mil- – passed its final reading in the on 27 lion in cooperation with major online travel June 2016.38 By providing financial incentives companies, such as TripAdvisor, Expedia, and and tax abatement to the settlement enter- Odigeo Edreams. prise, the amendment constitutes a “financial As is the case with other Israeli sectors, the annexation” of the occupied territory, sup- abovementioned Israeli financial develop- porting the development of many sectors, ment of the tourism sector in the occupied including tourism, in settlements in the West Palestinian territory is governed by the En- Bank, and incentivizing tax benefited private couragement of Capital Investments Law 1959 investments. (hereinafter: the Investments Law).35 Under “In Israel” – the Mislabeling of Settlement the Investments Law, companies generally Tourism receive tax benefits as “benefited enterpris- es.” The laws encouraging capital investments In this flash-report, Who Profits aims to- ex do not currently apply to Israeli industries in pose the corporate involvement of the digital the West Bank (excepting Jerusalem), as this tourism industry in Israeli settlements. Digital territory was not officially annexed by Israel. tourism to Israeli settlements is carried out by Similar benefits have therefore been granted large-scale multinational companies that op- through government resolutions and admin- erate online booking sites. As stated above, Israel has been financially supporting online 32 Ministry of Tourism, “Budget Proposal booking companies on the basis of marketing for Fiscal Year 2017-2018.” (Hebrew) Ministry of “success.” In other words, and for our purpos- Finance, www.gov.il, p. 17. Accessed 19 August 2017. 36 The Social Guard, “Proposed Amend- 33 “Tourism to Israel up 3.6% in 2016”. ment to the Income Tax Order (No. 226)” (He- Globes [online], 9 January 2017. brew), hamishmar.org.il, 28 August 2016. Ac- 34 Ibid. cessed 19 August 2017. 35 Ministry of Tourism, “Budget Proposal 37 Ibid. for Fiscal Year 2017-2018.” (Hebrew) Ministry of 38 The Knesset, “Amendment to the Income Finance, www.gov.il, p. 17. Accessed 19 August Tax Order No. 226 (2016)” (Hebrew), knesset.gov. 2017. il. Accessed 19 August 2017.

7 | Touring Israeli Settlements es, the bigger the tourist influx to the West could be taken by exposing the complicity of Bank is, the higher the financial reward grant- such companies in an illegal situation such as ed by Israel. Israel’s belligerent occupation of Palestinian and Syrian land. By promoting and advertising listings and properties in the occupied West Bank, Consumer Protection Law these companies have been reaping mas- Over the past decade, the sive amounts of profit and, in the process, has increasingly recognized the importance strengthening the enter- of consumer protection in the digital- mar prise and Israel’s economy of occupation as ket. According to a policy overview report a whole. published by the European Parliamentary Re- Since digital and online tourism is a consum- search Service, “Consumer protection in the er-based industry, it relies heavily on its repu- digital single market is one of the main prior- tation and on mass use. In this regard, “ethical ities of European policy makers,” aspiring to travel” becomes a crucial principle. As shown meet the rights and needs of consumers “in a 39 below, many well-known booking companies rapidly changing digital environment.” list properties in occupied Palestinian and One of the key documents in this regard is Di- Syrian territory as “located in Israel.” In cases rective 2006/114/EC on misleading and com- where more accurate description was used, parative advertising, which became effective listings referred to the occupied Palestinian in December 2007. Article 2 of the Directive territory as “An Israeli settlement,” a term defines misleading advertising as “any adver- that is vague at best and which could easily tising which in any way, including its presenta- mislead uninformed consumers and conceal tion, deceives or is likely to deceive the persons the legal and ethical implications entailed in to whom it is addressed or whom it reaches booking properties located in illegal Israeli and which, by reason of its deceptive nature, is settlements. likely to affect their economic behaviour.” The Directive empowers member states to enforce Not only are these companies abetting Isra- compliance and combat misleading advertis- el’s violation of International Humanitarian ing through legal provisions, granting them Law (IHL) and International Human Rights powers to “require the advertiser to furnish Law (IHRL) by extending their services to set- evidence as to the accuracy of factual claims tlers, but their advertising practices echo the in advertising” and to order the cessation of mislabeling of settlement products as “Made misleading advertising.40 in Israel.” By employing tactics of deceptive advertising, companies violate basic princi- 39 Valant, Jana, “Consumer protection in ples of consumer protection laws to secure the EU: Policy Overview”, European Parliamentary Research Service, European Parliament, www. their profit. In response to such practices, a europarl.europa.eu, September 2015. Accessed first step towards promoting ethical travel 19 August 2017. 40 “Directive 2006/114/EC of the European

8 | Touring Israeli Settlements Listings in occupied West Bank

Screenshots provided by Mieke Zagt to Who Profits, February 2015.

