* Palestinians hope dates will make farms prosper again
* Jordan Valley "a gold mine" for agriculture-settler mayor
* Palestinian govt plans to revive sector
By Tom Perry
JORDAN VALLEY, West Bank, May 27 (Reuters) - Palestinian farmer Nasser Ismail hopes the dates he is growing in the Jordan valley will win him supermarket shelf space in Europe from his Jewish settler neighbours who sell the same crop at a premium.
More and more Palestinians are turning to date palms in the search for ways to make a living from West Bank land farmed by their families for generations. Today, many struggle to survive.
West of the biblical river, a sluggish, 100-km (60-mile) stream which forms the border with the kingdom of Jordan from the Sea of Galilee to the Dead Sea, many Palestinian crops are now abandoned, mid-season, for lack of water, a resource largely controlled by Israel since it occupied the territory in 1967.
Compounding their problems, farmers say exporting through borders controlled by Israel is complicated and time-consuming at best, impossible at worst. Most have given up trying.
In Jiftlik, a rural village in the heart of the sun-baked valley, smallholders talk of abandoning the land altogether.
Yet in the same region, in land adjoining Palestinian farms, Israeli settlers with better water supplies have built a farming industry described by their mayor as "a gold mine".
Exploiting the unique climate of the lowest point on Earth -- up to 400 metres (1,300 feet) below sea level -- they grow crops when seasons end elsewhere, helped by temperatures that are always several degrees warmer than surrounding areas. One of their most lucrative is the sweet, fat Medjoul date. Moroccan by origin, it is one of the world's most expensive varieties.
Ismail bought his first Medjoul date palms from the settlers in 2002. "It's a strong tree, a productive tree," he said.
"The dates can be refrigerated and sold in any season," he said, as his eight sons trimmed and tied off branches and tended to saplings he is planting to expand his farm near Jericho.
Thankfully for the Palestinians, the date palms can survive on the limited, brackish water available to them. They blame deep Israeli wells for hitting both the quantity and quality of their water supply."But the date palm can take it," he said.
FARMING AS A FRONTLINE
Palestinian date cultivation has expanded from 3,000 trees in 2000 to 50,000 today. This year alone Palestinian farmers are expected to plant up to 140,000 new trees, said Ibrahim Daiq, head of the Palestinian Farmers' Union. "This farming is part of the battle between us and the Israelis," he said.
The settlers in the Jordan valley number around 7,000, a fraction of the 500,000 who have moved into the West Bank and East Jerusalem since Israel captured the land 43 years ago.
They cultivate three to four times more land than that farmed by Palestinians and use 10 times as much water, the Palestinian agriculture minister said.
In a report last year, Amnesty International accused Israel of restricting the Palestinians' access to water. Israel rejects that charge, saying it has exceeded commitments agreed under interim peace agreements signed in 1995 to supply the Palestinians water. A World Bank report last year said that those allocations fall short of Palestinian needs.
Under a peace deal, something the United States is trying to mediate, the Palestinians want settlers out of the West Bank. [ID:nLDE64J21N] With its agricultural potential, the Jordan valley is seen becoming the economic backbone of a future state.
But Israel's prime minister, citing strategic concerns, has said that even after a Palestinian state is established, Israel should keep a military presence there.
Jewish settlers moved to the area because their government told them it was vital to security, said David Elhaiini, mayor of the regional Israeli council. He settled in the Jordan valley in 1983. Today, Israel is at peace with neighbouring Jordan.
"The Jordan valley is a success story," said Elhaiini, explaining, for example, how the climate allows settlers to ship table grapes to Europe when farmers in Chile have finished their harvest and those in North Africa have yet to begin theirs.
The settler farms, which employ some 5,000 Palestinians, use water pumped from West Bank wells and also piped from Israel. With more water, they could farm even more land, Elhaiini said in an interview at the Jordan valley settlement of Massua.
"ONE BIG GREENHOUSE"
Dates and fresh herbs are their most lucrative crops. Elhaiini estimates that the dates produced by the settlements account for 60 percent of those exported by Israel.
The Israeli Ministry of Agriculture declined to respond to questions on the settlers' output.
The U.N. Food and Agriculture Organization (FAO) says Israel ranked number nine in the total value of its date exports in 2007. Its dates are among the world's most expensive. Elhaiini estimated the yearly export value of settlement dates at up to $150 million and the total value of the valley settlements' output in the hundreds of millions of dollars.
The Palestinians today export just $5 million of produce from the Jordan valley, Palestinians officials say.
Settlement produce is at the centre of controversy, particularly in Europe because the enclaves built on occupied and are deemed illegal under international law.
In one of the latest measures targeting settlement output, Britain recommended in December that labels clearly state whether produce is from settlements. The Palestinians have banned settlement goods from their markets.
Describing the Jordan valley as "one big greenhouse", Agriculture Minister Ismail Daiq said he has a plan to create thousands of new Palestinian jobs in farming, using new methods to make the most of the available water and exploiting the expertise Palestinian workers have gained from settlers.
"This plan focuses on farming crops that we were buying from the settlements," he said. "We are thinking of exporting out of Jordan to Arab states, and to Europe and Turkey through Jordan."
(Additional reporting by Joseph Nasr in Jerusalem; Editing by Samia Nakhoul)