The Industrial Cooperation Authority (ICA) is a government body under the auspices
of the Ministry of Industry and Trade. Its function is to obtain commitments for
reciprocal purchases from foreign companies and to initiate and coordinate
industrial cooperation resulting from these commitments. These commitments are the
result of purchases made by the Israeli government, government corporations and
other government bodies in accordance with the Mandatory Tender Regulations. The
objective is to achieve reciprocal purchases of at least 35 percent of the value of
the project or equipment supplied by the foreign company. This proportion is the
norm in most countries.

The Authority initiates and follows up on industrial cooperation resulting from the
import of goods into Israel, principally automobiles and computers, and is involved in
agreements with various foreign companies.

The goal of the Authority is to create long term industrial cooperation between
Israeli industry and companies selling equipment to Israel. The objective is to
increase exports, to acquire know-how and to encourage partnerships with foreign
companies in domestic and foreign projects.

The Authority is involved in industrial cooperation agreements with some 450
foreign companies in the areas of defense, aeronautics, energy and electricity,
automobiles and transportation, computers, electronics, machinery, etc.

The Authority regularly organizes meetings between foreign and Israeli
industrialists. It arranges for purchasing agents to visit Israel's booths at
international exhibitions, receives technical requests and offers of cooperation
from foreign companies and passes them on to Israeli companies. In addition, it
connects Israeli companies with the official responsible for reciprocal trade in
foreign companies and verifies that commitments for reciprocal purchases have
been met.

In order to fulfil their commitments, foreign companies are interested in the
purchase of goods, investments, joint research projects, the transfer of know-how
and technology, joint production and/or marketing, etc.

The volume of reciprocal purchases amounts to some $1 billion per year.
Reciprocal purchases are made in a competitive framework. They involve Israeli
companies producing high quality goods, which meet international standards. These
companies possess the capability to provide goods and services, which satisfy the
requirements of foreign clients.

The services of the Authority are given free of charge.