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	<title>North Korean Economy Watch</title>
	
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	<description>News and analysis of the North Korean economy</description>
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		<title>Friday fun: Kim Jong-il flies, “pasty-foods”, DPRK Gatorade”</title>
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		<pubDate>Fri, 10 Feb 2012 16:56:06 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[Food]]></category>
		<category><![CDATA[Koryo Tours]]></category>
		<category><![CDATA[Sports]]></category>
		<category><![CDATA[Tourism]]></category>
		<category><![CDATA[Uncategorized]]></category>

		<guid isPermaLink="false">http://www.nkeconwatch.com/?p=14108</guid>
		<description><![CDATA[Kim Jong-il Flies: Recently KCTV has broadcast many videos on the life and work of Kim Jong-il. One of these videos was on Kim Jong-il&#8217;s contributions to the theatrical and cinematic arts.  In this video, Kim Jong-il can be seen riding in a plane while he scouts out locations for movie sets: I have watched more [...]]]></description>
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<p><strong>Kim Jong-il Flies: </strong>Recently KCTV has broadcast many videos on the life and work of Kim Jong-il. One of these videos was on Kim Jong-il&#8217;s contributions to the theatrical and cinematic arts.  In this video, Kim Jong-il can be seen riding in a plane while he scouts out locations for movie sets:</p>
<p style="text-align: center;"><a href="http://www.nkeconwatch.com/nk-uploads/KJI-plane-KCTV-2012-1-19.jpg" target="_blank"><img class="alignnone size-thumbnail wp-image-14258" title="KJI-plane-KCTV-2012-1-19" src="http://www.nkeconwatch.com/nk-uploads/KJI-plane-KCTV-2012-1-19-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p>I have watched more North Korean television footage than a healthy person should, but this was the first video footage I had seen of Kim Jong-il on a plane.</p>
<p>Alejandro Cao de Benos once told me that Kim Jong-il could fly fighter jets, though I have not seen any footage of that.</p>
<p style="text-align: center;">___________</p>
<p><strong><a href="http://www.koryogroup.com/" target="_blank">Koryo Tours</a></strong> has a great <a href="https://www.facebook.com/groups/8348880870/" target="_blank">Facebook Page</a>.  Here are some of the gems that have popped up over the last few weeks:</p>
<p style="text-align: center;"><a href="https://www.facebook.com/photo.php?fbid=10150628732171718&amp;set=o.8348880870&amp;type=1&amp;ref=nf" target="_blank">Pasty, fast food</a> (yum):</p>
<p style="text-align: center;"><a href="http://www.nkeconwatch.com/nk-uploads/Pasty-foods.jpg" target="_blank"><img class="alignnone size-thumbnail wp-image-14109" title="Pasty foods" src="http://www.nkeconwatch.com/nk-uploads/Pasty-foods-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p style="text-align: center;"><span style="text-decoration: underline;">DPRK Tourist Card:</span></p>
<p style="text-align: center;"><a href="http://www.nkeconwatch.com/nk-uploads/DPRK-tourist-card-Koryo-tours.jpg" target="_blank"><img class="alignnone size-thumbnail wp-image-14350" title="DPRK-tourist-card-Koryo-tours" src="http://www.nkeconwatch.com/nk-uploads/DPRK-tourist-card-Koryo-tours-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p>In the next few days <a href="http://www.koryogroup.com/" target="_blank">Koryo Tours</a> will be offering a brand new tourist route in the DPRK, from Rason down the East Coast to Chongjin and Mt. Chilbo, previously only accessible by charter flight from Pyongyang.</p>
<p style="text-align: center;"><a href="http://www.youtube.com/watch?v=rBgMeunuviE&amp;feature=share" target="_blank">Take On Me by a-ha, North Korean Style</a> (YouTube):</p>
<p style="text-align: center;"><a href="http://www.youtube.com/watch?v=rBgMeunuviE&amp;feature=share" target="_blank"><img class="alignnone size-thumbnail wp-image-14351" title="a-ha" src="http://www.nkeconwatch.com/nk-uploads/a-ha-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p>A-ha&#8217;s &#8220;Take on me&#8221; performed by young accordion players from the Kum Song School, filmed in Pyongyang, North Korea December 2011. Part of multi-genre project <em>The Promised Land</em> by director and artist Morten Traavik. <a href="http://latimesblogs.latimes.com/world_now/2012/02/north-korea-accordian-pop-song.html" target="_blank">Here is more information on the video</a>.</p>
<p style="text-align: center;"><a href="http://www.wimp.com/ceausescuvisit/" target="_blank">Ceausescu&#8217;s visit to Pyongyang, North Korea in 1971</a>:</p>
<p style="text-align: center;"><a href="http://www.wimp.com/ceausescuvisit/" target="_blank"><img class="alignnone size-thumbnail wp-image-14352" title="KIS-NC-in-PY" src="http://www.nkeconwatch.com/nk-uploads/KIS-NC-in-PY-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p>I believe this clip comes from a feature film: <a href="http://movies.nytimes.com/2011/09/09/movies/autobiography-of-nicolae-ceausescu-by-andrei-ujica-review.html" target="_blank">The Autobiography of Nicolae Ceausescu (2010)</a> (<a href="http://www.youtube.com/watch?v=grdV_2l7R2g" target="_blank">trailer here</a>).</p>
<p style="text-align: center;">___________</p>
<p><strong>DPRK Gatorade:</strong> North Korea is making its own-style sports drink. <a href="http://www.youtube.com/watch?feature=player_embedded&amp;v=TiQwgD6goX8" target="_blank">Here is a link to the report on KCNA (posted to YouTube)</a>:</p>
<p style="text-align: center;"><a href="http://www.youtube.com/watch?feature=player_embedded&amp;v=TiQwgD6goX8" target="_blank"><img class="alignnone size-thumbnail wp-image-14353" title="Kumgop-sports-drink-advert" src="http://www.nkeconwatch.com/nk-uploads/Kumgop-sports-drink-advert-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p>This drink is manufactured in the Kumkop Combined Foodstuff Factory (금컵체육인종합식료공장) in Mangyongdae District. <a href="http://www.nkeconwatch.com/2011/11/28/some-new-google-earth-imagery/" target="_blank">Satellite image and coordinates here</a>.</p>

