Archive for the ‘International Governments’ Category

UN World Food Program cuts nutrition program for DPRK

Thursday, June 19th, 2014

According to Yonhap:

The World Food Programme (WFP) has decided to curtail its nutrition program for North Korean babies and pregnant women by about 30 percent due to a lack of funding, a U.S. report said Thursday.

The WFP is operating the two-year nutrition program worth US$200 million in North Korea through 2015, targeting 2.4 million children under the age of 5 as well as pregnant women.

But a lack of funding seemed to lead the U.N. food agency to decide to reduce the operation of its nutrition program, according to Radio Free Asia (RFA).

The WFP’s total budget for its humanitarian aid to North Korea reached $137.5 million, down about 30 percent from its original plan, according to the report, it added.

The number of North Korean children and pregnant women who benefited from the WFP’s program reached some 840,000 last month, far below the agency’s target.

Ertharin Cousin, the executive director of the WFP, said in late May in Seoul that its nutrition program stands at a “very crucial juncture,” adding that it had received only 20 percent of the funding required to implement the program.

The North has relied on international handouts since 1995 to help feed its people suffering from chronic food shortages.

The WFP’s humanitarian aid to North Korea reached $26.56 million last year, compared to $86.94 million in 2012, according to the U.N. food agency.

In November, the agency said that food production in the North is estimated to have been 5.03 million metric tons in 2013, up 5 percent from the previous year.

Stephan Haggard has a review of the WFP’s efforts in the DPRK here.

Read the full story here:
Underfunded WFP cuts nutrition program for N. Korea: report
Yonhap
2014-6-19

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ROK private sector aid to the DPRK at low

Monday, June 16th, 2014

ROK-DPRK-aid-Hankyoreh

According to the Hankyoreh:

In terms of levels of private-sector [interchanges], the situation is even worse than the previous all-time low under the Lee administration. According to the annual White Paper on unification published in March, the total amount of private aid to North Korea authorized by the Ministry of Unification in 2013 stood at 5.1 billion won (US$5million). This amount not only pales in comparison to the 90.9 billion won (US$89.3million) okayed in 2007, the last year of the Roh Moo-hyun administration, but is only one-sixth the 31.0 billion won ($30.5 million) annual average during the Lee years. Even in 2011 and 2012, years when interchange and cooperation with North Korea were banned under the May 24 measures adopted in the wake of the ROKS Cheonan sinking, aid from NGOs amounted to 13.1 billion won (US$12.9million) and 11.8 billion won (US$411.6million), respectively. Between 120,000 and 180,000 people traveled between the Koreas under the Lee administration in comparison with last year’s total of 76,000. The Ministry of Unification is calling the numbers misleading.

“Last year, there was not any real aid to North Korea until August because all ties had been cut off after their third nuclear test in February,” a senior ministry official said on condition of anonymity. “The amount of aid and the number of people involved in exchange fell because there was a six-month vacuum,” the official explained.” The NGOs are countering by arguing aid has remained at a low 2.1 billion won (US$2.06million) this year, despite a lack of major frictions.

There are, however, signs of some change in inter-Korean interchange though the NGOs are cautioning against reading too much into the government’s decisions. On June 4, the Ministry of Unification approved the first agricultural exchange effort since the May 24 measures. The Gyeongnam Unification Agricultural Cooperation Committee has sent 33 million won (US$32,400) worth of strawberry seedlings to North Korea, where they are to be grown for four months before being brought back South

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Chinese investment in the DPRK

Friday, June 13th, 2014

Stephan Haggard posted some interesting information on Chinese investment in the DPRK. See his posts here and here.

In this graph, Dr. Haggard breaks down the Chinese investment data by year and industry:

registered-investments-in-China-by-industry

It is worth noting that the graph only sums the number of registered projects, not the value of the investments. Based on satellite imagery and trade data, I think we can make a strong case that the mining sector would be the area receiving the largest infusion of Chinese investment inflows.

Dr. Haggard also shows that most Chinese investment flows into the DPRK originate from the provinces along its border:

china-investment-in-dprk-by-province

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Data on Kaesong’s cumulative performance

Thursday, June 12th, 2014

According to Yonhap:

Cumulative production of the inter-Korean industrial park has come to US$2.3 billion as the most salient outcome of rapprochement between the Koreas marks its 10th anniversary of operations this week, the unification ministry said Thursday.

The joint factory complex in the North Korean border town of Kaesong opened a decade ago following the first inter-Korean summit meeting in 2000, in which their leaders adopted a joint declaration calling for closer cooperation and exchanges.

On June 14, 2004, a group of 15 South Korean groups signed contracts to operate factories in the then-newly built complex, inaugurating the era of the Kaesong Industrial Complex. In December that year, the joint complex saw its first batch of goods produced in its factories.

