North Korean Economy Watch

Recent moves to isolate DPRK don’t include Kaesong Industrial Zone

July 26th, 2006

From Yonhap:

Seoul to expand inter-Korean economic project despite U.S. concerns: official

A ranking South Korean official on Wednesday said the government may expand a joint industrial complex in North Korea’s border town of Kaesong at an early date despite concerns that money paid to North Korean laborers there may be used to build missiles.

“The Kaesong industrial complex is a project that runs strictly on the mechanism of a market system,” Goh Gyeong-bin, head of the office for the inter-Korean economic project at the Unification Ministry, told reporters.

He said the government may begin the next phase of the Kaesong development project as early as August or September, which would include leasing out 1 million pyeong of land at the joint complex to South Korean companies. One pyeong equals 3.3 square meters.

The remarks are in line with Seoul’s earlier stance that it does not need to halt the inter-Korean project despite concerns, mainly from the United States, that wages paid to North Korean workers may be forfeited and diverted by Pyongyang to build missiles and weapons of mass destruction.

The apparent opposition from Washington, although still tacit, intensified after North Korea launched seven ballistic missiles, including a long-range Taepodong-2 believed capable of hitting the U.S. west coast, earlier in the month, while the U.N. Security Council unanimously approved a resolution prohibiting missile-related dealings with the North.

South Korea’s point man on North Korean affairs, Unification Minister Lee Jong-seok, however, has refused to halt or suspend the economic project with the communist state, claiming the U.N. resolution does not require his or any other country to cut normal, legal economic relations with the North.

“What the international community, including the U.S., is worried about is the North making or taking money through illegal means,” Lee told a National Assembly committee on Monday.

Currently, 13 South Korean companies are operating at the industrial complex, where about 7,800 North Korean laborers are getting paid US$57 a month on average, according to Goh.

The ministry official said there was no way of knowing for sure whether the North Korean government was taking any of the wages, but claimed it wasn’t happening.

“There is no possibility. The amount tells us that,” Goh told Yonhap News Agency in a later telephone interview.

“Even though North Korea is an extremely poor state, it would take at least 50,000 (South Korean) won (about $50) on average to feed a family of four for a month,” he claimed.

He said the South Korean companies are paying about $500,000 to $600,000 a month to 7,862 North Korean employees.

“The issue (of possible diversion of funds) may become significant when the amount grows to a significant level through second and third phases (of the development project), but it really is not an issue at this time,” he said in the press briefing.

Between 300 to 800 South Korean companies, depending on the size of each business, are expected to move into the joint complex when the next phase of the development plan is completed, according to Goh.

The industrial complex is expected to house about 2,000 South Korean companies employing nearly half a million North Koreans when it comes into full swing in 2012, according to the Unification Ministry.

Posted in Kaesong Industrial Complex (KIC), South Korea, USA | Comments Closed

DPRK, China agree on border river management

July 25th, 2006

From Xinhua via NKZone:

China and North Korea have signed an agreement to facilitate transportation through and environmental protection of a border river.

According to the agreement inked last Friday in Changchun, capital of northern China’s Jilin Province which neighbors North Korea, the two sides will cooperate on the management of navigation buoys and the dredging of part of the Yalu River.

During a nine-day meeting, traffic officials from both sides also discussed measures to prevent environmental damage caused by the dredging works.

The two sides also agreed to tighten management of cargo ships plying the river, according to sources who attended the meeting.

Posted in China, International trade, Sea shipping | Comments Closed

ASEAN and 5 regional naitons to pressure DPRK on talks

July 25th, 2006

From the BBC:

N Korea talks ‘unlikely’ at Asean

Hopes are fading that an Asean summit in Malaysia can kick-start negotiations on the North Korean nuclear stand-off.

Ministers from all six nations involved in talks on the North’s nuclear aims will be at the meeting later this week, but officials say progress is unlikely.

But the Malaysian hosts say North Korea has already signalled its unwillingness to restart the stalled talks this week, and a senior Chinese official told reporters that Beijing sees no reason for the other five countries involved to meet if North Korea refuses to participate.

From Yonhap: (7/26/2006)

U.S. formally asks N. Korea to attend six-way meeting in Malaysia: sources
By Lee Chi-dong

The United States has formally asked North Korea to join it in a six-way gathering with South Korea, China, Russia, and Japan on the sidelines of this week’s Asian regional security forum, diplomatic sources said Wednesday.

The request was delivered through Pyongyang’s mission to the United Nations in New York earlier this week, they added.

But it is unclear whether North Korea will accept the offer, with the U.S. ruling out any bilateral talks with the communist state outside of a six-way format.

The North’s intention is expected to be made public when its foreign minister Paek Nam-sun arrives here on Thursday afternoon to attend the ASEAN Regional Forum.

From the BBC: (7/25/2006)

Asean concerned at N Korea test

South East Asian nations have expressed concern over North Korea’s missile tests and urged a return to talks on its nuclear programme. The tests could affect regional peace and stability, the statement said. The appeal came in a joint statement issued after a meeting of Asean foreign ministers in the Malaysian capital, Kuala Lumpur.

Foreign ministers from the 10 countries which make up Asean (the Association of South East Asian Nations) are holding talks in Malaysia until the weekend. They will be joined later in the week by participants from other Asian nations for the Asean Regional Forum. US Secretary of State Condoleezza Rice is expected to attend the conference on Thursday. Officials say North Korean Foreign Minister Paek Nam-sun will also take part. Representatives from the other four nations participating in talks with North Korea – China, Russia, South Korea and Japan – will also be present, raising the possibility of informal talks on the nuclear issue.

But it is not clear whether North Korea will agree. South Korean Foreign Minister Ban Ki-moon said he had proposed a meeting with his North counterpart, but received no confirmation of it.

In the joint statement, Asean urged the six dialogue partners to “utilise their presence during the ARF to promote the resumption of the talks”.