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		<title>Nampho port frozen (again)</title>
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		<comments>http://www.nkeconwatch.com/2012/02/10/nampho-port-frozen-again/#comments</comments>
		<pubDate>Fri, 10 Feb 2012 15:59:02 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[Agriculture]]></category>
		<category><![CDATA[Food]]></category>
		<category><![CDATA[International trade]]></category>
		<category><![CDATA[Ministry of Foodstuff and Daily Necessities Industry]]></category>
		<category><![CDATA[Sea shipping]]></category>
		<category><![CDATA[Transportation]]></category>

		<guid isPermaLink="false">http://www.nkeconwatch.com/?p=14345</guid>
		<description><![CDATA[In February 2011 I posted reports that the DPRK&#8217;s west coast was experiencing record-low temperatures and the ports were frozen. Unfortunately for the North Korean people, history is repeating itself.   Pictured above (Yonhap): two satellite images of the DPRK&#8217;s west coast According to the Donga Ilbo: North Korea`s fisheries and shipping industries, two key earners of [...]]]></description>
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<p><a href="http://www.nkeconwatch.com/2011/02/21/dprk-experiencing-record-low-temperatures/" target="_blank">In February 2011 I posted reports that the DPRK&#8217;s west coast was experiencing record-low temperatures and the ports were frozen</a>. Unfortunately for the North Korean people, history is repeating itself.</p>
<p style="text-align: center;"><a href="http://www.nkeconwatch.com/nk-uploads/Yonhap-west-coast-frozen-2012-2-10-A.jpg"><img class="alignnone size-thumbnail wp-image-14347" title="Yonhap-west-coast-frozen-2012-2-10-A" src="http://www.nkeconwatch.com/nk-uploads/Yonhap-west-coast-frozen-2012-2-10-A-150x150.jpg" alt="" width="150" height="150" /></a> <a href="http://www.nkeconwatch.com/nk-uploads/Yonhap-west-coast-frozen-2012-2-10-B.jpg"><img class="alignnone size-thumbnail wp-image-14348" title="Yonhap-west-coast-frozen-2012-2-10-B" src="http://www.nkeconwatch.com/nk-uploads/Yonhap-west-coast-frozen-2012-2-10-B-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p style="text-align: center;">Pictured above (Yonhap): two satellite images of the DPRK&#8217;s west coast</p>
<p>According to the <a href="http://english.donga.com/srv/service.php3?bicode=040000&amp;biid=2012021013818" target="_blank">Donga Ilbo</a>:</p>
<blockquote><p>North Korea`s fisheries and shipping industries, two key earners of foreign currency for Pyongyang, have effectively been shackled due to a prolonged cold wave that has frozen waters in the Yellow Sea.<br />
With the temperature reaching minus 10 degrees Celsius for more than a month, more than 40 kilometers of sea water in the Yellow Sea off the North`s coast have been frozen. This is the first time in decades that about 200 kilometers of the North`s coastline from the mouth of the Yalu River to the North`s Hwanghae provinces have been frozen.</p>
<p>Experts say the frozen water will not only affect the North’s fisheries and shipping industries, both of which are major earners of U.S. dollars, but also the Stalinist country`s economy and newly launched Kim Jong Un administration.</p>
<p><em>Massive ice blocks cover 200 kilometers of N. Korean coastline</em></p>
<p>In Seoul, the Korea Center for Atmospheric Environment Research and the Korea Meteorological Administration said Thursday that based on analysis of satellite images, massive ice 40 kilometers wide was detected in North Korean coastlines spanning 40 kilometers from the mouth of the Yalu River to coastal waters off Pyongyang.</p>
<p>According to the analysis, Korea Bay located in between the North’s Cholsan and Changyon peninsulas has remained frozen since Jan. 10 due to the cold wave. Coastal waters of Unryul County in South Hwanghae Province, the Chongchon River flowing into Korea Bay, and the port of Nampo at the mouth of the Daedong River running through Pyongyang are also covered with ice.</p>
<p>Chung Yong-seung, director of the environmental think tank, said, “In the past, waters off the North Korean coast used to be frozen. But the formation of such large-scale ice is unprecedented.”</p>
<p>Experts blame arctic ice moving south due to global warming for the ice formation.</p>
<p>North Korea has been hit by a severe cold snap this winter. According to the South Korean weather agency, the North’s average temperature last month was minus 8.4 degrees, 0.7 degrees lower than in an average year.</p>
<p>The Chosun Shinbo, the official newspaper of the pro-Pyongyang Federation of Korean Residents in Japan, recently said, “Temperatures in Pyongyang remained below zero from Dec. 23 last year through Jan. 31, the most extreme cold since 1945,” adding, “North Koreans can even walk on the Daedong River.”</p>
<p>Temperatures in the North fell further this month to minus 11.1 degrees on average, down 4.6 degrees from an average year.</p>
<p><em>Big burden on N. Korean gov</em></p>
<p>The ice formation in North Korean waters is pressuring the Kim Jong Un administration economically, experts said. The combined share of fisheries and agriculture in the North`s GDP is 20.8 percent, eight times higher than for South Korea (2.6 percent). Fisheries also play a key role in sustaining the North`s economy with catch volume reaching 630,000 tons a year.</p>
<p>Pyongyang`s dollar earnings have also been hit hard due to the frozen sea that has prevented fishing boats from leaving ports. Goh Yoo-hwan, head of the (South)Korean Association of North Korean Studies, said, “The North should export primary products such as fisheries goods, but no fishing operations due to the frozen water will take a huge toll on the North`s dollar earrings.”</p>
<p>Waters near China’s Liaodong Bay and Russia’s Vladivostok have also been frozen, causing the North’s maritime transportation to go awry. Due to soured inter-Korean relations, the North`s trade with the South and Japan has declined and raised the Stalinist country’s dependence on China to 56.9 percent.</p>
<p>Kim Yong-hyeong, a professor of North Korean studies at Dongguk University in Seoul, said, “If the ice formation in waters wreaks havoc on the North’s maritime transportation, this will destabilize the North Korean economy.”</p>
<p>The problem is that ice at sea is growing thicker. The National Meteorological Satellite Center in Seoul said the boundaries between ice blocks and waters in the North’s section of the Yellow Sea were vague last month, but grew clear this month with ice getting thicker.</p>
<p>Director Chung of the environmental think tank said, “Given North Korea’s weather conditions, the ice in the sea will grow thicker through early next month,” adding, “North Korean society will be hit hard if its fisheries and shipping industries are grounded for more than two months.”</p></blockquote>
<p>And just how productive is the DPRK&#8217;s fishing sector?  According to <a href="http://english.yonhapnews.co.kr/northkorea/2012/02/10/67/0401000000AEN20120210005900315F.HTML" target="_blank">Yonhap</a>:</p>
<blockquote><p>Chung Yong-seung, head of the research institute, said it is rare for the port to freeze two winters in a row, a development he said could have a negative impact on the North&#8217;s fishing industry.</p>
<p>North Korea&#8217;s catch reached 663,000 metric tons in 2009, the latest year for which statistics are available, according to the South Korean government data.</p></blockquote>
<p>Read the full reports here:<br />
N. Korea&#8217;s largest port frozen for 2 straight winters<br />
<a href="http://english.yonhapnews.co.kr/northkorea/2012/02/10/67/0401000000AEN20120210005900315F.HTML" target="_blank"> Yonhap</a><br />
2012-2-10</p>
<p>Extended cold wave freezes key NK sectors of fisheries, shipping<br />
<a href="http://english.donga.com/srv/service.php3?bicode=040000&amp;biid=2012021013818" target="_blank"> Donga Ilbo</a><br />
2012-2-10</p>

