Special to WorldTribune.com

TEL AVIV — Israel, in another effort to cut costs, has begun
purchasing gunpowder from China.

Israeli industry sources said the Defense Ministry has been ordering
gunpowder from China for Israeli ammunition.

The sources said the procurement began around 2009 as a cost-cutting measure within the defense budget.

“It’s the same quality, but a lot of cheaper than producing this in
Israel,” an industry source said.

The sources said the Chinese gunpowder has been saving Israel about $10 million per year. They said the gunpowder had previously been produced by the state-owned Israel Military Industries.

The Israeli website Israeldefense.com reported that IMI has been
sustaining another crisis amid the decline in Israeli military orders.
Israeldefense.com said IMI was unable to pay employees and pensions from a Defense Ministry fund.

The sources said the Defense Ministry has maintained a fund to ensure IMI operations, particularly by its heavy munitions division. They said the division was regarded as a strategic asset in case of war.

“There is no reasonable answer to the question of why gunpowder is being
procured in China while the MoD continues to pay IMI salaries,” the website
said.

  $10 million a year in savings, Israel Military Industries, Israeli Defense Ministry, Israeli military buys cheap gunpowder from China, saves millions