Posted in ASEAN | Comments Closed

ROK insists Kaesong Products made in ROK, US says “nope”

July 24th, 2006

UPDATE: Contrary to a previous post (Listed below), South Korea is now insisting that goods made in the Kaesong Industrial Zone be labeled “Made in South Korea” for trade with the US, and the US is insisting that this will not be possible under the proposed FTA. I hope someone will blink because reduced trade barriers will be good for both countries.

From the Joong Ang:

U.S. reaffirms its stance against Kaesong in FTA
7/25/2006

Franklin Lavin, the U.S. Department of Commerce international trade undersecretary, has reiterated the American position not to include goods produced in the Kaesong Industrial Complex in North Korea in the free trade agreement with South Korea.

“The simple fact is that a bilateral agreement is between two countries,” Mr. Lavin said in a lecture organized by the American Chamber of Commerce yesterday.

“We have no negotiating authority, no congressional authority, to include any other economic entity in that bilateral agreement.”

Koreans negotiators, pushing to include Kaesong products in the FTA with the U.S., cited earlier free trade pacts with Chile and Singapore, which accepted the offer, as a precedent.

From the KBS:

Seoul Not to Compromise Kaesong Label
Friday, July 21, 2006

A top aide to South Korean President Roh Moo-hyun said Friday the South Korean government will not compromise on the issue of labeling goods manufactured in the inter-Korean industrial complex Kaesong as ‘South Korean-made’ in the ongoing talks for a free trade agreement (FTA) with the United States.

Senior presidential secretary for economic affairs Chung Moon-soo said that Seoul will never yield to Washington regarding the country-of-origin issue for South Korean products made in the Kaesong Industrial Complex.

South Korea’s Trade Minister Kim Hyun-chong also expressed a similar stance on the issue.

Earlier in Washington, U.S. Congress International Relations Committee Chairman Henry Hyde reportedly urged the U.S. government not to regard products made in Kaesong as South Korea-made.

In addition, Deputy U. S. Trade Representative Karan Bhatia has made clear that any deal that is beneficial to North Korea would run counter to the U.S. government’s position.

From the Korea Times:

Korea May Not Insist on Kaesong
By Park Hyong-ki
7/20/2006

Kim Jong-hoon, chief of Korea’s negotiating team with the United States on a free trade agreement (FTA), Thursday hinted that Seoul may not insist on including the Kaesong issue in the bilateral trade pact.

“We have not decided on which areas we will defend at all costs,’’ Kim told economic editors of newspapers and broadcasting stations. “I will consult decision-makers on the list.’’

Kim’s remarks came after last week’s negotiations in Seoul where the U.S. delegation, led by Wendy Cutler, rejected Seoul’s request for the exemption of tariffs on products made in the South Korean-led industrial complex in the North Korean town, in the event Kaesong-made goods are exported to the U.S.

The U.S. has reportedly been sensitive to transfers of cash to North Korea for fear they may sustain Pyongyang’s programs of weapons of mass destruction. About 6,000 North Korean workers work in Kaesong for about $60 per month. Kaesong is still in a developing stage so if more companies move in to set up shop, it would spell larger cash flows into the financially-strapped communist state.

Regarding Seoul’s decision to halve “screen quota’’ or its mandatory 146-day viewing of Korean films at theaters before FTA talks began, Kim said, “It provided an atmosphere conducive to the start of FTA negotiations.’’

He said that previous efforts to establish a bilateral trade pact with the United States were thwarted over the screen quota issue.

“We believed that if the screen quota remained intact, it would hobble any agreement at the last minute,’’ he said. “Besides, culture is a two-way street. We can’t just keep on insisting our position.’’

Talking about the rupture of the second round talks, Kim said that Wendy Cutler, chief U.S. negotiator, didn’t have authority to make spot decisions so had to consult with Washington, costing a lot on negotiating time.

The two sides are scheduled to meet for the third round in September in U.S.

Here is the position of the US (From the Donga)

The dissensions that had grown between Korea and the U.S. over the Gaesong Industrial Complex and tourism of Mt. Geumgang show signs of evolving into serious rifts.

At the U.S.-Korea Inter-Parliamentary Exchange Council press conference held at Rayburn House in Washington on July 18, the American chairman Edward Royce (Republican) emphasized the importance of where the profits from the industrial complex end up, stating the concern that the North Korean leadership may use the cash it earns for developing weapons of mass destruction such as missiles,

Officials from the Bush administration also recently noted that three laws on terrorism must be amended if the U.S. was to allow tax-free imports of goods produced in countries that support terrorism, such as North Korea, adding that such revision would be impossible for the U.S. Congress to accept. In effect, the U.S. will not be including products made in the Gaesong Industrial Complex in the Korea-U.S. Free Trade Agreement negotiations, because of the inconsistencies with existing laws and regulations.

Stuart Levey, U.S. Treasury`s undersecretary for terrorism and financial intelligence who visited Korea on July 16-18 is also reported to have met with Korean government officials and expressed a deep interest in whether a U.N. Security Council Resolution controlling the shipping of military supplies into North Korea would conflict with Mt. Geumgang tourism and the Gaesong complex.

In his statement upon departure from Seoul, disclosed on the U.S. Treasury website on July 18, he declared that they had discussed “issues of common interest, including the new United Nations Security Council Resolution that requires all member states to prevent the transfer of any financial resources in relation to DPRK`s missile or WMD programs.”

On July 18 Levey visited the Ministry of Finance and Economy (MOFE) and requested to know the Korean government’s position on the recent Security Council’s Resolution against North Korea; however a senior MOFE official replied that as the issue lies with the Ministry of Unification, MOFE was not in a place to provide an answer.

“We explained it [to Undersecretary Levey before he asked] because some concerns had been raised that the U.N. Security Council Resolution could clash with the Mt. Geumgang tourism and Gaesong Industrial Complex,” said Song Min-soon, chief presidential secretary for unification, foreign and security policy.