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		<title>DPRK visitors to China in 2011</title>
		<link>http://feedproxy.google.com/~r/NorthKoreanEconomyWatch/~3/nirFAfuu8C4/</link>
		<comments>http://www.nkeconwatch.com/2012/02/10/dprk-visitors-to-china-in-2011/#comments</comments>
		<pubDate>Fri, 10 Feb 2012 15:25:51 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[China]]></category>
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		<guid isPermaLink="false">http://www.nkeconwatch.com/?p=14338</guid>
		<description><![CDATA[The PR of China has published official data on the number of North Koreans that visited the country in 2011. I have posted the data below.  These are official numbers, therefore they represent a lower bound of the actual numbers of North Koreans crossing the border. According to the Daily NK: China’s National Tourism Administration [...]]]></description>
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<p>The PR of China has published official data on the number of North Koreans that visited the country in 2011. I have posted the data below.  These are official numbers, therefore they represent a lower bound of the actual numbers of North Koreans crossing the border.</p>
<p>According to the <a href="http://www.dailynk.com/english/read.php?cataId=nk00100&amp;num=8797" target="_blank">Daily NK</a>:</p>
<blockquote><p>China’s National Tourism Administration has revealed that the number of North Koreans legally visiting the country reached a new high in 2011.</p>
<p>According to a report carried by Voice of America yesterday, the 152,300 North Koreans who visited China last year exceeded the 2010 figure of 116,400 by more than 30%, and comfortably beat the previous high of 125,800 recorded in 2005.</p>
<p>Approximately half (75,266) the total number of visitors apparently went for work, while a further 39,042 went for business purposes or to attend meetings. 4,589 were tourists. However, the statistics show that just 99 of the visits were for the purpose of visiting relatives.</p>
<p>72,885 of the visitors were age 45 through 64, while a further 64,823 fell into the 25 to 44 bracket. Women were heavily outnumbered by men; 21,828 against 130,472.</p></blockquote>
<p><a href="http://english.yonhapnews.co.kr/northkorea/2012/02/10/81/0401000000AEN20120210003700315F.HTML" target="_blank">Yonhap</a> reported an additional point:</p>
<blockquote><p>Ferries were the most popular means of transport for the North Koreans at 62,160 passengers, followed by 33,933 who arrived by plane, 31,829 by car, 19,132 by train and 5,246 by foot.</p></blockquote>
<p>Although the majority of official North Koreans border crossers are men, <a href="http://www.nkeconwatch.com/category/emigration/2011-emigration-statistics/" target="_blank">it is reasonable to assume that the majority of unofficial North Korean border crossers are women.</a></p>
<p>Read the full stories here:<br />
Largest-ever number of N. Koreans visited China in 2011: report<br />
<a href="http://english.yonhapnews.co.kr/northkorea/2012/02/10/81/0401000000AEN20120210003700315F.HTML" target="_blank">Yonhap</a><br />
2012-2-10</p>
<p>Official Visitor Numbers Hit New High<br />
<a href="http://www.dailynk.com/english/read.php?cataId=nk00100&amp;num=8797" target="_blank">Daily NK</a><br />
Park Seong Guk<br />
2012-2-10</p>

