An Israeli tourism organisation has sparked a debate over dining charges after eight Chinese diners paid more than £3,000 for a meal.

A receipt from a restaurant in the Arab town of Abu Ghosh, outside Jerusalem, went viral on social media this week.

The bill included a charge of around £1,200 for alcohol and £800 for the use of a private room.

The Israel Incoming Tour Operators Association (IITOA) claimed that the bad publicity had threatened to damage the country's relationship with China. Yossi Fattal, IITOA chairman, wrote online: "These visitors said they won't be returning or recommending that their friends come to Israel.

"Suckers are a very precarious base to build a business plan on. That's how our actions are destroying the potential of the Chinese market in Israel."

But following the furore over the bill, restaurant owner Jawdat Ibrahim claimed Mr Fattal and the tourism group had defamed his company.

The Chinese diners had enjoyed a gourmet meal lasting eight hours, including copious amounts of alcohol and lamb, and had insisted on the diner being closed to the public during their banquet, Mr Ibrahim alleged.

Mr Ibrahim wrote on Facebook that the tourism body had "taught me how easy it is to discredit someone; how easy it is to arrive at erroneous conclusions from fragments of information".

Mr Fattal responded by denying a number of Mr Ibrahim's claims, including that the restaurant had been closed to the public during the meal.

The Israeli tourism ministry has made efforts to increase tourism from China. Online courses for industry professionals have been launched to help them better understand Chinese culture and traditions.