He went on to deny allegations that tensions had arisen between the two countries over the issue, stating that “Korean government officials had expressed there was no problem with the two enterprises regarding the purpose and range of domestic statutes, judicial judgement or international law mentioned in the Security Council Resolution, and Undersecretary Levey had responded that he understood well.”

While Washington has not demanded outright for South Korea to stop its industrial and tourism enterprises in the North, it has been reported to have conveyed strong concerns over the businesses bringing cash into North Korea.

However, a senior Korean official displayed a firm determination in pursuing the Gaesong project. “The Gaesong Industrial Complex is the epitome of the [current administration’s] North Korean policies. We will carry on with it no matter what difficulties are to be faced,” he said.

Fears have been raised that in case North Korea follows its arbitrary announcement on July 19 that it will no longer permit meetings of separated families with further measures to step up tension on the peninsula, South Korea and the U.S. could come to serious troubles over the Gaesong and Mt. Geumgang projects.

Meanwhile, a group of 56, comprised of people from credit assurance companies and from corporate banking divisions of banks such as Kookmin, Shinhan, Hana, Woori, Korea Development Bank (KDB), Kiup, City Bank Korea, Daegu, Busan, Kwangju, Jeonbuk and Kyongnam will be visiting the Gaesong Industrial Complex on July 21, sponsored by the Ministry of Unification.

Posted in International trade, Kaesong Industrial Complex (KIC), South Korea, USA | Comments Closed

China freezes DPRK bank accounts I

July 24th, 2006

This is big news. The Bank of China has frozen DPRK-owned bank accoounts for one of two reasons:

1. The Bank of China plans to list on the New York Stock Exchange (NYSE), as a result, it has to comply with western regulations and concerns…making its role as the new faciltator of DPRK monetary transactions more difficult to accept.

2. The Chinese now suspect the DPRK of counterfeiting the Chinese Yuan.

I am not sure of the real reason just yet. Anyway, here is the coverage in the South Korean press:

From the Joong Ang Daily:

Bank of China freezes North’s money accounts
Lawmaker, citing U.S. official, blames counterfeiting concerns
by Brian Lee

The state-run Bank of China has frozen its North Korean bank accounts due to concerns over counterfeit money, a Grand National Party lawmaker claimed yesterday.

Lawmaker Park Jin said his information came from a former senior U.S. government official of the Bush administration, who served at the White House.

Nevertheless, an official with the Foreign Ministry said yesterday that there was no information in regard to Mr. Park’s claim while the Chinese Embassy to Seoul said it was not in a position to comment.

Mr. Park visited in Washington recently with ruling and opposition lawmakers.

The lawmaker said that after Washington initiated an operation called “Smoking Dragon” in September of last year, which was designed to target North Korean counterfeit activities, a Macao-based bank was put under financial sanctions and North Korea moved its bank accounts to China in response.

Mr. Park said the former official told him that continuing probes by Washington led to the measure taken by the Chinese bank.

Mr. Park said yesterday that the Chinese bank was opting to list its stock at the New York Stock Exchange and was told it had little choice but to freeze the accounts.

The lawmaker said he didn’t know the exact timing of when the Chinese bank had frozen the North Korean accounts but speculated that a recent rift between Beijing and Pyongyang was due in part to that incident.

China agreed to a UN resolution passed earlier this month that was drafted in response to North Korea’s missile launch, which occurred despite Beijing’s efforts to stop it.

Mr. Park asserted that Pyongyang is also forging Chinese yuan currency. However, Unification Minister Lee Jong-seok who was asked about it yesterday at a briefing to the National Assembly’s Unification, Foreign Affairs and Trade Committee, said Seoul had no information one way or the other about the forging.

From the Korea Times:

China freezes N.K. accounts: lawmaker
By Lee Joo-hee

A South Korean lawmaker yesterday claimed that the Bank of China froze its North Korean accounts in relation to the alleged counterfeiting activities of the communist regime.

Citing former and incumbent Washington officials, Grand National Party lawmaker Park Jin said the latest move by China was connected with the United States’ financial measures against North Korea’s counterfeiting and laundering of money.

“This is a virtual ban against dealing with North Korea by China, leaving North Korea all the more devastated,” Park said. Park was in Washington to attend a seminar that started on July 15.

Last September, the U.S. Treasury Department cautioned American banks from dealing with Banco-Delta Asia, a Macau-based bank, which allegedly helped circulate North Korea’s counterfeit U.S. dollars.

The measure eventually forced the Macau bank to freeze the North Korean accounts, which amounted to $24 million.

North Korea immediately protested the move and has since boycotted the six-party talks.

“According to U.S. officials, although the $24 million may not appear to be a large sum, North Korea is sensitive to this issue because most of the funds are used for bribery and purchases of weapon components,” Park said.

Park said that following the freeze of BDA, the U.S. Treasury Department trained their radars onto other banks in Macau. North Korea has moved its accounts into banks in China since, he said.

Washington is currently evaluating the data from BDA for proof that North Korea counterfeited U.S. dollars.

North Korea is apparently concerned that the BDA measure could also affect some $200 million to $300 million accounts that are scattered in Singapore, Austria, Switzerland and Russia.

In yesterday’s parliamentary session, Park questioned Unification Minister Lee Jong-seok over North Korea’s counterfeit currency.

Park contended that North Korea was also counterfeiting Chinese yuan, but Lee responded that he did not have any specific information about it.

Reports in Tokyo yesterday said Japan was contemplating revising foreign exchange and trade laws, as part of its additional sanctions on North Korea over its missile launches.

The revisions are likely to require about 300 Japanese-based companies with business ties with North Korea to suspend exports of about 40 materials to destinations that are believed to be linked to the North’s missile program, the Yomiuiri newspaper reported.