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		<title>North Korean workers in Kaesong exceeds 50,000</title>
		<link>http://feedproxy.google.com/~r/NorthKoreanEconomyWatch/~3/gYfSwO91Gcc/</link>
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		<pubDate>Thu, 09 Feb 2012 14:45:03 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[Economic reform]]></category>
		<category><![CDATA[Foreign direct investment]]></category>
		<category><![CDATA[Kaesong industrial park]]></category>
		<category><![CDATA[Labor conditions/wages]]></category>
		<category><![CDATA[RoK Ministry of Unification]]></category>
		<category><![CDATA[South Korea]]></category>
		<category><![CDATA[Special administrative regions]]></category>
		<category><![CDATA[Trade Statistics]]></category>

		<guid isPermaLink="false">http://www.nkeconwatch.com/?p=14299</guid>
		<description><![CDATA[Institute for Far Eastern Studies (IFES) 2012-2-8 As of January 2012, the Kaesong Industrial Complex (KIC) employs over 50,000 North Korean workers. South Korea’s Ministry of Unification (MOU) reported that North Korea sent 449 additional workers to the complex last month, bringing the total number of North Korean employees at the KIC to 50,315. The [...]]]></description>
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<p><strong><a href="http://ifes.kyungnam.ac.kr/eng/FRM/FRM_0101V.aspx?code=FRM120208_0001" target="_blank">Institute for Far Eastern Studies (IFES)</a></strong><br />
2012-2-8</p>
<p>As of January 2012, the Kaesong Industrial Complex (KIC) employs over 50,000 North Korean workers.</p>
<p>South Korea’s Ministry of Unification (MOU) reported that North Korea sent 449 additional workers to the complex last month, bringing the total number of North Korean employees at the KIC to 50,315.</p>
<p>The majority of the workers are women, comprising 72 percent of the total employees. A total of 81.8 percent are high school graduates, while 9.5 percent are college graduates and 8.7 percent are graduates from specialized/professional schools.</p>
<p>The KIC has had a low worker turnover rate. Some of the workers are licensed doctors and nurses, signifying the popularity of employment at the complex.</p>
<p>However, the MOU added that, “in order to meet the demands of the South Korean corporations in the KIC, 20,000 more workers are needed.”</p>
<p>Currently the average monthly wage of the workers is 110 USD, which is paid directly to the North Korean authorities in US dollars by the South Korean companies.</p>
<p>Out of the total wage, 45 percent is deducted and collected by the North Korean government as social security (15 percent) and social cultural policy funds (30 percent). The North Korean workers receive 55 percent of the total wage, which is paid either in coupons or North Korean currency.</p>
<p>Since the KIC’s opening in 2004, the total amount paid to the KIC workers reached 193.58 million USD as of November 2011.</p>
<p>Despite the deadlocked relations between the two Koreas, the number of employees, along with production and number of businesses, has steadily increased.</p>
<p>The number of employees in 2007 was 23,529. Thus the number has increased to over 50,000 in just four years, and the yearly production output has risen from 180 million to 400 million USD.</p>
<p>Cumulative production also increased from 310 million USD in March 2008 to 1.19 billion USD as of last year. During this time, 55 additional South Korean companies joined the KIC.</p>
<p>Yearly export output jumped from 870,000 USD in 2005 to 36.87 million USD in 2011. However, this is a drop from the previous year’s export of 39.67 million USD. Cumulative export as of November 2011 was 190 million USD.</p>
<p>In the assessment of the MOU, “the decrease in export reflects buyer’s anxiety from instability in inter-Korean relations and North Korean military provocations and many of the manufactured goods were sold domestically in South Korea.”</p>
<p>In addition, the issue of KIC-made products to be granted a “made in Korea” label is still under debate. According to an undisclosed MOU source, “This July will mark the one year anniversary of the ROK-EU FTA and the Committee on Outward Processing Zones (OPZ) is scheduled to meet to discuss the matter of KIC’s recognition as OPZ. But it will not be an easy game to win.”</p>
<p><strong>UPDATE</strong>:  <a href="http://english.hani.co.kr/arti/english_edition/e_business/517170.html" target="_blank">The Hankyoreh also wrote about the Kaesong Zone&#8217;s growth</a>.</p>

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		<title>DPRK – PRC economic integration</title>
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		<pubDate>Thu, 09 Feb 2012 14:18:50 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[China]]></category>
		<category><![CDATA[International trade]]></category>
		<category><![CDATA[Korea Trade-Investment Promotion Agency (KOTRA)]]></category>
		<category><![CDATA[Statistics]]></category>
		<category><![CDATA[Trade Statistics]]></category>

