NJ Prepares For Unilever Divestment After Ben & Jerry's Boycott Of Israeli Territories

NEW JERSEY — Ben & Jerry's recent move to stop selling products in Israel's "Occupied Palestinian Territory" could mean money lost for the brand's Bergen County-based parent company, Unilever.

Ben & Jerry's announced in a July news release that they would no longer sell their products in "Occupied Palestinian Territory", which includes the occupied West Bank and contested east Jerusalem, according to the Associated Press.

"We believe it is inconsistent with our values for Ben & Jerry's ice cream to be sold in the Occupied Palestinian Territory (OPT). We also hear and recognize the concerns shared with us by our fans and trusted partners," the company said in the statement.

New Jersey's Division of Investment conducted a review of the actions, and preliminarily determined that the measure effectively served as a boycott against Israel. This means that New Jersey, which invests pension assets into the company, would no longer do so, following a 2016 regulation that "prohibits investment of pension and annuity funds by State in companies that boycott Israel or Israeli businesses."

Shoaib Khan, New Jersey's Division of Investment director, informed the company of these findings in a letter dated Sept. 2.

"Following this review, the division reached a preliminarily determination that Unilever's actions did in fact constitute such a boycott and sent a letter to Unilever notifying the company of its provisional determination," Khan said.

"Upon final determination, no pension fund assets may be invested in the company, and DOI shall take appropriate action to sell or divest any existing pension fund investments."

The company, which employs 1,600 people at their headquarters in Englewood Cliffs, was given 90 days to appeal the decision.

Rep. Josh Gottheimer (NJ-5) applauded the decision on Wednesday, and was one of the state officials who reacted strongly against the move from Ben & Jerry's in July.

"I asked Ben & Jerry's and Unilever to reconsider their misinformed decision. They didn’t," Gottheimer said.

"I'm proud that New Jersey and Governor Phil Murphy are standing strong with Israel. If you refuse to do business with our ally Israel, states like New Jersey will not do business with you."

The move divided many, with those who support Israel as America's "true ally in the middle east" calling for swift action against the company, while some human rights groups came out in support of the move.

Locally, kosher supermarkets in the tri-state region vowed to take the product off their shelves, regardless of the monetary ramifications. Read more: Teaneck Store Won't Carry Ben & Jerry's After Israel Decision

Israeli leaders also began making calls for states like New Jersey to act in accordance with their anti-boycott laws, and some have begun to do so. Arizona has already sold off $93 million in Unilever bonds, and intends to sell the state's remaining $50 million, the Associated Press reports.

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