It will require the companies to report to the Trade Ministry the details of their exports of targeted materials, including large trucks, titanium alloys and carbon fiber, the Yomiuri said.

Japan is also considering banning cash remittances and freezing North Korean assets in the country.

From Yonhap:

Chinese bank said to freeze N.K. accounts for currency counterfeiting

North Korea is suspected of having printed fake Chinese currency, which prompted the Bank of China (BOC) to freeze all of its North Korean accounts in an apparent retaliation, a South Korean legislator asserted on Monday.

Quoting a number of unidentified U.S. officials, Rep. Park Jin of the main opposition Grand National Party (GNP) said the freezing of North Korean accounts at the BOC is tantamount to virtual imposition of sanctions by Beijing on the North.

“I understand the North is even more frustrated because this means China is in fact imposing sanctions on North Korea,” the opposition lawmaker told Yonhap News Agency in a telephone interview.

Park has just returned to the country after a three-day trip to Washington along with 12 other ruling and opposition party legislators.

The GNP lawmaker claimed Washington may have been aware of the Chinese bank’s move as early as late last year when its Treasury Department imposed sanctions on a Macau bank suspected of circulating counterfeit U.S. dollars printed in the North.

“I suspect (the United States) did not announce the part related to China considering the sensitivity of the issue,” Park said.

He later claimed Beijing may be working with Washington to crack down on Pyongyang’s alleged counterfeiting of Chinese yuan.

“Following U.S. dollars, North Korea is also counterfeiting China’s currency, the yuan,” Park said during a meeting of the National Assembly Unification, Foreign Affairs and Trade Committee.

The claim, if found true, is expected to further complicate the stalled negotiations over North Korea’s nuclear weapons program as the United States has been looking to China to convince the North to return to the multilateral talks.

Pyongyang has been staying away from the talks since November, shortly after Washington imposed sanctions on the Macau bank, Banco Delta Asia.

Posted in Arms shipment, Banking, China, Counterfeiting, Drug smuggling, Finance, Fiscal & monetary policy, Illicit activities, South Korea, USA | Comments Closed

ROK suspends electricity transmission capacity expansion to Kaesong

July 24th, 2006

Say that title five times fast. From Yonhap:

KEPCO postpones construction of transmission tower in N. Korea indefinitely

Korea Electric Power Corp. (KEPCO), South Korea’s state-run electricity monopoly, has postponed its plan to construct a transmission tower in an inter-Korean industrial park in North Korea indefinitely amid rising tension on the peninsula in the aftermath of the North’s missile launches, the chief of the company said Monday.

“Since the inter-Korean relationship hit a deadlock due to a string of negative factors, such as North Korea’s missile firing, we have decided to put off a groundbreaking ceremony that had been slated for Friday to mark the construction of the transmission tower in the Kaesong industrial complex,” KEPCO’s Chairman & CEO Han Joon-ho said in a meeting with reporters in Seoul.

KEPCO had planned to build a transmission tower capable of sending 100,000 kilowatts of electricity from the South to the industrial park, located just across the demilitarized zone that separates the two Koreas.

The company currently transmits 15,000 kilowatts of electricity via 23 telegraph polls for more than 13 South Korean companies operating there.

The South Korean-built complex is a product of a historic inter-Korean summit in 2000 which set off a series of cross-border projects. About a dozen South Korean garment and other labor-intensive plants are currently in operation in the complex.

KEPCO’s announcement comes amid escalating tension between the two countries, triggered by the North’s missile launches on July 5.

Last week, North Korea withdrew all of its government officials from a joint dialogue office in Kaesong, cutting off the last direct channel for communication with Seoul.

Posted in Electricity, Foreign direct investment, Kaesong Industrial Complex (KIC), South Korea | Comments Closed

DPRK tops ROK in women’s quarter finals

July 24th, 2006

Yonhap
7/24/2006

N. Korea advances to semifinals of regional football tournament

The North Korean women’s national football team reached the semifinals of the Asia Football Confederation Women’s Asian Cup as they beat South Korea 1-0 in Adelaide, Australia, on Monday.

The nine-country tournament doubles as an Asian regional qualifier for the FIFA Women’s World Cup finals in China next year. FIFA is world football’s governing body.

Posted in Civil society, Football (soccer) | Comments Closed

DPRK Travel – 2004

July 23rd, 2006

After gaining my first exposure to the DPRK in 1996 from a Lonely Planet book on North East Asia, I was immediately curious about the country. Off-and-on for several years I informally studied the DPRK. In July 2004 I had the opportunity to visit the DPRK for the first time, which I did not think was possible until my plane landed in Pyongyang. I was thrilled to be one of only a handful of Americans allowed into the country that year.

I travelled with the Korean Friendship Association, which might raise some eyebrows among readers. The Korean Friendship Association is a pro-Pyongyang organization sponsored by the DPRK’s Committee for Cultural Relations with Foreign Countries (historically it is also known as the “Society for Cultural Relations…”). Most communist naitons had similar offices with similar names. DPRK offices with the word “Committee” in them seem to be the socialist alternative of “civil society” in more pluralistic countries. The CCRFC’s mission seems to be to build these civil-society level contacts and constituencies in other countries to facilitate exchanges between the DPRK and these groups, bypassing the formal state- and ministerial-level channels of exchange. I am only guessing about this, however…A brief introduction to the KFA can be found in a Naerna interview with Pak Kwang-ung, the secretary of the Korea-Spain Friendship Society and the KFA’s sponsor in the DPRK.

The CCRFC engages many overseas groups, such as the KFA and the National Lawyers Guild, in various cultural and informational exchanges. In return, these groups bolster the Committee’s portfolio and budget by participating in DPRK friendship activities and exchanges. The CCRFC and KFA have recently undertaken more explicit efforts at attracting foreign direct investment.