		<guid isPermaLink="false">http://www.nkeconwatch.com/?p=14327</guid>
		<description><![CDATA[According to the Choson Ilbo, China-N.Korea trade has reached a historically high level (as it does nearly every quarter). China&#8217;s trade with North Korea has tripled since 2005. According to the Korea Trade-Investment Promotion Agency (KOTRA), Chinese customs statistics show that China has been bumping up its trade with the North by US$1 billion every [...]]]></description>
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<p>According to the <a href="http://english.chosun.com/site/data/html_dir/2012/02/09/2012020901301.html" target="_blank">Choson Ilbo</a>, China-N.Korea trade has reached a historically high level (as it does nearly every quarter).</p>
<blockquote><p>China&#8217;s trade with North Korea has tripled since 2005. According to the Korea Trade-Investment Promotion Agency (KOTRA), Chinese customs statistics show that China has been bumping up its trade with the North by US$1 billion every three years since the middle of the last decade.</p>
<p>After first breaking past the $1-billion trade barrier in 2005, China posted $2 billion in 2008 and over $3 billion last year. Minerals, machinery and cars topped the list of exports, and two-way trade last year reached its all-time peak of $5 billion.</p></blockquote>
<p>Additional Information:<br />
Read the full story here:<br />
China-N.Korea Trade Reaches All-time High<br />
<a href="http://english.chosun.com/site/data/html_dir/2012/02/09/2012020901301.html" target="_blank">Choson Ilbo</a><br />
2012-2-9</p>

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		<title>Kim Jong-il’s name carved on Mt. Sokda</title>
		<link>http://feedproxy.google.com/~r/NorthKoreanEconomyWatch/~3/CYpc1kS5bUY/</link>
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		<pubDate>Thu, 09 Feb 2012 01:13:10 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[Construction]]></category>
		<category><![CDATA[Mansudae creative Company (art studio)]]></category>
		<category><![CDATA[Political economy]]></category>

		<guid isPermaLink="false">http://www.nkeconwatch.com/?p=14289</guid>
		<description><![CDATA[  Pictured above: (L) A Google Earth satellite image of the face of Mt. Sokda (석다산) before it was &#8220;blessed&#8221; with the Kim Jong-il commemorative carving (Coordinates:  39.180907°, 125.361290°) (R) A photo from KCNA of the new carving. According to KCNA: Pyongyang, February 8 (KCNA) &#8212; Letters &#8220;Peerless Patriot General Kim Jong Il. February 16, Juche [...]]]></description>
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<p style="text-align: center;"><a href="http://www.nkeconwatch.com/nk-uploads/KJI-mountain-carving.jpg" target="_blank"><img class="alignnone size-thumbnail wp-image-14290" title="KJI-mountain-carving" src="http://www.nkeconwatch.com/nk-uploads/KJI-mountain-carving-150x150.jpg" alt="" width="150" height="150" /></a> <a href="http://www.nkeconwatch.com/nk-uploads/KJI-carving-sokda-KCNA.jpg" target="_blank"><img class="alignnone size-thumbnail wp-image-14291" title="KJI-carving-sokda-KCNA" src="http://www.nkeconwatch.com/nk-uploads/KJI-carving-sokda-KCNA-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p style="text-align: center;">Pictured above: (L) A Google Earth satellite image of the face of Mt. Sokda (석다산) before it was &#8220;blessed&#8221; with the Kim Jong-il commemorative carving (Coordinates:  39.180907°, 125.361290°) (R) A photo from KCNA of the new carving.</p>
<p>According to KCNA:</p>
<blockquote><p>Pyongyang, February 8 (KCNA) &#8212; Letters &#8220;Peerless Patriot General Kim Jong Il. February 16, Juche 101 (2012)&#8221; were carved on natural rock in Mt. Sokda, Jungsan County, South Phyongan Province on the 70th anniversary of his birth.</p>
<p>The total length of the letters is 120 meters with his name 10 meters high, 5.5 meters wide and 1.4 meters deep. Other letters are 8.5 meters high, 4.8 meters wide and 0.9 meters deep.</p>
<p>Officials and working people in South Phyongan Province chose the rock that is easily visible, reflecting the ardent desire of the people<br />
around the country to exalt his immortal revolutionary feats forever.</p>
<p>An unveiling ceremony took place on Wednesday.</p>
<p>Present there were Kim Ki Nam, Choe Thae Bok, Yang Hyong Sop officials concerned, party members and other working people in the county and helpers.</p></blockquote>
<p>There are of course many carvings like this in the DPRK. <a href="http://www.nkeconwatch.com/2007/12/07/the-great-leader-comrade-kim-il-sung-will-always-be-with-us/" target="_blank">Here is one of my &#8220;favorite&#8221; examples</a>.</p>
<p><strong>UPDATE 1:</strong> The <a href="http://www.dailynk.com/english/read.php?cataId=nk03500&amp;num=8791" target="_blank">Daily NK</a> has more. See below:</p>
<p><span id="more-14289"></span></p>
<blockquote><p>To commemorate the 70th anniversary of the birth of the late Kim Jong Il on February 16th, North Korea has had the phrase ‘Unsurpassed Patriot General Kim Jong Il’ carved in a rock at Mt. Seokda in South Pyongan Province. Chosun Central News Agency (KCNA) claims that the total length of the carving is 120m.</p>
<p>This is not new. The carvings first started appearing in the mid 1970s when Kim Jong Il was appointed successor to Kim Il Sung. In essence it involves picking the most scenic mountains like Keumkang and Myohyang and carving inane things in them like “The Nation’s Celebrated Mountain. Kim Jong Il”</p>
<p>According to defectors, it got worse after Kim Il Sung’s death, when Kim Jong Il ordered the authorities to carve phrases into various scenic locations because “We need to convey to our descendants how great a person we had as Suryeong.”</p>
<p>Mansudae Art Institution did the work, and one after another the noted mountains of North Korea were inscribed upon. “Revolutionary Mt. Baekdu. Kim Jong Il” was carved into the most famous mountain of all. The highlight, if it can be called that, is ‘Jong Il Peak’ carved behind the log cabin where Kim Jong Il was supposedly born and raised.</p>
<p>The North Korean media says that Jong Il Peak is 216m high, which conveniently matches the date of his birthday. They also suggest that on his birthday “Flowers blossom only around Jong Il peak, as if safeguarding it.”</p>
<p>It is estimated that similar acts of vandalism have now occurred in more than a hundred places.</p>
<p>Other items used in the Kim family idolization project will be easily removed when North Korea throws out the Kims; however, letters carved into natural rocks a meter deep are not so easy to erase. Whether digging the letters out or filling them in, both leave a permanent scar.</p>
<p>This graffiti, for that is all it is, should no longer be tolerated. If it is, North Korea will continue to obliterate otherwise delightful mountains and rock faces in the name of Kim Il Sung, Kim Jong Il and eventually Kim Jong Eun, leaving no rock left unscathed.</p>
<p>The Kim family might think that their reign will go on forever, but one, Kim Jong Nam, and a great many people besides disagree. The authorities should not be allowed to go on doing this uncriticized. It is astonishing that none of the environmental groups in South Korea or the wider world deem it necessary to express concern at this out-and-out environmental vandalism.</p></blockquote>

