Archive for the ‘International Organizaitons’ Category

European firms in N. Korea running business association: chairman

Saturday, May 5th, 2007

Yonhap
5/5/2007

European companies operating in North Korea have been running a business coalition to better coordinate trade ties with the reclusive nation, a businessman said Saturday.

“Our purpose is to build bridges between Europe and North Korea,” Felix Abt, chairman of the European Business Association (EBA), said in an interview with Washington-based radio station Radio Free Asia. The association was founded in April 2005.

The businessman, who is also president of the joint venture PyongSu Pharma Co., said European firms need to do more business with Pyongyang, whose business ties are heavily dependent on Northeast Asia.

The association comprises 11 companies, mostly European or joint ventures between European and North Korean state-run firms. DHL, the logistics arm of Germany’s Deutsche Post AG, is also a member.

North Korea’s trade with the European Union accounted for less than 10 percent of its total volume in 2004, while trade with China surged by 35.4 percent, according to the EBA’s Web site.

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Foreign NGOs in N.Korea try to counter culture of dependence

Wednesday, May 2nd, 2007

doctor.jpg

 AFP
 Philippe Agret
 5/2/2007

 

SARIWON, North Korea (AFP) – To cope with the pouring rain, the hospital tossed sawdust down the stairway leading to the operating theatre.

Two surgeons washed their hands in a sink, but sometimes they lack soap.

Much like the rest of North Korea, a political pariah and economic black hole, the nation’s hospitals subsist with whatever they can get their hands on, making ends meet with obsolete equipment, short-cut procedures and a smattering of foreign assistance.

Even by the standards of the developing world, the facilities here in Sariwon, a 45-minute drive south of the capital Pyongyang, leave much to be desired.

The medical equipment is largely German or Soviet, reused as long as possible, but spare parts are desperately lacking.

“As we lack sufficient or working equipment, we use local anaesthesia and acupuncture for operations,” said the director of the Sariwon hospital, Dr Choe Chol, a surgeon.

In winter, surgeons operate in rooms where the temperature is lower than five degrees Celsius (41 Fahrenheit).

To improve conditions, the doctors and nurses pitch in themselves to make the hospital work, sometimes even laying down the tiling in the operating theatres.

“We do our best here. There’s no bleach, no soap, no disinfectant. We cleanse with distilled water. It’s the volunteers — the doctors and nurses — who regularly do the cleaning up,” said Veronique Mondon, the North Korea head of the French charity Premiere Urgence.

Premiere Urgence is one of only six foreign non-governmental organisations allowed to work in the Democratic People’s Republic of Korea.

Like others NGOs, the group has set a goal of bringing the most basic treatment to the population — but also to encourage North Koreans to develop their own medical infrastructure.

Premiere Urgence’s primary effort has been producing intravenous drips — one of the only medical supplies made in North Korea — for the 12 hospitals where it works.

With 70 to 80 percent of the medicine in North Korea coming from overseas donations, the IV drip — in the form of a packet with a solution of distilled water, glucose and sodium — serves to ease the impact of the lack of supplies.

“These packets can be used for a great number of the medical problems in North Korea such as accidents, malnutrition, dehydration, diarrhea, typhus and hepatitis. They save lives,” said Mondon, a biologist who opened Premiere Urgence’s branch in North Korea in April 2002.

If IV drips are effective, their production is a daily challenge. The packets must be sterilised on site in the most sanitary conditions possible, a process that takes about three and a half hours.

In light of the instability of the electricity and frequent short power cuts, Premiere Urgence has brought in specially made transformers from China.

“The people in the laboratories work during the night to produce the packets so as to save the electricity for the sick people and operations during the day,” Mondon said.

“It was tough at first. It seemed to be an insurmountable task. But now, the North Koreans know that this is needed,” she said.

After the April 2004 disaster in the northern city of Ryongchon, when a cargo train blew up, killing more than 160 people and wounding a thousand others, Premiere Urgence worked round the clock to produce IV drips and distributed 40,000 of them to two hospitals that were treating victims.

Today, the laboratory in Sariwon produces 300 IV drips a day — enough to treat more than 200 patients in this 750-bed hospital.

Across North Korea, Premiere Urgence produces 500,000 packets a year, each one worth around 50 US cents.