So why go with the KFA and not a regular tour group? Firstly, Americans were not offered tourist visas at the time (except for the rare Mass Games festival). Ironically, the Mass Games have been held annually since 2005 and more Americans than ever before are making the trip. Secondly, I wanted to learn as much as possible about the DPRK from their unique perspective. Joining the KFA delegation seemed to offer a solution to both of these concerns. The experience was composed of activities I never expected nor things I will ever forget.

This web page is designed for me to warehouse as much information as possible about my trip to the DPRK in 2004. Below, I have put all my pictures and comments. Plus I have added the content that others from the trip have put on the web:

1. The trip was filmed and turned into a documentary called Friends of Kim. It is on Youtube here: Part 1, 2, 3, 4, 5, 6, 7, 8.

2. Peter wrote an article for his college paper and posted this video on line in 2008 (description here). Peter also posted these clips on YouTube: here (at the DMZ) and this one documenting how Andrew was treated.

3. In 2003 Alejandro Cao de Benos was interviewed by KCNA. Here is the KFA description in Wikipedia.

4. Here is the KFA photo gallery and Nayan’s photo set: 1, 2, and 3.

5. Here are pictures of the trip I found on Naenara: 1,2,3,4,5,6,7,8.

Photos from 2004 trip to DPRK

We began in Beijing’s Capital Airport. Air Koryo flights are designated with the call letters JS. Air Koryo flights from Beijing are on an Ilyushin Il-62. When I stepped on the plane, I was struck by the 1950s deco ambiance which jolts the traveler half-a-century back in time in just a few seconds. The speakers played typical North Korean music which, at this point, was still charming. The stewardesses made Donna Reid look like a street bum. They served us a large meal and I drank some local beer called Ryongsong, which had a metalic after-taste. It was definitely my least favorite of the DPRK brews as I came to find. When the plane touched down in Pyongyang, the speakers welcomed us to the DPRK and told us about the Great Leader and the progress of the Juche Revolution. Welcome to Pyongyang.

At Pyongyang’s Sunan Airport, we were escorted to a special VIP entrance, bypassing the baggage claim, customs and passport control desks. This was so we could pose for pictures for the DPRK media and senior members of the KFA could give interviews, etc. In the end it turned out to be kind of annoying because the airport people insisted that we go back through customs and passport control to retrieve our bags and come back through again, which was kind of a hassle because by that point we were behind everyone else in line.

The Sosan Hotel, our home.
KFA delegations primarily stay at the Sosan Hotel. (There was one exception in 2005 for a large conference of groups sponsored by the CCRFC). The Sosan is isolated in Pyongyang’s sports district and it was not build to cater to foreigners like the Potongang, Koryo, or Yangdakdo. So when you are there, there is not much to do besides watch state television, drink, and chat with the same members of the group. As I recall, the hotel is over 25 stories with more than 12 rooms on each floor. Aside from our group there was just one other group of North Korean athletes staying there.

March For Peace and Unification
After settling in, Alejandro gave us some quick tips on how to “march,” something not all of us were too comfortable with and were not expecting. I personally had not anticipated such public political activities, but in the end I though it was hysterical and indicative of the kinds of activities that many North Koreans have to participate in regularly. There were several DPRK politicians there, including the head of the Committee for Cultural Relations with Foreign Countries. The march took place at the Monument to the three charters of national reunification.

Sinchon
The March Continued in Sinchon, home to the Museum of American War Atrocities. Although the Korean War is know as the “Forgotten War” in the United States, the citizens of the DPRK are reminded of it on a daily basis. This museum plays a big part in that mission. Next to the museum is a burial mound containing the victims of war atrocities. (This is much like the American War Atrocities Museum that used to be open in Hanoi)

* **
*Get rid of the Americans and unite the nation
**Revenge on the American wolves 1000 times

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*Long live the Workers Party of Korea

Sariwon-North Hawnghae Province
We then traveled to Sariwon to “work with the people”… By the time we arrived, I had been drinking and sitting around for so long that I was itching for some exercise. So when it came to the heavy lifting, I was ready to go. I pretty much smoked everyone else. They were unable to compete with my pent up energy. Chollima Speed, American style.

After KCNA completed their photos of the silly white-folks “working with the people,” we were treated to a great song and dance show. This was truly incredible. Not to brag about myself, but the Dutch filmmakers who recorded this even told me I was a much better dancer than most of the other members of the group. I have no idea of the name of the girl I was dancing with, but her look seems kind of haunting (in the pink dress below)…

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*Our ideology, our style political system, our style revolutionary way!

Kaesong
After spending the night in Sariwon (near Sinchon), we were off to Kaesong for the next leg of the “March.” Kaesong used to be in South Korea before the Korean War, and people there can pick up South Korean radio if they are clever enough. The cheering crowd was composed of all the old women, non-working mothers, and children. I did however (superficially) interacted with more Koreans than I thought would be possible, and got to walk down the main street in Kaesong. The march felt weird, but hey I was in the DPRK, and this is the kind of stuff they have to do all the time. Imagine.

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*The girl with the bandana was a Russian translator. She was trying to copy my sophisticated bandanna look.

Panmunjom
After walking down the street for another round of DPRK-style agitation, it was on to the last leg of the March in Panmunjom (the DMZ). This was one of the highlights for me. I have never visited South Korea, so my experience visiting the DMZ is exactly the opposite of most Americans. I was thinking about holding a sign up that said “Hello from Arlington, VA” for my fellow countrymen on the other side. Unfortunately no American soldiers were close enough to the border to talk to. We had to listen to yet another round of political speeches here as well. I was baking in the sun and could pretty much recite the speeches on my own. You simply take the same 50 words and move them around. It all gets repetitive pretty quickly. Afterwards, the Koreans who were listening to it all took lost of pictures, and wanted several with me. In the end this was an incredible experience and one I will never forget. One thing the march did for me was bring home to me how sad it is that the Korean people are divided like this.