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		<title>Developing the DPRK through agriculture</title>
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		<comments>http://www.nkeconwatch.com/2012/02/08/developing-the-dprk-through-agriculture/#comments</comments>
		<pubDate>Wed, 08 Feb 2012 23:22:35 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[Agriculture]]></category>
		<category><![CDATA[Joint editorials]]></category>

		<guid isPermaLink="false">http://www.nkeconwatch.com/?p=14282</guid>
		<description><![CDATA[38 North Randall Ireson 2012-2-8 READ THE FULL ARTICLE HERE Despite continuing food shortages in the DPRK, the 2012 New Year&#8217;s Joint Editorial and other statements related to the succession of Kim Jong Un suggest there will be no new approaches to revitalizing North Korean agriculture. The editorial labeled the food problem &#8220;a burning issue [...]]]></description>
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<p><strong><a href="http://38north.org/2012/02/rireson020812/" target="_blank">38 North</a></strong><br />
Randall Ireson<br />
2012-2-8</p>
<p><a href="http://38north.org/2012/02/rireson020812/" target="_blank">READ THE FULL ARTICLE HERE</a></p>
<p>Despite continuing food shortages in the DPRK, the 2012 New Year&#8217;s Joint Editorial and other statements related to the succession of Kim Jong Un suggest there will be no new approaches to revitalizing North Korean agriculture. The editorial labeled the food problem &#8220;a burning issue in building a thriving country,&#8221; but allocated fewer than 150 words (of 5500) to that issue, only exhorting the masses to increase yields, implement crop rotations, and increase production of farm machinery and farm inputs.</p>
<p>Yet agriculture could lead a revival of the DPRK economy if appropriate policy changes were implemented. The technical means of improving farm production in the DPRK have been known for years. And if farms could use income earned from increased production to purchase improved machinery and other supplies needed for modern agriculture, a virtuous circle of investment in the farms plus support to small industry could lead to the modernization of both sectors. Government investment combined with some international assistance could stimulate sustainable increases in productivity and better incomes for workers on the farms and in related industries.</p>
<p>A few recent projects point the way to a sustainable and highly productive agricultural sector. But without changes in the institutions and infrastructure that support agriculture, there is no hope for any substantial improvement in food security. The leadership succession offers an opportunity to continue and augment some necessary changes begun under Kim Jong Il, though not if consolidation of the new leadership is founded on a reflexive insistence on ideological orthodoxy.</p>
<p>Fifteen years of international aid programs to the agriculture sector have brought a very good understanding of the difficulties faced by DPRK farms as well as the means to overcome them. There are no technical obstacles to greatly increased farm productivity. Nothing exceptional is required-only the widespread application of commonplace good farming practices. A few examples will suffice:</p>
<p>*applying lime to the fields to offset acid soils would increase yields by 20-40%;<br />
*rotating cereal crops (especially maize and wheat) with legumes such as soy or green manure crops would increase yields by around 10%;<br />
*using better seeding equipment would increase yields by around 10% because of better germination and appropriate spacing between each plant;<br />
*using the methods of SRI (system of rice intensification) in paddy fields can increase rice yields by over 20% with no other inputs; and<br />
*conservation agriculture (low tillage farming) would reduce soil erosion, save fuel, and improve soil quality.</p>
<p>These practices are neither difficult nor complex, and many farms in the DPRK already know of and are beginning to adopt these methods. Yet most of these practices are still isolated exceptions because despite their clear benefit, farms lack the support infrastructure and economic resources to implement them fully. The DPRK has largely completed its demographic transition from a rural to an urban society, thus surplus rural labor is not available to offset the loss of industrial support to agriculture. Farms need machinery and fuel as well as the other inputs of modern farming. Use of lime depends on fuel to haul the crushed limestone from quarries. Lack of tractor power makes land preparation slow and difficult, thus impeding the use of off-season green manures or of double cropping. Farms mostly do not have modern seeders for maize, soybean, or wheat. Seed placement by hand is neither uniform nor at a regular depth, causing crowded plants and uneven germination. Use of SRI is impeded by the lack of inexpensive plastic trays that ease handling of the very young rice seedlings&#8230;</p>
<p><a href="http://38north.org/2012/02/rireson020812/" target="_blank">READ THE FULL ARTICLE HERE</a></p>

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		<title>KPA Navy Units 790 and 158</title>
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		<pubDate>Wed, 08 Feb 2012 04:45:48 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[Google Earth]]></category>
		<category><![CDATA[Military]]></category>