In the first full year of operations in 2005, annual output reached $14.9 million before jumping by more than 30-fold to $469.5 million in 2012, according to the unification ministry.

But yearly output nearly halved last year from 2012 after Pyongyang suspended operations of the Kaesong complex for five months from April amid inter-Korean tensions. The figure rose to $168.1 million in the first quarter of this year.

The value of inter-Korean trade through the park came to an accumulated $9.45 billion, according to the ministry.

A total of 940,000 people have visited the inter-Korean economic zone, with 125 South Korean firms currently operating in the complex designed to match deep-pocketed South Korean companies with cheap North Korean labor.

Among the firms, 73, or 58.4 percent, are textile firms, while another 24 firms are machinery or steel makers. The complex is also home to 13 electronics makers and 9 chemicals firms, the ministry noted.

The Kaesong complex also saw the number of North Korean workers grow from around 6,000 in 2005 to 52,000 as of recently, along with monthly salary more than doubling from $50 to more than $130.

Although this story reports salaries of $130, a separate story released just a couple of days ago claims the monthly incomes are just $70. I am not sure why the discrepancy.

Read the full story here:
Cumulative output of Kaesong park reaches US$2.3 bln
Yonhap
2014-6-12

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German firm to set up in Kaesong Zone

Tuesday, June 10th, 2014

According to the Wall Street Journal:

A German industrial needle maker will open an office in the joint inter-Korean industrial complex inside North Korea, South Korea said Tuesday.

The move will mark the first non-Korean business entity inside the plant but falls short of Seoul’s goal to bring in manufacturing operations from foreign companies to help ensure North Korea doesn’t unilaterally close the complex again.

The plant was shuttered for five months last year after Pyongyang withdrew its labor force during a sharp escalation in threatening rhetoric. Seoul officials in recent years have mulled over the possibility of attracting foreign companies, which they say would help the factories run without interruption.

Seoul’s Unification Ministry, which handles inter-Korean affairs, said Groz-Beckert, a maker of industrial needles and other tools for textile manufacturers, will open a sales office inside the facility, located a few miles north of the border. The ministry didn’t specify a schedule.

Here is coverage in AFP.

Here is coverage in Voice of America.

Read the full story here:
German Firm to Open Sales Office Inside North Korean Complex
Wall Street Journal
Jeyup S. Kwaak
2014-6-10

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DPRK detains third American: Jeffrey Edward Fowle

Tuesday, June 10th, 2014

UPDATE 6 (2014-6-30): KCNA (see also here) reports the following:

Suspicions about Hostile Acts by American against DPRK Confirmed

Pyongyang, June 30 (KCNA) — The Korean Central News Agency made public the following report on Monday:

The relevant organ of the DPRK has made investigation into American tourists Miller Matthew Todd and Jeffrey Edward Fowle who were detained while perpetrating hostile acts after entering the territory of the DPRK.

According to the results of the investigation, suspicions about their hostile acts have been confirmed by evidence and their testimonies.

The relevant organ of the DPRK is carrying on the investigation into them and making preparations for bringing them before court on the basis of the already confirmed charges.

Contact with an official looking after consular affairs, treatment, etc. in the course of investigation are being made in line with the laws of the relevant country.

Here is coverage of the announcement in the Wall Street Journal,

Reuters offers this helpful summary of related events:

HAPHAZARD LEGAL SYSTEM

North Korea’s haphazard and inconsistent legal system makes it difficult to predict the outcome for the detained tourists.

It has detained and then released other Americans in the past year, including Korean War veteran Merrill Newman, whom it expelled last December after a month-long detention based on accusations of war crimes related to his service history.

Australian missionary John Short was arrested in February this year for leaving copies of bible verses at various tourist sites during his stay. Short, 75, and Newman, 86, were released on account of their advanced age and health condition, state media said in the wake of published confessions from the two men.

Another U.S. national, Kenneth Bae, a Christian missionary who had been arrested in November 2012, was convicted and sentenced by North Korea’s supreme court to 15 years hard labor last year.

Pyongyang has detained a number of U.S. citizens in the past, using them to extract visits by high-profile figures, including former U.S. President Bill Clinton who in 2009 helped secure the release of two U.S. journalists who had secretly entered the country by crossing into the country from China.

The journalists, Laura Ling and Korean-American Euna Lee, were released after being tried by a city court in Pyongyang and given a ten-year hard labor sentence.

But North Korea has twice canceled visits by Robert King, the U.S. special envoy for North Korean human rights issues, to discuss Bae’s case.

UPDATE 5 (2014-6-8): Jonathan Cheng writes more information about Mr. Fowle in the Wall Street Journal:

Jeffrey Edward Fowle, the American citizen detained by North Korea, is a municipal road-maintenance man from southwestern Ohio with a globe-trotting past.