9 | Touring Israeli Settlements There should be no doubt that the mislabel- Booking.com ing of settlement goods, in this case tourist accommodations, deceptively deprives con- Booking.com is an online rental company. sumers of critical information likely to affect Through its website, the company promotes their economic behavior, and therefore con- and rates accommodations and sites and en- stitutes a violation of consumer rights under ables tourists to book lodging and travel res- EU frameworks.

In the United States, the Federal Trade Commis- sion (FTC) has likewise established rules for “truth-in-advertising” that require that adver- tising be truthful and non-deceptive. Adver- tising that contains or omits information likely to mislead consumers acting reasonably un- der the circumstances and is material to the consumer’s decision to buy the advertised A screenshot provided by Who Profits, July 2017 good or service is con- sidered deceptive. The ervations. FTC is empowered to penalize companies that engage in misleading advertising practices by Incorporated in the Netherlands in 1997, issuing cease and desist orders, civil penalties Booking.com was founded by the merger of or consumer redress, and various informa- Bookings.nl (founded by Greet Jan Bruinsma) tional remedies.41 and Bookings online (founded by Sicco Alec Behrens, Marijn Muyser and Bas Lemmens). 42 Corporate Complicity In July 2005, the company was acquired by The Priceline Group for USD 135 million, and later partnered with ActiveHotels.com, a Parliament and of the Council” Official Journal of the European Union, L 376/21, 27 December 2006. Accessed 19 August 2017. 42 O’Neill, Sean, “Why Priceline’s purchase 41 Federal Trade Commission, “Advertising of Booking.com was the most profitable travel FAQ’s: A Guide for Small Business”, www.ftc.gov. deal of the 2000s” TNooz, 2 October 2012. Ac- Accessed 19 August 2017. cessed 19 August 2017.

10 | Touring Israeli Settlements A screenshot provided by Who Profits, August 2017

European online hotel reservation company.43 Among its promoted listings are properties Though owned by the US-based firm Price- located on occupied Palestinian and Syrian line, the company remains headquartered in land. Properties in Israeli settlements in the Amsterdam. Today, it is Europe’s most popu- West Bank are listed as located either in Israel lar accommodations website. or in “an Israeli settlement,” with no addition- al explanation provided, while those located The company’s website lists approximately in occupied East Jerusalem and Syrian Golan 1.4 million properties in 225 countries and are listed exclusively as located in Israel, mis- territories and books around 1.5 million res- informing consumers that book either short ervations per day. The site is available in 40 term or long term rentals. languages.44 Who Profits research shows that the compa- 43 Schaal, Dennis, “How Booking.com ny’s policies are inconsistent, contradictory, turned the other OTAs into converts.” Skift, 25 and in all instances misleading in regards to June 2012. Accessed 19 August 2017. properties in of the West Bank.- Ac 44 “About Booking.com™,” www.booking. com cording to data collected in 2015, the compa-

