The kibbutz is a unique form of settlement found only in Israel.
The kibbutz is a co-operated organization based on common contribution, joint production and mutual support of all its members. In recent years the kibbutzim have undergone many adjustments as they adapt to the modern social and financial processes in Israel, but nevertheless the fundamental principal of co-operative partnership remains the basis of the kibbutz`s existence.
The unique form of the kibbutz enterprises lies within their co-operated organization. 30% of the workers, who are the members of the kibbutz, are in effect the owners. This fact strengthens employees` feelings of partnership and belonging while intensifying their motivation to work and initiate. This is one of the central reasons for the great achievements made by kibbutz enterprises in the past decades.
While the kibbutz constitutes only 1.7% of Israel`s population, the kibbutz industry contributes 9.2% of Israels country-wide sales, 7.2% of export, 5.2% in investments and 9.2% in industrial employment. The kibbutz industries produce metal and electronics, plastic and rubber, processed foods, optics and glass, textile and leather, medicine and chemicals, office supplies, quarries and building materials, toys, jewelry and musical instruments.
Sales totaled $4.44 billion, including $1.33 billion worth of exports. The leading branches of kibbutz industry are plastic and rubber (38% of all sales) food (18% of total sales) and metal (14% of total sales). The kibbutz industries exported 45% of their production, compared to a national average of about 38% of sales. The leading exporters among kibbutz industries are plastic and rubber and food (51.5% of national export).