The leader of the Green Party has said the passage of the Occupied Territories Bill will be a big test of the next government's ability to take difficult decisions.
Roderic O’Gorman dismissed suggestions that there should be a rethink of the legislation if it has the potential to damage Ireland’s economy or the country’s relationship with the US.
The bill aims to ban trade between Ireland and Israel’s illegal settlements on Palestinian land.
Former Irish ambassador to the United States Dan Mulhall said the government needed to carefully weigh up the pros and cons of the bill, and "whether it serves our interests, and whether it serves the interests of peace in the Middle East."
He said the Trump Administration in the US would have a "gung-ho attitude" in support of Israel and there are implications for Ireland if the bill is passed.
"We have to be careful, bide our time and handle this thing with care."
He said the people most pleased with the passage of the legislation would be the Netanyahu government "because it would undermine Ireland’s standing in the United States."
"I’m not saying we shouldn’t pass this bill, I’m saying we need to weigh up very carefully its pros and its cons."
Former Irish envoy to the US Congress John Deasy also raised concerns about the potential passage of the legislation.
He said that while he was horrified at what had happened in Gaza, Ireland needed to be careful about passing the legislation.
"When it comes to the pro-Israel lobby in Washington DC…it's true to say that if they put their minds to it, they have so much influence, could they damage Ireland?...Yes they could. They are an incredibly influential group."
"When people like Regina Doherty come out and say that we need to be careful about the damage that could potentially be done, she’s correct, they have that kind of influence."
Mr O’Gorman said there is strong public support for the passage of the legislation, and it is important that Ireland would take the step to target the goods and services that are coming from the Occupied Territories.
Meanwhile, Richard Boyd Barrett of People Before Profit-Solidarity said the government had sat on the Occupied Territories Bill for years.
"We need sanctions and basic human decency."
"I don't think we should kowtow to the bullying of Donald Trump or the American regime which sponsored the horrors that Israel is committing against the Palestinian people" he said.