11 | Touring Israeli Settlements ny listed properties located in settlements in “Israeli Settlement” hardly constitutes aju- Area C of the West Bank as “located in Israel.” risdiction in the way that “France” or “Chile” For example, listings in the Kalia and Tekoa or “Occupied Palestinian Territory” do. For settlements show that in February 2015, the consumers unfamiliar with the geo-political company promoted the sites of Kalia realities of the area, the phrase “Israeli settle- Hotel and Tekoa Lodge as located in Israel, ment” does not necessarily suggest that the not the occupied Palestinian territory.45 hotel is situated illegally on occupied Palestin- ian land. It does not inform tourists that Kalia However, searches conducted in February is only accessible to Israelis and internation- 2017 showed that Booking.com made changes als, and Palestinians are banned from enter- to properties in West Bank settlements, listing ing it without a special permit. Moreover, the them as located in “an Israeli settlement.” The very fact that Booking.com extends its promo- Kalia Kibbutz Hotel listing, for instance, was tion and services to illegal settlements, thus changed to “Kalia, Israeli settlement.” Accord- facilitating tourism, cannot be circumvented ing to an Electronic Intifada article by Mieke through “more accurate” geographic listings. Zagt, “The change was more than likely made in response to European Union guidelines.”46 The Kalia and Tekoa sites are only two listings The EU has cautioned European businesses among many others. An internet search con- regarding the legal, financial and reputational ducted by Who Profits in August 2017 found repercussions they could expose themselves that Booking.com offered at least 9 proper- to in dealings with Israeli settlements. In ad- ties in 6 different settlements in Area C. Inter- dition, the Netherlands, where Booking.com estingly, some of the properties were listed is headquartered, maintains a longstanding as “Israel” while others were listed as “Israe- policy of discouraging business ties with Israeli li settlement.” In this iteration, Kalia Kibbutz settlements.47 Hotel was listed as located in “Kalia, Israel,” but the listing’s description stated, “Located Although the February 2017 listing is arguably in an Israeli settlement.” These findings make less deceitful than its predecessor, it remains clear that Booking.com fails in all instances vague at best, and implies no legal or ethical to give consumers sufficient and accurate in- responsibility, not to mention the fact that formation, leaving them with misimpressions about the properties in question. 45 Zagt, Mieke, “Booking.com offers hotel rooms in Israel’s illegal settlements.” The Elec- tronic Intifada, 24 February 2015. Accessed 19 Listings in occupied East Jerusalem August 2017. 46 Zagt, Mieke, “How Booking.com is aiding and Syrian Golan Israel’s war crimes.” The Electronic Intifada, 22 February 2017. Accessed 19 August 2017. Unlike sites in West Bank settlements, prop- 47 European Council on Foreign Relations, erties in East Jerusalem and the Golan remain “EU member state business advisories on Israeli settlements.” www.ecfr.eu, 2 November 2016. listed and marketed exclusively as “located in Accessed 19 August 2017. Israel.” In June 2017, Who Profits document-

12 | Touring Israeli Settlements ed dozens of such listings on the company’s users can rent and book rooms, apartments, website. houses, or villas not only within the Green Line, but also in illegal settlements in the oc- Booking’s Double Standards cupied Palestinian and Syrian territories. They In March 2014, Booking.com sent a request to can do so without being informed of the legal Ukrainian and Crimean Hotels to clarify if they and ethical implications of such actions. have connections to Viktor Yanukovych and Advertising accommodations in 17 other Ukrainians upon whom the Europe- an Union had imposed sanctions, whereby EU occupied territories companies are prohibited from carrying out The company has listed five standards for the any business with those sanctioned individu- use of its platform and assumes responsibil- als. Anoeska Van Leeuwen, a representative ity for their enforcement: Safety, Security, of Booking.com, was quoted in The Moscow Fairness, Authenticity, and Reliability. In open Times saying that “as a Dutch company, we disregard of its own stated standards, Airbnb fall under the trade restrictions of the EU.”48 presents accommodations located in Israeli Booking.com is quick to respond and comply settlements in the West Bank as located “in when trade restrictions are imposed on polit- Israel.” Not only is the company profiting and ical figures perceived as hostile to the West. enabling settlers to profit from houses lo- Yet, it appears untroubled by its role in abet- cated in illegally occupied territory, but it is ting war crimes when those are perpetrated also misleading the consumers by regarding by Israel. the occupied Palestinian territory of the West Bank and East Jerusalem and the occupied Airbnb Syrian Golan as “Israel proper.” Airbnb is an online rental compa- In this section, case studies of Airbnb’s listings ny, an e-commerce marketplace built on the will be presented, depicting real estate owned concept of ‘trusted community,’ where peo- by settlers in the West Bank, East Jerusalem, ple can list, find and book accommodations and the Syrian Golan. The methods of advertis- through the internet. The company, head- ing differ from one user to the other, but they quartered in San Francisco, California, was all share one thing: all descriptions mislead founded in August 2008 by Joe Gebbia, Na- consumers about the fact that these accom- than Blecharczykm and current Airbnb CEO modations are located in illegal settlements. Brian Chesky. Nowadays, Airbnb is being used in more than 34,000 cities and over 190 coun- Listing 1: Occupied Syrian Golan tries, including Israel. In the Israeli context, The listing presented as the “Assaf Boutique 48 Kulchitskaya, Diana, “Booking.Com Inves- Winery and Cabins” in Kidmat Tzvi is located tigates Hotels for Links to Sanctioned Ukrainians”. The Moscow Times, 20 March 2014. Accessed 19 in the occupied Syrian Golan Heights. The August 2017.