Mr. Fowle, who was arrested by North Korea after arriving for a tour on Apr. 29, is a 56-year-old resident of Miamisburg, Ohio, a city of about 20,000 residents on the outskirts of Dayton. He attends church in nearby West Carrollton, Ohio, and repairs streets for Moraine, Ohio, population 6,307.

But Mr. Fowle’s small-town roots belied a keen interest for the wider world. Before venturing into North Korea, Mr. Fowle made regular trips to Russia with his wife and traveled to war-torn Sarajevo in early 1997, less than a year after the four-year siege of the Bosnian city was lifted.

Timothy Tepe, a Cincinnati lawyer who represents Mr. Fowle’s family, said Mr. Fowle wasn’t on a mission for Urbancrest Baptist Church in Lebanon, Ohio, where he attended church. Mr. Tepe didn’t immediately reply to requests for further comment.

Joseph Shihady, a pastor at Bethel Baptist Church in West Carrollton, where Mr. Fowle attended services on Sundays and Wednesday evenings, said Mr. Fowle traveled to North Korea as a tourist.

“He’s a fine fellow, and we’re praying that he’ll get home safely,” Mr. Shihady said. “We know he’s in danger, and we’re concerned for him.”

In Washington, the State Department said that it was aware of reports about a third U.S. citizen who had been detained in North Korea, but declined to offer more details.

Mr. Fowle and his Russian immigrant wife live with their three children and the wife’s mother, according to a September 2010 interview with Mr. Fowle by the Dayton Daily News.

WHIO, a Dayton-based CBS affiliate, on Saturday cited a family friend as saying that Mr. Fowle’s wife had tried to dissuade him from going to North Korea, calling it too dangerous.

During his eight-day trip to the former Yugoslavia in 1997, Mr. Fowle spent four days in downtown Sarajevo with a Muslim family whose apartment walls were scarred by shrapnel following a missile attack, according to an earlier interview Mr. Fowle gave to the Dayton Daily News.

Nearly two decades later, Mr. Fowle finds himself at the center of a diplomatic tangle. Rep. Michael Turner (R., Ohio), which represents Mr. Fowle’s town, said in a statement that he was “deeply troubled” that Mr. Fowle had been held.


Late last month, North Korea sentenced a Christian missionary from South Korea, Kim Jung-wook, to a life of hard labor, following his October arrest on charges of working to overthrow the regime. Seoul had pleaded for his release.

UPDATE 4 (2014-6-6): WDNT in Ohio has some information on Mr. Fowle and a photo of him and his family.

The Christian Science Monitor has more.

UPDATE 3 (2014-6-6): Choe Sang-hun and Rick Gladstone report in the New York Times that  Mr Fowle is a “A municipal worker from Ohio on a tour of North Korea”.

The Korean Central News Agency provided no further details about Mr. Fowle but local media in the Dayton, Ohio, area said that he was a 56-year-old municipal worker in the suburb of Moraine and had a wife and three children. The website of the Dayton Daily News said the Moraine city manager, David Hicks, had described him as a longtime employee. Telephone messages left on Mr. Fowle’s home telephone answering machine and with Mr. Hicks’s office were not returned.

UPDATE 2 (2014-6-6): The Guardian reports (via other sources) that Mr. Fowle was being detained for leaving a Bible in his hotel room.

Jonathan Cheng reports in the Wall Street Journal.

UPDATE 1 (2014-6-6): According to KCNA:

American Citizen Detained in DPRK

Pyongyang, June 6 (KCNA) — American citizen Jeffrey Edward Fowle entered the DPRK as a tourist on April 29 and acted in violation of the DPRK law, contrary to the purpose of tourism during his stay.

A relevant organ of the DPRK detained him and is investigating him.

ORIGINAL POST (2014-6-5): According to Reuters:

North Korea detained another U.S. citizen in mid-May, bringing the total to three currently being held in the country, Japan’s Kyodo news agency said on Friday, quoting diplomatic sources.

The man was part of a tour group who was detained just before he was set to leave the country, according to the sources.

In April, the North said it had detained an American, Matthew Todd Miller, who had arranged a private tour of the country through a U.S. company. North Korea is also holding Kenneth Bae, a Korean American missionary who was arrested in 2012 and has been sentenced to 15 years of hard labor on charges of state subversion.

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Eberstadt on DPRK Trade

Wednesday, June 4th, 2014

UPDATE 1 (2014-6-12): Witness to Transformation has an update here.

ORIGINAL POST (2014-6-4): Nicholas Eberstadt has written an interesting article on trends in the DPRK’s trade patterns from 2002-2013.