The French group has also set up a central laboratory in Pyongyang for quality control over injectable solutions.

North Korea’s communist leadership adheres to the homegrown ideology of “Juche” — self-reliance and self-sufficiency.

But at least hundreds of thousands of people died in a famine in the 1990s and North Korea has since relied heavily on foreign assistance — notably for food — despite continued political defiance, including its test of an atomic device in October.

From the International Committee of the Red Cross (ICRC) to the few NGOs in North Korea, all encourage local initiatives in an effort to prevent a culture of dependence.

Premiere Urgence plans eventually to hand over the maintenance of equipment and training of technical staff to the North Korean ministry of public health.

As for the ICRC, as well as helping produce 1,200 prosthetic limbs in 2006, it has focused efforts on training local people, including orthopaedic specialists and surgeons.

“North Korea’s pharmaceutical industry will never be able to develop if humanitarian groups flood North Korea with foreign medicine. It will continue to vegetate and manufacturer substandard products if foreigners do not buy local medicine,” said Felix Abt, a Swiss businessman who heads PyongSu Pharma JV. Co Ltd., one of the first foreign joint ventures in North Korea.

Pyongsu has set up a “model” pharmacy in Pyongyang and since September 2004 has run a factory with 30 employees manufacturing paracetamol, the pain relief drug sold under name brands such as Tylenol, along with aspirin and antibiotics.

Abt hopes one day to be able to export medicine from North Korea.

“For now, we are giving the North Koreans fish. It would be better to give them nets so they can catch fish,” Abt said.

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Korean-Polish Joint Venture

Wednesday, May 2nd, 2007

Via the Eurpoean Business Association:

The Korean-Polish Shipping Co., Ltd. is a joint venture company established in 1967 in accordance with the agreement between the governments of the DPRK and Poland.

The company has head offices in Pyongyang, the DPRK and branch offices in Gdynia, Poland, where well-experienced officials appointed by the two governments respectively are employed.

In close cooperation with shipping agents and brokers of foreign countries in Asia, Europe and other parts of the world, it conducts mainly such businesses as cargo transportation and chartering of vessels. It also engages in brokerage and agency in marine transport, as well as invitation of investment.

The company will, in future, put the management of marine transport on a modern basis and further promote cooperation and exchange in shipping with different countries around the world.

Korean-Polish Shipping Co., Ltd.
Head office
Add: Moranbong District, Pyongyang, DPRK
Tel: 850-2-18111-3814384
Fax: 850-2-3814607
E-mail: [email protected]

Branch office
Gorczycowa Str.4F, 
81-591 Gdynia
Poland
Tel. ++48 (0) 58 629 90 54-55
Fax. ++48 (0) 58 629 90 53
eMail: [email protected]

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Australia to provide $4m aid to N Korea

Friday, April 27th, 2007

Austrailian Associated Press
4/27/2007

Australia will provide almost $4 million in humanitarian aid to a hungry and malnourished North Korea.

Millions of the 23 million people in the communist country are living in poverty.

Foreign Minister Alexander Downer said Australia’s $4 million commitment will focus on improving the health, hygiene and nutrition of North Koreans.

“Thirty-seven per cent of North Koreans suffer from chronic malnutrition, and two-thirds of North Korean children do not receive enough food because of a one million tonne food shortfall,” Mr Downer said in a statement.

“Many North Koreans also lack access to clean water and sanitation.”

Mr Downer said Australia’s assistance will be provided through a number of United Nations agencies and the International Red Cross.

About $1.5 million will go towards UNICEF’s water and sanitation program.

A further $1.5 million will provide food for 1.9 million people through the World Food Program.

The rest of the money will be spent on emergency health and essential medicines, disaster management, water supply and sanitation.

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North Korea’s IT revolution

Tuesday, April 24th, 2007

Asia Times
Bertil Lintner
4/24/2007

The state of North Korea’s information-technology (IT) industry has been a matter of conjecture ever since “Dear Leader” Kim Jong-il famously asked then-US secretary of state Madeleine Albright for her e-mail address during her visit to the country in October 2000.