13 | Touring Israeli Settlements listing is described as being located within a religious attractions of the city.52 As previously Wine Village in the Golan Heights that includ- mentioned, of over three millions tourists who ed the winery itself, a visiting centre, and a visited Israel in 2015, 22% claimed to come for coffee shop. The price of this accommodation religious purposes. This does not include visi- is USD 334 per night.49 tors interested in religious attractions, but only those who announced that their visit is made The listing includes much information con- primarily for religious purposes.53 cerning the property, yet fails to mention that the Assaf Boutique Winery in Kidmat Tzvi, Other examples of religious attractions being founded in 2004, is located in a settlement used to boost Airbnb’s advertisement of hous- built on Syrian territory that was occupied by ing units can be found in properties located Israel during the 1967 war and illegally an- in the Jewish Quarter in East Jerusalem. One nexed. As shown in a Who Profits 2011 report of the houses, described as “an apartment in on the Industry, all grapes used the Jewish quarter with a view to the Temple in wines produced in the Golan Heights, in- Mount and to the Kotel [the ],” cluding those of Assaf Boutique, source from is rented for USD 1114.28 per night. Like the vineyards in occupied Syrian land.50 aforementioned religious-oriented advertise- ment, this unit also uses religious touristic As this case clearly shows, the misleading rep- attractions to promote itself, and the market resentation allows the leasers and subsequent- value of its proximity to these religious sites is ly Airbnb to gain more profit at the expense of reflected in its price. Syrian communities and resources. More often than not, consumers do not question these de- Who Profits research revealed that, as these tails as Airbnb is built upon the idea of a ‘trust- listings demonstrate, all Christian religious ed community’ with transparency of informa- sites located in the 1967 occupied Palestinian tion as their tenet in each listing.51 territory of East Jerusalem are regarded un- der Airbnb’s geographic classification as sites Listing 2: East Jerusalem in Israel.54

“Luxury in the ” in occupied East Jerusa- Listings in the occupied and lem is presented as Jerusalem-Israel and rent- Dead Sea area ed for USD 160 per night. The description of 52 On file with Who Profits. the accommodation is mainly focused on the 53 For further information regarding reli- gious tourism in Israel see: Makhul, Manar, (In press) “Stages Authenticity: The Israeli ‘Annex- 49 On file with Who Profits. ation’ of Palestinian Religious Tourism in the 1967 50 Who Profits, “Forbidden Fruit: The Occupied Territory.” pp. 6-8, (Bethlehem: Alterna- Israeli Wine Industry and the Occupation”, www. tive Tourism Group, 2016); Feldman, Jackie. “Abra- whoprofits.org, April 2011. ham the Settler, Conflict and on the 51 For more information regarding Airbnb Road to Bethlehem.” History and Memory 23, no. as a trusted community see: “About Us”, www. 1 (2011): 62–95. airbnb.com. 54 Makhul, 2016, p. 7.