Here is just one graph:

Eberstadt-graph-DPRK-trade-2014-6-4

Read the full article here.

Dr. Eberstadt draws some counter-intuitive conclusions that cannot be observed directly from the published data. You can read all about the published data on the DPRK’s 2013 trade statistics here.

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Chinese tourists to visit DPRK side of Mt. Paektu

Wednesday, June 4th, 2014

paektu-tourism-2014-6-4

Pictured above (Google Earth): Mt. Paektu and the locations of tourist infrastructure on the Chinese and Korean side of the border.

According to Yonhap:

North Korea is set to open its portion of the Korean Peninsula’s highest mountain to Chinese tourists this month, a travel agency official said Wednesday, resuming the tour route that has been suspended since the North conducted its third nuclear test.

If realized, it would represent another bid by North Korea to increase tourism income by approving more tour routes that start in Chinese cities.

The peninsula’s highest peak, Mt. Baekdu, sits on the border between North Korea and China. Tourists can visit the Chinese side of the mountain, but the tour route to the North Korean portion has been halted following the North’s nuclear test in February last year.

The two-day or three-day tour to the North Korean side of the 2,749-meter mountain starts from the Chinese border city of Helong in the northeast of China. Helong is part of the Yanbian Korean Autonomous Prefecture in China’s Jilin Province and a popular border town for travel to North Korea.

The official at the travel agency in Helong, who spoke on the condition of anonymity, said the tour route will be reopened in the middle of this month.

“It is the only route for tourists from China to see the eastern side of Mt. Baekdu,” the official said, adding that the trip will only be available for Chinese tourists.

The two-day trip will cost 1,100 yuan (US$175.8) per person and the three-day trip will cost 1,350 yuan, according to the official.

North Korea is one of the world’s most secretive and isolated nations, but Pyongyang has stepped up efforts to attract foreign tourists, particularly those from China.

Earlier last month, North Korea started its first one-day cycling trip from the Chinese border city of Tumen. The tour is not available for non-Chinese travelers.

Recently the DPRK has also welcomed day tourists to Namyang and Hoeryong.

Previous posts on tourism here.

Read the full story here:
N. Korea, China to resume tours to Korean Peninsula’s highest mountain
Yonhap
2014-6-4

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DPRK food rations in May 2014

Tuesday, June 3rd, 2014

According to Yonhap:

North Korea’s food ration dropped to its lowest level in four months in May, a U.S. radio report said Tuesday, in what could be the latest sign of chronic food shortages.

North Korea doled out 410 grams of food for each person per day in May, compared with 420 grams on average in February, the Washington-based Radio Free Asia (RFA) said, citing the U.N. World Food Programme.

The North’s daily food ration is lower than the WFP’s minimum recommended amount of 600 grams and the North Korean regime’s target amount of 573 grams, the radio said.

North Korea reports information on its food distribution to the United Nations every month to receive international food assistance.

North Korea said it distributed food to 16 million out of 24 million people, though it could not be verified how many North Koreans receive the food ration through the public distribution system, the radio said.

In May, Ertharin Cousin, the executive director of the WFP, said her agency’s nutrition program for North Korean children and pregnant women stands at a “very crucial juncture” due to a lack of funding.

She said that the U.N. food agency has received only 20 percent of the funding required to implement the program, which is “critically underfunded.”

The WFP’s humanitarian aid to North Korea reached US$26.56 million last year, compared to $86.94 million in 2012, according to the U.N. food agency.

The North has relied on international handouts since the late 1990s, when it suffered a widespread famine that was estimated to have killed 2 million people.

Voice of America also reports on this.

Here are previous posts on the DPRK’s food (2013, 2014) and agriculture situations.

Read the full story here:
N. Korea’s food ration hits lowest level in 4 months
Yonhap
2014-6-3

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DPRK reports number of Chinese tourists entering Rason by car

Monday, June 2nd, 2014

According to KCNA:

Number of Chinese Tourists Grows in DPRK

Pyongyang, June 2 (KCNA) — The tour by Chinese was conducted in the Rason area of the DPRK from May 31 to June 2, under an agreement made between the DPRK’s Rason International Travel Company and China’s Yanbian Arirang International Travel Agency.

Involving in the tour were more than 40 Chinese, who toured Pipha Islet, the Rason Taehung Trading Company, Rajin Port and other places by private cars.

This was the eighth batch of Chinese this year to visit the DPRK by private cars.

In this regard, an official at the Tourism Bureau of the Rason City People’s Committee, told KCNA:

“The tour by private cars began in June Juche 100 (2011), with due ceremony in the Rason economic and trade zone. Since then, more than 1 300 tourists have made trips to the area by more than 300 private cars in 70-odd batches.
Other forms of tourism are expected to grow in scope.”

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