Kaesong
The Koryo Museum was kind of interesting and very pretty. This museum is on the north-east side of Kaesong.

Tomb of Wanggon, founder of the Koryo Dynasty.

While in Kaesong, we stayed at the Folk Hotel. Many people stay here, and as a result, most of the pictures of Kaesong that visitors post on the web look the same. We visited a children’s palace there and saw a great show. The children there were absolutely adorable and put on a very talented performance.

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* Thank you Father kim Jong Il

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* We will honor the Great Leader Kim Il Sung as our eternal sun
** Lets become bullets and bombs protecting the Dear Leader Kim Jong Il

* **
* The Leader goes to the front line, and the children go to the camp
**Lets armor ourselves with Kim il Sung’s revolutionary ideas

Pakyon Waterfall
One of the most famous in the country. It is truly beautiful and my pictures do not do it justice. I was too busy having fun playing in the waterfall and throwing the Frisbee in the water to even explore the surroundings.

Back to Pyongyang

“Monument to Victory in Fatherland Liberation War”
The Fatherland Liberation War is the official name of the Korean war in the DPRK. This site, next to the war museum, is a huge plaza with statues laid out symmetrically along the sides which depict specific stories that took place during the war–highlighting various acts of heroism by the Korean People’s Army. The scale of the plaza or the size of the statue behind me is not accurately portrayed by the pictures.

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*Lets destroy the American invaders

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*Unity of military and people

Pyongyang Metro
Most visitors to the Pyongyang metro visit the same two stops: from Ponghwa to Yonggwang (near the Koryo Hotel).
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* If the Americans attack us, let us destroy them off the earth forever

Kumsusan Memorial Palace
This is the mausoleum where Kim Il-sung is preserved in state like Lenin, Mao, and Ho Chi Minh. I have seen all of these except “Uncle Ho” because he was in Russia getting touched up when I visited Hanoi. Anyway, none of their facilities are nearly as complex and ornate as Kamsusan. This building used to be Kim il Sung’s office, like the White (or blue) House. Although plans were initially to bury Kim il Sung in Kim Il Sung Square, they decided to keep him in is office, since that “is where he spent all his time.” Visitors to Kumsusan begin by checking any materials that they should not have, then they travel about a quarter of a mile by air conditioned moving sidewalk. Along the way, you have the opportunity to clean your shoes and will also go through a metal detector. At the end, you enter the first chamber playing the Song of Kim Il Sung. Here you march in 4 person formation up to a large statue of the president in front of the room, upon which you are supposed to look at quietly for a few seconds. Afterwards, you exit the room and go through a tunnel that blows air on you to remove any lint you might have, and then you are in the room with Kim il Sung himself. You are supposed to bow respectfully on each side of his coffin. The large tumor on the back of his neck has been removed. After you exit the room, you observe the medals and awards Kim received from various nations and dictators. You will also see his Mercedes, propped up on blocks, and his train cart. After that you enter a room where a tour guide explains all of the great exploits of the leader. Finally, you enter the last room where you can write something nice in the guest book. It is illegal for south Koreans to visit here by South Korean law.

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* The Great Leader Kim Il Sung will always be with us

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*Lets get “armed?” with Kim Il Sung, Revolutionary Leader

Taesongsan Revolutionary Martyrs Cemetery
This is the graveyard for Kim Il Sung’s guerrilla fighters that served with him in World War II, including his most famous wife, Jim Jong Suk, mother of Kim Jong Il. It is also illegal for South Koreans to visit here by South Korean law.

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*Grave of Kim Jong Suk, mother of Kim Jong Il

Mangyongdae Funfair
Mangyongdae is where Kim Il Sung’s parents lived and he spent a lot of his childhood. There is not much to it. While we were there, the North Korean media were all over us. I was never asked that much. Afterwards we went to a nearby amusement park. At first it was creepy as it was nearly deserted. It seemed like we had discovered something that no one had seen in decades. Eventually more people showed up in buses and livened the place up a bit. There was a roller coaster there, but I gave it a pass. It was fun to interact with all the children that showed up. They got a kick out of playing “keep away” and posing for pictures with members of our group.

On a completely economic note, the fair seemed to operate a textbook two-part tariff pricing system. This is when you pay an entrance fee to get in the park, but also a price per-ride. This is a clever way for the provider to capture all of the “consumer surplus” of the visitor.

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*Amusement Hall

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* I don’t envy anyone
**Refreshment and drinks

Trip to Wonsan
We never had the opportunity to see much of Wonsan city itself.

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* Hail to the Great Leader Kim Jong Il
**Great integrity of mother party

Wonsan Childrens Camp
Empty but pretty fancy. You can see this from Google Earth and you will also see that it is surrounded by some very nice houses.

Sijung Lake and beach
This was a nice beach/lake experience. Just chillin’.

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* Lets form ideology, technology, and culture in juche’s [way?]

…then back to Pyongyang, and BOWLING!
Initially we asked to go bowling when we were bored in our hotel one night and we were told it was reserved for Koreans. Then when an armistice day celebration was cancelled they decided to take us there. Golden Lanes bowling alley, it turns out, has a “foreigners only” bathroom.

Mansu Hill
Korean visitors to Mansu Hill approach the statue in formation, bow and leave flowers. They also stand looking at the statue while a giant speaker reads out exploits of the great leader. I don’t know how long it lasted, but it was longer than I could pay attention. This statue was initially coated in gold, but was removed after the Chinese threatened to reduce direct assistance.

Peoples’ Study House and Kim Il Sung Square
This is the large traditional style building that dominates Kim Il Sung square. It offers language classes and meetings with specialists in various fields. In a sense it offers some university-type services.

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* Spirit of Pektu revolution
** Using the revoluitonary spirit of Pektu, build a strong great country

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*Long Live the DPRK
**Long live the the honorable DPRK Workers Party
***The Great Leader Kim Il Sung will always be with us

Kimjongilia Flower Exhibition
How many politicians do you know that have flowers named after them? Well the DPRK has two! And both kinds are on display in a dedicated facility.