The answer is that it is surprisingly sophisticated. North Korea may be one of the world’s least globalized countries, but it has long produced ballistic missiles and now even a nuclear arsenal, so it is actually hardly surprising that it also has developed advanced computer technology, and its own software.

Naturally, it lags far behind South Korea, the world’s most wired country, but a mini-IT revolution is taking place in North Korea. Some observers, such as Alexandre Mansourov, a specialist on North Korean security issues at the Honolulu-based Asia-Pacific Center for Security Studies (APCSS), believes that in the long run it may “play a major role in reshaping macroeconomic policymaking and the microeconomic behavior of the North Korean officials and economic actors respectively”.

Sanctions imposed against North Korea after its nuclear test last October may have made it a bit more difficult for the country to obtain high-tech goods from abroad, but not impossible. Its string of front companies in Hong Kong, Singapore, Thailand and Taiwan are still able to acquire what the country needs. It’s not all for military use, but as with everything else in North Korea, products from its IT industry have both civilian and non-civilian applications.

The main agency commanding North Korea’s IT strategy is the Korea Computer Center (KCC), which was set up in 1990 by Kim Jong-il himself at an estimated cost of US$530 million. Its first chief was the Dear Leader’s eldest son, Kim Jong-nam, who at that time also headed the State Security Agency, North Korea’s supreme security apparatus, which is now called the State Safety and Security Agency.

Functioning as a secret-police force, the agency is responsible for counterintelligence at home and abroad and, according to the American Federation of Scientists, “carries out duties to ensure the safety and maintenance of the system, such as search for and management of anti-system criminals, immigration control, activities for searching out spies and impure and antisocial elements, the collection of overseas information, and supervision over ideological tendencies of residents. It is charged with searching out anti-state criminals – a general category that includes those accused of anti-government and dissident activities, economic crimes, and slander of the political leadership. Camps for political prisoners are under its jurisdiction.”

In the 1980s, Kim Jong-nam studied at an international private school in Switzerland, where he learned computer science as well as several foreign languages, including English and French. Shortly after the formation of the KCC, South Korean intelligence sources assert, he moved the agency’s clandestine overseas information-gathering outfit to the center’s new building in Pyongyang’s Mangyongdae district. It was gutted by fire in 1997, but rebuilt with a budget of $1 billion, a considerable sum in North Korea. It included the latest facilities and equipment that could be obtained from abroad. According to its website, the KCC has 11 provincial centers and “branch offices, joint ventures and marketing offices in Germany, China, Syria, [the United] Arab Emirates and elsewhere”.

The KCC’s branch in Germany was established in 2003 by a German businessman, Jan Holtermann, and is in Berlin. At the same time, Holtermann set up an intranet service in Pyongyang and, according to Reporters Without Borders, “reportedly spent 700,000 euros [more than US$950,000] on it. To get around laws banning the transfer of sensitive technology to the Pyongyang regime, all data will be kept on servers based in Germany and sent by satellite to North Korean Internet users.” Nevertheless, it ended the need to dial Internet service providers in China to get out on the Web.

Holtermann also arranged for some of the KCC’s products to be shown for the first time in the West at the international IT exhibition CeBIT (Center of Office and Information Technology) last year in Hanover, Germany. The KCC’s branches in China are also active and maintain offices in the capital Beijing and Dalian in the northeast.

Another North Korean computer company, Silibank in Shenyang, in 2001 actually became North Korea’s first Internet service provider, offering an experimental e-mail relay service through gateways in China. In March 2004, the North Koreans established a software company, also in Shenyang, called the Korea 615 Editing Corp, which according to press releases at the time would “provide excellent software that satisfies the demand from Chinese consumers with competitive prices”.

Inside North Korea, however, access to e-mail and the Internet remains extremely limited. The main “intranet” service is provided by the Kwangmyong computer network, which includes a browser, an internal e-mail program, newsgroups and a search engine. Most of its users are government agencies, research institutes, educational organizations – while only people like Kim Jong-il, a known computer buff, have full Internet access.