14 | Touring Israeli Settlements Airbnb offers guest units in settlements in the nb also benefits from the abuse of natural re- Jordan Valley and in the northern Dead Sea sources by offering guest units in the area and area and promotes them by highlighting the promoting them as units in touristic natural features of the occupied territory, fail- and historic sites. According to a 2011 study, ing to mention that the units are located in il- overnight stays in in 2010 were sub- legal Israeli settlements. Since the occupation stantially fewer than the number of visitors of the West Bank in 1967, successive Israeli to the city, an average of less than one over- governments have established at least 37 set- night stay for every ten visitors to the city.58 tlements in the occupied Jordan Valley and This means that over 90% of hotel revenues northern Dead Sea area, while offering Israeli are diverted away from the Palestinian city of citizens residing in them subsidized utilities Jericho, a significant share presumably going and housing costs and further tax benefits.55 to nearby settlements, the same settlements There are at least 11 checkpoints in the Jor- that Airbnb and other platforms promote. Valley and the Dead Sea area, restricting the daily movement of the Palestinian res- Over the years, Israel took control of large idents in the area, which is also part of the swaths of land in the Jordan Valley and north- separation wall apparatus.56 ern Dead Sea area and continues to do so to this day.59 77% of this occupied land has been The State of Israel has been systematically declared closed military zones, nature re- exploiting the resources of the Jordan Val- serves, and state land.60 Although the State of ley and the northern Dead Sea area more in- Israel had committed to allowing Palestinians tensively than elsewhere in the West Bank. free access to the Dead Sea, for bathing and It controls the area’s major tourist sites and for using the sea’s natural resources61 - Isra- makes ample use of the occupied area’s natu- el prohibits Palestinians from entering these ral resources, including minerals, fertile land, areas and from staying in them, even if they and water sources for the benefit of Israeli have been living there for generations.62 settlers and for the Israeli state alone.57 Airb- Airbnb lists at least one housing unit in the 55 The UN Office for the Coordination of Humanitarian Affairs (OCHA), “Humanitarian fact Valley, existence is resistance”, Al Jazeera 29 Jul sheet on the Jordan Valley and Dead Sea area”, 2011. Accessed 19 August 2017. OCHA February 2012. In this fact sheet, OCHA 58 Hareuveni, Eyal, “Dispossession and warns that thousands of Palestinians in the Jor- Exploitation: Israel’s Policy in the Jordan Valley dan Valley and the Dead Sea area face a high risk and Northern Dead Sea.” B’Tselem, May 2011; of forced displacement. Tax benefits stem from Boarini, Silvia, “How Israel has secured the Jordan the area’s designation as a ‘national priority’ area Valley,” Palestine Monitor, 31 January 2012. by the Israeli governments. 59 “Israeli Violations Against Palestinian 56 “Eye on the Jordan Valley” Ma’an Devel- Rights to Land and Housing: Statistical Report,” opment Center & Jordan Valley Popular Commit- The Land Research Center – LRC, February 2013. tees, 2010, p. 12-13. 60 B’Tselem 2011; Boarini, 2012. “Movement Access & Restrictions,” Ma’an Devel- 61 Ma’an Development Center & Jordan opment Center, Spotlight 3, 2011. Valley Popular Committees, 2010, p. 12-13. 57 Kestler-DAmours, Jillian, “In the Jordan 62 B’Tselem 2011; Boarini, 2012.

15 | Touring Israeli Settlements settlement of Kalia in the northern shore of ert’s mountains. the Dead Sea that is rented for USD 107. Kalia Other listings in the occupied territory is described as a “Kibbutz” with a countryside atmosphere minutes away from the Dead Airbnb offers numerous guest units in the Sea, with no mention of its status as an illegal occupied territory, including the aforemen- 63 Israeli settlement. tioned listings. As the listings change based Kalia settlement is located in the occupied on the different dates, and new listings are northern Dead Sea area, next to the Pales- constantly being published, Who Profits can- tinian city of Jericho. The settlement’s loca- not indicate how many listings in Airbnb are tion, “five-minutes away from the Dead Sea,” located in occupied territory. is used by the owner and by the company to As of December 2016, using several different promote the listing. Another promotion is -re ranges of dates, Who Profits has document- lated to the proximity of the settlement to the ed listings in the Golan Heights settlements of city of Jericho, which is considered another Evnei Eitan, , Ortal, El-Rum and Alonei touristic site close to the unit in Kalia settle- Habashan. Who Profits has also documented 64 ment. Thus, the Israeli settlers and Airbnb listings in the West Bank settlements of Ari- benefit directly from the unit’s location on el, Ma’ale Adumim, Modi’in Ilit, , occupied land. Kokhav Ya’akov, Givat Binyamin, Eli, , , , , Alfei Me- Who Profits had also traced three listings in nashe, , , Almon (Atarot), settlement in the Jordan Valley Avnei Hefets, , Beit Arye, , Beit that are rented for an average price of USD HaArava, , (Mezadot Ye- 130 per night.65 Kfar Adumim is a settlement huda), Beitar Ilit, Beka’ot, Bruchin, , located near Wadi Qelt (Prat stream) in the Efrata, El’azar, , Alon More, , Gitit, north of the Judea Desert, and includes a , , , Hashmona’im, swimming pool and walking trails.66 Neither , , Kalia, , the owners of the listings nor the company Kdumim, Kfar Adumim, , Kiryat mention the fact that Kfar Adumim is a settle- Netafim, Ma’ale Amos, Ma’ale Efraim, Ma’ale ment. Furthermore, the owners and the com- Levona, Ma’ale Shomron, , Na’ale, pany use the occupied territory’s attributes to , , Nativ Hagdud, Neve Dan- promote the listings, highlighting the settle- iel, , , , , , ment’s location as being mountainous with a Sanur, , , view of the open desert, and even promoting , Telem, Vered Yeriho, , , some of the listings with photos of the des- and . 63 On file with Who Profits. 64 On file with Who Profits. In addition, Who Profits has documented list- 65 On file with Who Profits. 66 Kfar Adumim Website (Hebrew). Ac- ings in the East Jerusalem settlement neigh- cessed 19 August 2017. borhood of the French Hill. None of these ex-

16 | Touring Israeli Settlements The company is head- quartered in the US and holds subsidiaries in Ire- land (Airbnb Ireland) and in China (Airbnb Interner (Beijing) Co.).