Arch of Triumph
The arch is supposed to be built on the site Kim Il Sung delivered his first speech after World War II. Its big. Its an arch.

Moranbong Middle School
Moranbong was great. We visited lots of classrooms, and while in in many classes the children did not look up from their notes, in others they were quite friendly and open. I remember watching a girl take notes. She wanted to look at the foreigner standing in front of her (me) by making repeating glances. After realizing that I was just flat out looking at her without being coy enough to hide it in glances, she smiled and pulled half of her hand above the desk to wave at me without anyone else being able to see. Priceless.

After touring the school and its numerous facilities, we were given another great performance by the school kids. The incredible thing was that in the middle of the show, there was a power outage. But they did not skip a beat. They transitioned to an acoustic performance and opened up all the windows. I felt bad for them, but they were professionals and took it all in stride.

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* Lets become true children of father Kim Jong Il
** 100 wars, 100 victories, Korean Workers Party

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*The Great Leader Kim Il Sung will always be with us
**Lets become youth heroes for fruitful struggle that ields the Kim Jong Il era

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* Lets learn from the Dear Leader Kim Jong Il honorable youth
**Get rid of the Americans and unite the motherland

Tower of Juche Idea
This is one of the most famous landmarks in Pyongyang. The view is incredible. Our visit was at the same time as some Chongryun dancers from Japan.

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*The Great Leader Kim Il sung will always be with us
** Unity

Film Studio

Kochang Cooperative Farm
I did a lot of yard work here so I was sweating like a pig. Although I had come to the DPRK expecting lots of propaganda, I was officially tired of it on this day.

Nampo
Nampo is on the west coast of Korea and home to the famous “Sea Barge” which prevents salt water from the sea from flowing up the fresh water Taedong River. We spent a very stress-filled afternoon sitting on the beach wondering what was going to happen to Andrew.

Mangyongdae Children’s Palace

USS Pueblo
I was able to briefly recapture the Pueblo, but unsucessful at getting it out of Pyongyang.

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*this is a video of me on KCNA

Random Pyongyang Photos

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*Pyongyang Metro station
** Let us inherit and complete the great work of the juche revolution

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*Famous Air Koryo hamburger (served on all outgoing flights)
** With Rifle, lets protect the socialist red flag

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* May day stadium

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*Lets keep our factory and workplace prudently
**Firm Protection
***Singe hearted unity

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* Let us inherit and complete the great work of the juche revolution
**Lets become a fortress and shield protecting the revolutionary leaders
***Single hearted unity

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*Protect the Leader Kim Jong Il

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*Hold the torch of Lenin and rush to build a strong and powerful nation
**Military service is the peoples divine obligation! Death to the enemies of unification!

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*Changwang street restaurants
**Koryo hotel
***Founding a strong great country is everlasting
****100 wars 100 victories

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* Lets become a fortress and shield Pyongyang!
**Product learning and living all anti-Japanese squad style

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Billboard for thw whipperan, or “Whistle,” a fiat car made in the DPRK.

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*Protect the leader Kim Jong Il
**These people are our heroes. Lets be like them!& Lets accomplish what the party gives us!

* *Protect the leaders of the revolution!

Back in Beijing!

Posted in Uncategorized | 10 Comments »

Is whooping cough on the upswing?

July 23rd, 2006

From the Daily NK:

NK Whooping Cough…Infant Deaths Helpless

It has recently been confirmed that some children have died of ‘whooping cough’, an acute respiratory epidemic, in Hamhung and Chongjin. In Chongjin, children under 12 are restricted from taking long-trips.

Among North Koreans who have visited areas surrounding Yanbian, rumor has it that “Since this spring, the number of coughing children has increased”, yet this was the first time that a death from a respiratory epidemic was confirmed.

“In Hamhung, some infants have died”

On the 12th, Park Chul Man (pseudonym, 62, Hamhung) who came into China via Tumen said that, “Since mid-April, wooping cough has increased among preschool children, and since June, some infants have died. In Hamhung and Chongjin, all children from infancy to elementary school-age are restricted from going on long trips”.

Kang Sun Mi (pseudonym, 59, Sariwon), from Yanji said that, “Across areas of Hwanghae province, many children suffer from whooping cough”. Kim added that, “children with the illness are confined to preschools, or elementary schools, and their parents bring medicine and food to them daily”.

Whooping cough is an acute respiratory disease to which infants below 5 years old are particularly vulnerable. Throughout the world, 40,000 people die from it annually. After an incubation period of 1 to 3 weeks, children develop a high fever, a runny nose, and continue to cough and tear”.

According to a WTO report, amongst poor countries. wooping cough accounts for 15% of total annual deaths, with the highest death rate recorded in children under 6 years old. The side effects from high fever are usually brain damage and liver failure.

According to Kang, the parents of the sick children take care of all the children confinded to preschools, or elementary schools.

Kang said that, “Because there is no medicine or doctors, it was decided that the should parents do all the nursing work”.

Except for in Pyongyang, the preventive inoculation system is totally destroyed

According to witnesses, since 2002, the preventive inoculation system has been completely destroyed, except for some operation in Pyongyang.

Kim, a defector doctor living in Longjing, explaiend that, “Til 2001, some medicine sent from the U.N. and other sources abroad had been available in Hwamkyung province. However, recently all the medicine goes into Jangmadang to be sold. It is impossible for poor parents to get their children inoculated”.

Kim added that, “the fact that Children over 10 years old have come down with whopping cough shows that the preventive inoculation system in the North is completely dysfunctional”.

According to the UNFPA, the 2004 infant death rate in North Korea is 58 out of 1,000 infants, which is ten times as high as that of South Korea (5.3 out of 1,000 infants).

