GAZA, 20 August 2026 (Ghufran): Prices of essential goods have surged in Gaza as the smuggling of items restricted or banned by Israel has expanded, with traders, officials and residents alleging that middlemen and others are making large profits from the illicit trade. According to an investigation based on court documents and interviews with traders, truckers, officials and residents, Palestinians are paying inflated prices for groceries and batteries, while hospitals have increasingly turned to smugglers to obtain medicines and medical equipment. Cigarettes and tobacco, which have been banned from entering Gaza since the start of the Israel-Hamas war in October 2023, are reportedly among the most profitable goods for smugglers and merchants.Other products, including iPhones, solar panels, fuel and medical anaesthetics, are also being brought into Gaza through illegal channels.

Israel restricts the quantities of certain goods entering Gaza and bans others altogether. Some items are classified as “dual use,” including concrete, vehicle parts and X-ray machines, on the grounds that they could potentially be repurposed by Hamas for military purposes. The illicit trade has emerged amid severe shortages and restrictions affecting the availability of essential goods in the Gaza Strip, driving prices higher and increasing the dependence of residents and institutions on informal supply networks. An investigation into the trade reviewed Israeli court documents and included interviews with major traders, merchants and truckers involved in importing or selling smuggled goods. Palestinian officials, United Nations officials and residents also provided accounts of the growing trade and its impact on daily life. Several people interviewed spoke on condition of anonymity due to concerns over their safety, potential retaliation and their involvement in the illegal trade.The findings highlight how restrictions on the movement of goods have contributed to the growth of a lucrative black market, with essential commodities increasingly being sold at sharply elevated prices across Gaza.