Airbnb investors include Ashton Kutcher ($319M Since 2010), Elad Gil ($7.3M in 2010), Citigroup ($1B in 2016) and Morgan Stanley ($1B in 2016).

General Info:

888 Brannan Street, 4th Floor San Francisco, CA 94107 United States Phone: 415 728 0000 Website: www.airbnb.com amples inform potential consumers that they are located in settlements that are illegal un- Global presence: der international law. The company states that it has listings in Economic structure “Over 191 countries,” while there are 197 rec- ognized countries in the world and fully rec- Airbnb charges 10% commission from hosts ognized 193 members of the United Nations. on every booking done through the company. In addition, the company charges 3% of the TripAdvisor booking amount as transaction chargers from TripAdvisor Inc. is a US-based publicly traded travelers when the booking is confirmed. company that owns and operates online trav- Airbnb projected revenues of US 850 million el brands and websites that offer various tour- in 2015.67 As of 2015, the average price per istic services. Through TripAdvisor’s websites, night of accommodation in Israel was NIS 445 the company provides information regarding (USD 115) with a total of NIS 124.5 million accommodation, activities, and attractions, profit from Israel alone.68 with Israelis for Both Traveling and Hosting,” 67 http://the-airbnb-analyst.com/ Haaretz, 14 September 2015. Accessed 19 August 68 Harman, Danna, “Airbnb Proves Big Hit 2017.

17 | Touring Israeli Settlements including flights, , and vacation words, TripAdvisor refers to Kfar Adumim set- rentals in occupied Palestinian and Syrian ter- tlement as one of the Palestinian cities and ritories. The branded websites include tripad- thus misleads its users around the legal and visor.com in the US as well as localized ver- ethical differences between Palestinian cities sions of the same website for 46 countries. and illegal Israeli settlements. These are offered in 28 languages. Through Tripadvisor.com, the company provides in- Who Profits Research Center found informa- formation about numerous hotels located in tion and a booking option for hotels in East West Bank settlements, East Jerusalem settle- Jerusalem, in the West Bank settlements of ment neighborhoods and settlements in the , Kalia, Almog, Kfar Adumim and Kernei Shomron, and in the Golan Heights settle- ments of Ma’ale , , Odem, Kazerin, Ramot, , , and Ein Gav.

Under the “Things to Do” option on TripAd- visor’s website, attractions were found in the settlement and numerous Israeli tours in East Jerusalem.

As “Neighborhoods to See” in Jerusalem, ac- cording to the company’s website, one can find settlement neighborhoods in East- Jeru salem such as the Jewish Quarter, , and Ammunition Hill (Givat Hatach- moshet).

Through Viator, Inc, a fully owned subsidiary of TripAdvisor Inc., the company provides in- formation and a booking option for tours and travel activities in Israeli settlements in occu- pied Palestinian and Syrian territory, thus pro- Golan Heights. moting businesses in these settlements, and by extension the settlements themselves, as According to TripAdvisor New Zealand, one part of the State of Israel. of the four “holiday homes” in the “Palestin- ian Territories” is located in the Israeli settle- Under “Things to Do in the Palestinian Terri- ment of Kfar Adumim. Kfar Adumim is listed tories” on Viator’s website, one can find Jew- on TripAdvisor alongside the Palestinian cities ish-oriented tours offered by settlers in the of Jericho, and . In other illegal settlements in the territory. In addition