But the country beams out its own propaganda over Internet sites such as Uriminzokkiri.com, which in Korean, Chinese, Russian and Japanese carries the writings of Kim Jong-il and his father, “the Great Leader” Kim Il-sung, along with pictures of scenic Mount Paekdu near the Chinese border, the “cradle of the Korean revolution”, from where Kim Il-sung ostensibly led the resistance against the Japanese colonial power during World War II, and where Kim Jong-il was born, according to the official version of history. Most other sources would assert that the older Kim spent the war years in exile in a camp near the small village of Vyatskoye 70 kilometers north of Khabarovsk in the Russian Far East, where the younger Kim was actually born in 1942.

The official Korean Central New Agency also has its own website, KCNA.co.jp, which is maintained by pro-Pyongyang ethnic Koreans in Japan, and carries daily news bulletins in Korean, English, Russian and Spanish, but with rather uninspiring headlines such as “Kim Jong-il sends message of greetings to Syrian president”, “Kim Jong-il’s work published in Mexico” and “Floral basket to DPRK [North Korea] Embassy [in Phnom Penh] from Cambodian Great King and Great Queen”.

On the more innocent side, the KCC produces software for writing with Korean characters a Korean version of Linux, games for personal computers and PlayStation – and an advanced computer adaptation of go, a kind of Asian chess game, which, according to the Dutch IT firm GPI Consultancy, “has won the world championship for go games for several years. The games department has a display showing all the trophies which were won during international competitions.”

Somewhat surprisingly, the North Koreans also produce some of the software for mobile phones made by the South Korean company Samsung, which began collaboration with the KCC in March 2000. North Korean computer experts have received training in China, Russia and India, and are considered, even by the South Koreans, as some of the best in the world.

More ominously, in October 2004, South Korea’s Defense Ministry reported to the country’s National Assembly that the North had trained “more than 500 computer hackers capable of launching cyber-warfare” against its enemies. “North Korea’s intelligence-warfare capability is estimated to have reached the level of advanced countries,” the report said, adding that the military hackers had been put through a five-year university course training them to penetrate the computer systems of South Korea, the United States and Japan.

According to US North Korea specialist Joseph Bermudez, “The Ministry of the People’s Armed Forces understands electronic warfare to consist of operations using electromagnetic spectrum to attack the enemy by jamming or spoofing. During the 1990s, the ministry identified electronic intelligence warfare as a new type of warfare, the essence of which is the disruption or destruction of the opponent’s computer networks – thereby paralyzing their military command and control system.”

Skeptical observers have noted that US firewalls should be able to prevent that from happening, and that North Korea still has a long way to go before it can seriously threaten the sophisticated computer networks of South Korea, Japan and the US.

It is also uncertain whether Kim Jong-nam still heads the KCC and the State Safety and Security Agency. In May 2001, he was detained at Tokyo’s airport at Narita for using what appeared to be a false passport from the Dominican Republic. He had arrived in the Japanese capital from Singapore with some North Korean children to visit Tokyo Disneyland – but instead found himself being deported to China. Since then, he has spent most of his time in the former Portuguese enclave of Macau, where he has been seen in the city’s casinos and massage parlors. This February, the Japanese and Hong Kong media published pictures of him in Macau, and details of his lavish lifestyle there – which prompted him to leave for mainland China, where he is now believed to be living.

Whatever Kim Jong-nam’s present status may be in the North Korean hierarchy, the KCC is more active than ever, and so is another software developer, the Pyongyang Informatics Center, which, at least until recently, had a branch in Singapore. Other links in the region include Taiwan’s Jiage Limited Corporation, which has entered a joint-venture operation with the KCC under the rather curious name Chosun Daedong River Electronic Calculator Joint Operation Companies, which, according to South Korea’s trade agency, KOTRA, produces computers and circuit boards.

The US Trading with the Enemy Act and restrictions under the international Wassenaar Arrangement, which controls the trade in dual-use goods and technologies (military and civilian), may prohibit the transfer of advanced technology to North Korea, but with easy ways around these restrictions, sanctions seem to have had little or no effect.

North Korea’s IT development seems unstoppable, and the APCSS’s Mansourov argues that it can “both strengthen and undermine political propaganda and ideological education, as well as totalitarian surveillance and control systems imposed by the absolutist and monarchic security-paranoid state on its people, especially at the time of growing conflict between an emerging entrepreneurial politico-corporate elites and the old military-industrial elite”.