		<guid isPermaLink="false">http://www.nkeconwatch.com/?p=14238</guid>
		<description><![CDATA[Last night I loaded Google Earth and took the time to track down the KPA Navy units Kim Jong-un recently visited (as one does). According to KCNA (2012-2-6), Kim Jong-un inspected the Command of Combined Unit 597 of the KPA Navy and its units. The specific units he visited were the 790 and 158 Units. [...]]]></description>
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<p>Last night I loaded Google Earth and took the time to track down the KPA Navy units Kim Jong-un recently visited (as one does).</p>
<p>According to <a href="http://kcna.co.jp/item/2012/201202/news06/20120206-24ee.html" target="_blank">KCNA (2012-2-6)</a>, Kim Jong-un inspected the Command of Combined Unit 597 of the KPA Navy and its units. The specific units he visited were the 790 and 158 Units. <a href="http://nkleadershipwatch.wordpress.com/2012/02/07/kim-jong-un-visits-kpa-navy-unit/" target="_blank">For more details of the visit, check out this NK Leadership Watch post</a>.</p>
<p>Unit 790 is in Rakwon county (락원군) at Google Earth Coordinates:  39.902029°, 127.866356°</p>
<p style="text-align: center;"><a href="http://www.nkeconwatch.com/nk-uploads/KPA-navy-unit-790.jpg" target="_blank"><img class="alignnone size-thumbnail wp-image-14239" title="KPA-navy-unit-790" src="http://www.nkeconwatch.com/nk-uploads/KPA-navy-unit-790-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p style="text-align: center;">Click image for larger version</p>
<p>Unit 158 is also based in Rakwon county (39.875964°, 127.779881°) on the other side of the the hill from the Kim family residential compound, &#8220;Building No. 72&#8243;. We know about this leadership residence because <a href="http://www.nkeconwatch.com/nk-uploads/hamhung1.JPG" target="_blank">Kenji Fujimoto visited here</a>. Kim Jong-un is likely residing here as he tours the area:</p>
<p style="text-align: center;"><a href="http://www.nkeconwatch.com/nk-uploads/KPA-Navy-unit-158.jpg" target="_blank"><img class="alignnone size-thumbnail wp-image-14240" title="KPA-Navy-unit-158" src="http://www.nkeconwatch.com/nk-uploads/KPA-Navy-unit-158-150x150.jpg" alt="" width="150" height="150" /></a></p>
<p style="text-align: center;">Click image for larger version</p>
<p>Or maybe that is just what they want us to think?</p>
<p>Interestingly, in the location where Kim Jong-un was said to have visited KPA Navy Unit 158,<a href="http://www.kcna.co.jp/item/2009/200911/news27/20091127-12ee.html" target="_blank"> Kim Jong-il visited on November 27, 2009</a>&#8212;except then it was the Command of KPA Navy Combined Unit 587. So this could mean a couple of different things to the non-military-expert (me). Either KPA Navy Combined Units 587 and 597 are headquartered in the same location, or they are the same unit with a different name. Other ideas and theories welcome.</p>

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		<title>Kim Jong-un makes over 61 onsite inspection visits</title>
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		<pubDate>Wed, 08 Feb 2012 04:10:14 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[CNC]]></category>
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		<guid isPermaLink="false">http://www.nkeconwatch.com/?p=14234</guid>
		<description><![CDATA[Institute for Far Eastern Studies (IFES) 2012-2-1 Since Kim Jong-un’s first election as the vice-chairman of the Korean Workers’ Party Central Military Commission (CMC) on September 28, 2010, Kim Jong-un was reported to have made 33 accompanied onsite inspections with Kim Jong-il and a total of 61 visits at industrial sites. Out of the 61 [...]]]></description>
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<p><strong><a href="http://ifes.kyungnam.ac.kr/eng/FRM/FRM_0101V.aspx?code=FRM120201_0001" target="_blank">Institute for Far Eastern Studies (IFES)</a></strong><br />
2012-2-1</p>
<p>Since Kim Jong-un’s first election as the vice-chairman of the Korean Workers’ Party Central Military Commission (CMC) on September 28, 2010, Kim Jong-un was reported to have made 33 accompanied onsite inspections with Kim Jong-il and a total of 61 visits at industrial sites.</p>
<p>Out of the 61 total visits, Kim Jong-un inspected the following industries: power/electricity (5 times); metal (3 times), machinery (12 times); agricultural (4 times); light (5 times); food (14 times); and industrial (4 times). Construction sites of <a href="http://www.nkeconwatch.com/2012/01/23/an-update-of-the-huichon-and-ryesonggang-power-stations/" target="_blank">Huichon Power Stations</a> were visited four times while the <a href="http://wikimapia.org/#lat=40.1881109&amp;lon=126.2312633&amp;z=18&amp;l=0&amp;m=b" target="_blank">Huichon Ryonha General Machinery Plant</a> and the <a href="http://wikimapia.org/#lat=40.9591841&amp;lon=126.606853&amp;z=17&amp;l=0&amp;m=b" target="_blank">Kanggye General Tractor Plant</a> were also visited multiple times.</p>
<p>Kim Jong-un’s “economic learning” began while accompanying his late father Kim Jong-il on onsite inspections. Even when Kim Jong-il was alive, Kim Jong-un was most likely to have made preliminary visits to these industrial sites for a closer assessment as a part of his duty as the vice-chairman of the CMC.</p>
<p>The significance of the recent visits mainly lie with inspections to the Huichon Power Stations (located in Jagang Province) equipped with 300,000 kW of power generation capacity. Huichon Power Station was an important national strategic project which was often emphasized by Kim Jong-il, “The construction of the power plant must be completed before the centennial birthday of the Great Leader (Kim Il-sung) with great efforts from the entire party, military and the people.”</p>
<p>The electricity produced at the Huichon Power Station is likely to be distributed primarily in the Pyongyang area around the two national holidays, the Day of the Shining Star (Kim Jong-il’s birthday) and the Day of the Sun (Kim Il-sung’s birthday). Currently, power line constructions are still underway in Pyongyang.</p>
<p>At Huichon, constructions of additional terraced power plants are under planning using the currents from the Yangtze and Cheongcheo Rivers. The electricity produced from these plants is likely to be distributed to the industrial areas in Jagang Province, which is central to the machinery and national defense industries.</p>
<p>Important policy implications can be found from Kim Jong-un’s past accompaniment to the Huichon Ryonha General Machinery Plant with Kim Jong-il. This plant is currently emphasized as Kim Jong-un’s accomplishment and revered as, “the industrial revolution of the new era,” and a “site of CNC (Computer Numerical Control) breakthrough.” In addition, Kim Jong-un’s economic leadership is acclaimed for placing prominence on the state-of-the-art technology and “knowledge-based economy.”</p>
<p>Kim Jong-il visited the Huichon Ryonha General Machinery Plant on October 28, 2011 with Kim Jong-un and inspected the CNC assembly line, CNC processing plant, and CNC machineries. He stressed, “Modernization must be promoted in all sectors and levels founded on the state-of-the-art technology. The achievements in the CNC technology should serve as the stepping stone to move forward toward a higher level of science and technology.”</p>
<p>Similarly on October 27, 2011, Kim Jong-il visited the <em>Yangtze River Machinery Plant</em><strong>*</strong> with the younger Kim and stressed, “Powerful economic nation that we are seeking is knowledge-based economy which is only possible when CNC technology and automation is realized that can create material wealth through little resources, efforts, and energy.”</p>
<p>The “knowledge-based economy” will likely become the trademark of Kim Jong-un and esteemed as following the “teachings of Kim Jong-il.” Kim Jong-un’s recent industrial site visits were concentrated on the cutting edge production facilities equipped with modernized and automated production processes.</p>
<p><em>* NKeconWatch: I believe this name is an error and the correct location is the <a href="http://wikimapia.org/#lat=40.9992533&amp;lon=126.612668&amp;z=16&amp;l=0&amp;m=b" target="_blank">Jangjagang Machine Plant</a>.</em></p>

