Congregations at Catholic churches will be told about the plight of those living in the West Bank town of Bethlehem at Christmas Mass.
The Irish Bishop's Conference (IBC) circulated a Christmas statement to priests saying that the birthplace of Jesus has been transformed from a "bustling cultural and spiritual centre" to "a big prison". It suggested the statement be mentioned in priests' homilies.
The letter from Bishop Raymond Field, chair of the Irish Commission for Justice and Social Affairs, which is a division of the IBC, is severely critical of Israeli policy in the Palestinian Territories.
It says illegal settlements, coercion and the controversial West Bank security wall makes it extremely difficult for Palestinian Christians from East Jerusalem to pray at the Church of the Nativity.
For Christians in Bethlehem wanting to attend Sunday mass at the Church of the Holy Sepulchre in Jerusalem, it is even more difficult because Bethlehem residents are not allowed visit Jerusalem without permission from the Israeli army, the letter says.
"The age old link between Bethlehem and Jerusalem - its spiritual, cultural and economic lifeline - has effectively been severed as a result of the erection of the separation wall and the expansion of illegal settlements on land acquired by coercion," the statement from Dr Field says.
It quotes the Latin Patriarch of Jerusalem Michel Sabbath saying: "Bethlehem, the city of peace, is a big prison. People living inside have the restricted possibilities and the psychology of prisoners.
"Our suffering is not as Christians, it is as Palestinians. We are subjected to the same restrictions - the wall, the checkpoints, the lack of jobs and difficulties in the provision of both houses and schools," Patriarch Sabbath says.
Dr Field's statement acknowledges that Israel's restrictions are "in part" security measures for the Israeli population of Jerusalem, but it says "they nevertheless are in clear breach of Article 12 of the international Covenant on Civil and Political Rights".
The statement also notes that almost 10 per cent of the Christian population of Bethlehem have emigrated since 2000 and that the decline of Christians throughout Holy Land is more pronounced.
"This development means that the birth place of Jesus, home to the oldest Christian church and the oldest Christian communities in the world, will have nothing left of its history other than the cold stones of empty churches within a few generations," the letter says.
It then offers prayer of solidarity with Palestine Christians and "all Israelis and Palestinians of good faith".