So will the IT revolution, as he puts it, “liquefy or solidify the ground underneath Kim Jong-il’s regime? Will the IT revolution be the beginning of the end of North Korea, at least as we know it today?” Most probably, it will eventually break North Korea’s isolation, even if the country’s powerful military also benefits from improved technologies. And there may be a day when the KCNA will have something more exciting to report about than “A furnace-firing ceremony held at the Taean Friendship Glass Factory”.

Bertil Lintner is a former correspondent with the Far Eastern Economic Review and is currently a writer with Asia-Pacific Media Services.

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About 16 million immunized against measles in N. Korea

Friday, April 20th, 2007

Kyodo News
4/20/2007

About 16 million children and adults have been immunized against measles in North Korea in one of the fastest responses to a major outbreak of the disease, it was revealed Friday.

The mass vaccination was organized by the U.N. Children’s Fund, the World Health Organization, the International Federation of the Red Cross and Red Crescent Societies and North Korea after the government asked for help in February.

According to the international organizations, the immunization campaign was done in two phases, with 6 million children aged 6 months to 15 years vaccinated last month and 10 million people aged 16 to 45 years immunized earlier this month.

The campaign was arranged following the appearance of several cases of measles in North Korea last November. By February this year two adults and two children had died and more than 3,600 had been infected.

Measles had not been reported in North Korea before this outbreak since 1992, according to a joint press release from the international organizations involved, and many health workers in the country were unfamiliar with the disease.

“This was a remarkable example of good cooperation between different organizations,” said Jaap Timmer, the International Federation’s head of delegation in North Korea.

“The Red Cross mobilized more than 15,000 of its volunteers to visit families and explain the importance and benefits of the vaccination campaign.”

Measles is spread by contact with fluid from an infected person’s nose or mouth and is highly contagious. Symptoms include fever and a rash.

Sending vaccines and syringes to North Korea cost about $6 million, the press release said.

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Ranking NK Military Official in Critical Condition

Tuesday, April 17th, 2007

Korea Times
4/17/2007

A close aide to North Korean leader Kim Jong-il was in critical condition due to kidney failure, a civic aid group here said Wednesday.

Jo Myong-rok, first vice chairman of North Korea’s National Defense Commission (NDC), was in critical condition after his kidney was damaged, said Good Friends, a Seoul-based civic relief organization, in a monthly newsletter. Kim Jong-il is the NDC chairman.

Jo is widely known as a close confidant of Kim Jong-il, as he paid a visit to then U.S. President Bill Clinton in 2000 as Kim’s special envoy.

Doctors expect the 79-year-old vice marshal to live another month or two, as he already had one of his kidneys removed 10 years ago, and has gone through treatment for cancer in his intestines, the organization said.

“There were rumors of Jo’s illness,” a South Korean government official, asking not to be named, commented, adding that specifics of the illness were not known.

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U.K. banker in Macau to transfer BDA funds

Tuesday, April 17th, 2007

Korea Herald
4/17/2007

London investor Colin McAskill yesterday said he would attempt to transfer $7 million from Macau’s Banco Delta Asia, which the U.S. Treasury has labeled a money launderer, to test if North Korean-linked accounts have access to the international financial system.

The money is part of some $25 million in Banco Delta accounts belonging to North Korean entities and individuals that Macau authorities froze in 2005 after the United States said the bank was laundering money for the communist state. The funds were unfrozen last week as a concession in talks with North Korea to end its nuclear weapons program.

McAskill, who has agreed to buy North Korea’s Daedong Credit Bank and advises a fund that seeks to invest in the country, said legitimate bank transfers of all the deposits are needed to demonstrate the U.S. Treasury is not shutting North Korea out of the international financial system. He declined to name the bank or country he would attempt to move the funds to.

“I am not sending a truck, or queuing outside in a trench coat with a battered old suitcase to bring the money out in cash, and neither should the DPRK,” McAskill said, using the initials for the Democratic People’s Republic of Korea, the formal name of North Korea. “The money should and has to be moved through the international banking system to verify both the efficacy and the integrity of the apparent concession by the United States.”

North Korea on Friday said it will only implement a Feb. 13 accord on ending its nuclear program once it confirms “valid” release of the entire $25 million. It missed an agreed upon deadline on April 14 to begin shutting down its nuclear facilities and allowing inspections by the United Nations’ atomic energy agency.

