Gaza Faces Soaring Prices as Israel Halts Aid Shipments

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The people of Gaza are already feeling the harsh consequences of Israel’s sweeping decision to halt all goods and humanitarian assistance from entering the region. Just a day after the restriction was enforced, prices of basic necessities have surged, leaving many struggling even more in an already dire situation.

“It was a complete shock,” said Iman Saber, a 24-year-old nurse from northern Gaza. Living in a tent with her ailing father, mother, and sister, she had hoped for some relief following the recent cease-fire between Israel and Hamas. But those hopes quickly faded as the cost of essential goods like sugar, oil, and chicken began to rise again.

“We couldn’t wait for shops to reopen and prices to drop, to feel some relief,” Ms. Saber shared over the phone. “But now everything is becoming expensive again.”

Israel’s decision to halt the flow of goods, including crucial fuel shipments, was intended to pressure Hamas into accepting a proposed extension of the cease-fire. This proposal, made just hours before the blockade was announced, sought a seven-week extension in exchange for Hamas releasing half of the remaining hostages from the October 7, 2023, attack on Israel—the incident that ignited the war.

The immediate impact of this restriction was not just limited to humanitarian aid, which is distributed free of charge, but also commercial goods. As a result, residents of Gaza found themselves facing soaring prices for basic food items at a time when many were already struggling to observe the holy month of Ramadan.

“A kilogram of sugar was six shekels yesterday, but now, after Netanyahu said he will not allow anything to enter, its price has already risen to 10 shekels,” said Amani Aata, a 30-year-old from Beit Hanoun, northern Gaza.

And sugar isn’t the only commodity affected. Abdulrahman Mohammed, a 35-year-old father of four from Gaza City, reported that the price of tomatoes had jumped from eight shekels per kilogram to 20. Some merchants, he claimed, were hoarding supplies to sell at even higher prices later, further worsening the financial strain on families.

The Palestinian Interior Ministry responded by urging citizens to report excessive price hikes and any traders suspected of exploiting the crisis for profit. Police forces were deployed to markets across Gaza to monitor price regulations and ensure that essential goods remained available at fair rates. However, enforcing such measures remains a challenge in a region where economic hardship is deepening by the day.

Humanitarian organizations have strongly condemned Israel’s move to cut off aid, warning of devastating consequences for the people of Gaza. The aid group Oxfam denounced the blockade as “a reckless act of collective punishment, explicitly prohibited under international humanitarian law.” Doctors Without Borders echoed similar concerns, stating that withholding humanitarian aid as a tool of war “will have devastating consequences,” leading to further uncertainty, fear, and inflation.

United Nations officials also voiced alarm over the decision. Tom Fletcher, the U.N. under-secretary-general for humanitarian affairs, stressed the necessity of continued aid access, stating, “International humanitarian law is clear: We must be allowed access to deliver vital lifesaving aid.” Meanwhile, Hamas condemned Israel’s actions as “blackmail.”

Israel has maintained that sufficient supplies had already entered Gaza in recent months, particularly during the cease-fire, and claimed that the enclave had enough resources to last for several more months. However, humanitarian groups and residents have disputed this claim, pointing out that supplies were already limited and far from sufficient to sustain the population.

In Israel, five nonprofit organizations took legal action against the government, filing a motion with the High Court of Justice to prevent the cutoff of aid to Gaza. Gisha, a human rights group leading the effort, argued that halting humanitarian assistance is unlawful, even if Israeli officials believe there is an adequate supply of goods in the region.

The situation is further complicated by the fact that Gaza had experienced a surge in humanitarian supplies during the first phase of the cease-fire, offering a brief moment of relief. Prior to that, when the conflict was at its peak, fewer than 100 aid trucks were entering the region daily, and even those deliveries were frequently halted due to stringent Israeli inspections and border closures. Relief organizations accused Israel of deliberately restricting supplies, a claim Israel has denied.

Now, as Gaza faces yet another blockade, residents are bracing for even harder days ahead. The humanitarian crisis continues to deepen, with food becoming more expensive and increasingly out of reach for many families.

“We were able to breathe for a bit and feel some hope again,” Ms. Saber said. “But now, we’re feeling depressed again.”