In 2000, UNICEF reported that, “92.4% of North Korean children under 5 years old were inoculated with DPT to prevent whooping cough, tetanus and diphtheria”.

Posted in Pediatrics | Comments Closed

Is Typoid on the increase?

July 23rd, 2006

From the Daily NK:

North Koreans “1 out of 10 Households Have Diseased Patients”

Paratyphoid, an acute illness of the digestive system, is spreading over North Hwanghae province, including Haeju City.

Paratyphoid is an epidemic which spread throughout Hamkyung, Jakang, Yangkang provinces during the ‘March of Tribulation’ in the mid-90’s.

“Just Education, No Inoculation”

On July 12, Choi Gil Yeo (pseudonym, 59, Haeju of South Hwanghae province) who returned from visiting her relatives in Dandong, China said that, “Since May, the number of Paratyphoid patients has been rising in Haeju city, Chongdan-gun and Shinwon-gun. At least 1 out of 10 households has a Paratyphoid patient”.

Regarding the measures the North Korean government has taken, Choi said that, “the administration and the Public Health administration instructed people “to drink boiled water” and “confine patients to houses”, but did not take any action on vaccination or prevention of the epidemics”.

On the 13th, Kim, a Chinese trader staying in Shinuiju, said during a phone interview that, “In Shinuiju, rumor has it that Paratyphoid is spreading over Hwanghae province, and wholesalers from Haeju, Sariwon, and Nampo have been purchasing increasingly more antibiotics, dextrose packs and syringes.

An interview with Choi is as follows:

To what degree is Paratyphoid spreading?Have there been any deaths?

“Some people have died. I heard from a people’s unit (a neighborhood association) meeting that some have died in Seohae-dong, Gwnagsuk-dong, Yeonha-dong, and Sukmi-dong of Haeju city. Chongdan-gun and Shinwon-gun have had a few deaths. I do not know what the number is, yet at least 1 out of 10 houses has a patient. In the apartment where I live there are two patients.”

The Main Causes Are Polluted Water and Malnutrition

How did the North Korean people discover the causes of the illnesses?

“Originally, tap water from Haeju city and South Hwanghae province was not sufficient to drink. Tap water is salty and has rust as well as some earthworms and insects in it, but that has been the case since two or three years ago. Each district has dug wells to solve the problem. People think that polluted water is the cause of the epidemic, although the more important cause is malnutrition.”

What symptoms do Paratyphoid patients experience?

“A woman living in the house below me had begun to get sick in mid-June, with a 41℃ temperature. She had a high fever, and for one or two days at a time she would be delirious, then would be herself again. But if diarrhea begins, there is no chance of survival. Surviving would mean living without normal brain capacity for the rest of your life.”

How are hospitals treating patients?

“Hospitals? At the moment, Haeju does not have any fully-functioning hospitals. No medicine, no doctors, no patients who want to go to the doctor. Only for surgical operations do people go to the hospital. These kinds of epidemics are not curable even at hospitals. People just treat themselves at home as much as possible. The Haeju 1 hospital and Haeju medical university are also hopeless.”

“The government takes “No responsibility”, everything should be solved in Jangmadang”

What does home treatment consist of?

“Wealthy people just go and buy medicine, but poor people put a cool towel on their head to lower fever and then eat warm soup. The poor do not care whether they live or die…Because they have no way of receiving help. A doctor’s visit costs about 5,000 to 10,000 won ($1.67~$3.33) each. With that money, they could buy medicine in Jangmadang and try to treat themselves.”

What kinds of medicine do they buy?

“Usually they buy Chinese medicine called “Lebo” in Jangmadang. “Lebo” consists of tablets and powdered medicine which is taken with dextrose. They also take antifebriles sent by the U.N.”

How much does the medicine cost?

“Syringes are 200 won ($0.07) a piece, which can be used again with sterilization. Dextrose (25 mg) is 250 won a pack. “Lebo” is 1,500 won ($0.5) a piece. Antifebriles sent by the U.N. are 300 won ($0.1) a tablet. “Lebo” is effective if injected with powdered medicine and dextrose twice a day. Twice daily injections and a piece of antifebrile cost 3.000 won ($1), which for a month costs a patient 10,000 won.”

Is it easy to buy the medicine in Jangmadang?

The Seo Market in Yeonha-dong, Haeju city has the biggest variety of medicine. You can buy the medicine anytime if you have the money. But the price of Paratyphoid medicine and antifebriles are increasing. In Seo Market there are a couple of stalls which buy medicine from wholesalers in Shinuiju and sell it. State-run drug stores do not have medicine any more, so they are used as grocery stores. In Jangmadang, most of the medicine is from the U.S. and China, and the little medicine that was made in North Korea is very coarse.

Paratyphoid is an epidemic from malnutrition and poverty

Are families of patients preparing for the epidemic?

“Paratyphoid is an epidemic that generally the poor and malnourished people are vulnerable to. A normal monthly wage for many is less than 2000 won ($0.67), which means if the people come down with the illness, they cannot afford to buy medicine. Poverty leads to the disease, and also often leads to the worsening of the situation.”

How about tap water?

“Only in places such as Gwangsuk-dong and Haewoon-dong, does tap water still run sufficiently. altough it is only public tap water. Almost everyone must rely on wells and springs buried in the mountains.”

What kind of action has the Health administration taken?

“The only thing the government does is “education”, instructing people to drink boiled tap water, confine patients to their houses, and sterilize bowls and spoons. The government has only watched as people die of starvation and illness.”

Have you ever received medicine sent by the U.N and South Korea?

“Everyone knows that the U.N. and South Korea send medicine. However, hospitals and clinics do not receive the medicine. Even state-run pharmacies do not have any medicine. All the medicine is sold in Jangmadang.”

Posted in Epidemics | Comments Closed

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Is whooping cough on the upswing?

Is Typoid on the increase?

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