North Korea should “realize fully its commitments under the Feb. 13 agreement by inviting back the IAEA immediately” and sealing the Yongbyon nuclear reactor, U.S. State Department spokesman Sean McCormack said in a statement posted on the department’s website on Sunday.

Maria de Lurdes Costa, a lawyer and member of Banco Delta Asia’s administration committee, said yesterday that she did not know which if any North Korea-related depositors had been talking with the bank about withdrawing their funds. Even if she knew, “still I wouldn’t tell you,” she said, emphasizing the matters are confidential.

She declined to say if the bank had enough dollar reserves to disburse the full $25 million in U.S. currency. “I would not reply to any of those questions,” she said.

The administrative committee chair, Herculano Jorge de Sousa, received similar queries by fax, a secretary in his office said, but had not had time to respond. The Banking Supervision Department at Banco Delta Asia declined to comment.

The U.S. Treasury ruling that Banco Delta Asia is a “money-laundering concern” becomes final on Wednesday this week, raising the possibility international banks will not do business with the Macao institution. (Bloomberg)

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Cash delivered to North for video reunions

Sunday, April 8th, 2007

Joong Ang Daily
Lee Young-jong and Ser Myo-ja
4/7/2007

South Korea hand-delivered $400,000 in cash to North Korea yesterday for Pyongyang’s purchase of video communication equipment. The North will spend the money to buy computers and display screens to reunite families separated for more than a half century by the demilitarized zones through video conference calls.

Two South Korean Red Cross officials boarded a cargo ship in Incheon for Nampo of North Korea Thursday morning. They carried a suitcase containing 40 bundles of one hundred, $100-dollar bills. The ship arrived in North Korea yesterday morning.

According to Red Cross officials, the cash was handed over to their North Korean counterparts at the port. “We told the North Koreans to inform us of the specific spending of the money,” an official was quoted as saying, adding that he received a receipt from the North Koreans for the cash.

The two Koreas’ Red Cross societies agreed last year that the South will fund the equipment for high-tech reunions and the promise was reaffirmed in March. South Korea was unable to provide equipment directly to the North because of U.S. regulations banning the export of dual-use goods to the North. Under the U.S. export administration regulations, strategic goods that include more than 10 percent of U.S.-made components or technology are banned for export to state sponsors of terrorism.

The money was from the inter-Korean cooperation fund. The Unification Ministry wired it to the South Korean Red Cross bank account and informed the Bank of Korea about taking the large sum of foreign currency out of the country. The money had to be hand-delivered because North Korea has had trouble accessing the international financial system since its funds were frozen at the Banco Delta Asia.

“It is sad that the North Koreans do not have a proper bank account that we can wire money to,” a Roh administration official said. “It shows the unfortunate reality of North Korea as an outsider of the international community.”

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Seoul sends US$400,000 to Pyongyang in rare cash aid

Friday, April 6th, 2007

Yonhap
4/6/2007

South Korea sent $400,000 in cash to North Korea Friday via the country’s Red Cross officials to help the North purchase computers and other supplies for video-link reunions of families between the two Koreas, officials said.

This is the first time for the Seoul government to send cash aid to the communist North, though bilateral trade exceeded $1 billion for the second consecutive year last year.

“Officials from the National Red Cross left for North Korea Thursday on a boat, carrying funds for the North’s video reunion center,” an official from the Ministry of Unification told reporters on condition of anonymity.

The boat carrying the South Korean officials, as well as 50 construction trucks promised to the impoverished North as aid for its flood damages last year, left Incheon on Friday.

The boat arrived at the North’s Nampo Port earlier Friday, according to ministry officials.

The money is to be used to purchase computers and TV monitors needed for the special kind of reunions between separated families via video conferencing.

North and South Korea have held more than a dozen rounds of face-to-face reunions since the historic inter-Korean summit in 2000, involving over 10,000 people from both sides.

However, over 90,000 South Koreans remain separated from their loved ones in the North since the end of the Korean War in 1953.

“We had no choice (but to give cash) because we could not provide actual goods,” most of which are prohibited from entering the communist nation under the U.S. law on the control of strategic goods, an official said.

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