18 | Touring Israeli Settlements to the tours, Viator offers other “attractions”. subsidiary of TripAdvisor Inc., the company One such attraction found by Who Profits is powers the vacation rental option on TripAd- a two-hours shooting session, supervised by visor.com website. The subsidiary also oper- settlers who previously served in the Israeli ates as an independent website. Its website army. This specific session takes place in Gush offers vacation rentals in Kalia, the Golan Etzion cluster in the West Bank and offers the Heights and settlement neighborhoods in participants to learn “the values of the Israeli East Jerusalem. army” and to learn what it takes to become a Holiday Lettings Ltd , “counter-terror warrior”. Through . another ful- ly owned subsidiary of TripAdvisor Inc., the Through Bookingbuddy K.K, another ful- company operates a website that offers hol- ly-owned subsidiary of TripAdvisor, the com- iday homes in the Israeli settlement of Had pany offers information about other websites Ness, located in the occupied Syrian Golan that includes an option for booking hotels lo- Heights. cated in settlements in occupied territory. The Independent Traveler Inc settlements listed are mostly presented as Through ., another part of the Palestinian territory. In some cases, subsidiary of TripAdvisor, the company op- hotels are presented as part of Israel, with no erates the Familyvacationcritic.com website, reference to their illegal status under interna- which offers booking options for hotels locat- tional law. Hotels promoted via Bookingbuddy ed in the settlement of Ramot Naftali in the are located in the following West Bank settle- occupied Golan Heights. ments: Ariel, Kiryat Arba, and Kalia. General info: Flipkey Inc. Through , another fully-owned TripAdvisor Inc. & TripAdvisor LLC:

19 | Touring Israeli Settlements 400 1st Avenue, Needham, Massachusetts flights business. Barrie Seidenberg, CEO, Vi- 02494, USA. General phone number of the ator. Nick Shanny, senior vice president, core company: 781-800-5000. engineering.

Worldwide Headquarters Location: 400 First Subsidiaries: Ave, Needham, MA 02494. Tel: +1-781-800- 5000 TripAdvisor Holdings, LLC (Washington) ,Digital Advisor LLC (32.5%) (Massachusetts), EEA (Europe, Middle East and Africa) Head- TripAdvisor LLC (Massachusetts), FlipKey.Inc quarters: 7 Soho Square, London, W1D 3QB, (77%) (Massachusetts), Smarter Travel Media U.K. Tel: +44-203-320-3253 LLC (Massachusetts), The Independent Trav- eler, Inc. (New Jersey)Global Motion Media, APAC (Asia Pacific) Headquarters: 8 Cross Inc. (California), TripAdvisor APAC Holdings Street, #26-01 PWC Building, Singapore Corporation (Delaware), The TripAdvisor 048424. Tel: +65-6643-1220 Foundation (Delaware), Beiging Kuxun Tech-

Revenues: nology Co., Ltd. (China)Beijing Kuxun Interac- tive Technology Co. Ltd. (China), Bookingbud- For 2015: $1,492 M dy K.K (Japan), Holiday Lettings (Holdings) Limited. (UK), Holiday Lettings Limited.(UK) Ownership: Kooxoo, Inc.(Cayman Islands), Smartertravel Public company traded in NASDAQ stock ex- K.K (Japan), TripAdvisor Australia Pty. Limited change as “TRIP” (Australia), TripAdvisor China Cayman Hold- ings Limited (Cayman Islands), TripAdvisor Management Team: France S.A.S (France), TripAdvisor GmbH (Germany), TripAdvisor K.K (Japan), Tripadvi- Stephen Kaufer, chief executive officer and sor Limited (UK), TripAdvisor Singapore Pri- founder. Ernst Teunissen, chief financial offi- vate Ltd. (Singapore), TripAdvisor Spain, S.L. cer. Barbara Messing, chief marketing officer (Spain), TripAdvisor Technology Consulting Gary Fritz, chief growth officer and presi- (Beiging) Co., Ltd. (China), TripAdvisor Travel dent, APAC. Seth Kalvert, senior vice pres- India Private Limited (India), Tuqu Net Infor- ident, general counsel and secretary. Beth mation Technology (Beiging) Co. Ltd. (China) Grous, chief people officer. Dermot Halpin, president, holiday rentals. Robin Ingle, senior Partners: vice president, advertising sales. Bertrand Jelensperger, CEO, Lafourchette. Kraut- Advertising partners: Expedia, Priceline (in- er, president, SmarterTravel & Independent cluding their subsidiaries), Accor, Best West- Traveler. Adam Medros, senior vice presi- ern International, Carlson, Rezidor, Choice dent, global product. Bryan Saltzburg, senior Hotels, Hyatt Hotels, Marriott International vice president and , global and Wyndham Worldwide.

20 | Touring Israeli Settlements