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		<title>DPRK fruit imports</title>
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		<pubDate>Mon, 06 Feb 2012 21:19:07 +0000</pubDate>
		<dc:creator>NKeconWatch</dc:creator>
				<category><![CDATA[Agriculture]]></category>
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		<description><![CDATA[According ot the Donga Ilbo: About 10,000 tons of fruit have been exported every year to North Korea via the Chinese city of Dandong in Liaoning Province, which borders the North at the estuary of the Yalu River. Fruit imports for the North`s elite have reportedly posted double-digit growth over the past five years despite [...]]]></description>
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<p>According ot the <a href="http://english.donga.com/srv/service.php3?bicode=060000&amp;biid=2012020748578" target="_blank">Donga Ilbo</a>:</p>
<blockquote><p>About 10,000 tons of fruit have been exported every year to North Korea via the Chinese city of Dandong in Liaoning Province, which borders the North at the estuary of the Yalu River.</p>
<p>Fruit imports for the North`s elite have reportedly posted double-digit growth over the past five years despite severe food shortages in the Stalinist country.</p>
<p>An informed source in Dandong said Monday, “About 10,000 tons of fruit were exported to North Korea via Dandong Marine Center last year,” adding, “They were worth 100 million yuan (16 million dollars).”</p>
<p>Shipments to North Korea have grown about 15 percent per year on average over the past five years, the source said.</p>
<p>Fruits exported to the North include the different varieties available in China, including subtropical and tropical types such as bananas, pineapples, litchis, dragon fruit and durians as well as apples, tangerines and watermelons.</p>
<p>The source said fruit exports surge just before major North Korean holidays, including Feb. 16 (the birthday of the late North Korean leader Kim Jong Il) and April 15 (the birthday of North Korea founder Kim Il Sung).</p>
<p>“Fruit exports significantly increased ahead of Christmas Day in the past, but there was no notable change in exports last year due to the death of Kim Jong Il,“ the source said.</p>
<p>North Korea does not celebrate Christmas but fruit exports usually increased because Dec. 24 marks the birthday of Kim Jong Il’s biological mother Kim Jong Suk. The shipments are sent to Pyongyang for use at events or consumed by the power elite. Payment is made mostly with U.S. dollars, but the yuan is often used to settle accounts.</p>
<p>The Dandong city government also established an agency in charge of fruit exports to the North. Liaoning Province announced on its website Thursday that a center for market purchase of exported fruits for border area trading was set up in Dandong.</p>
<p>The purpose of the market is for Dandong to supply fruit to meet growing demand in North Korea, and assure the quality and safety of them.</p>
<p>Furthermore, the agency aims to manage chaotic fruit export markets for North Korea. In Dandong, a number of fruit stores targeting trade with the North rather than sale to residents are reportedly operating.</p>
<p>One fruit vendor said, “We`re shipping fruit via vehicles that regularly travel back and forth to and from Shinuiju and Dandong.”</p>
<p>The center is designed to control and manage the overall fruit export market to the North, including fruit exports by such small merchants. From now on, all fruit exports to North Korea will be reportedly be sent through this center.</p>
<p>The center is a subsidiary of Dandong Guopin Co. Ltd., a state-run company established by Dandong. It has a system worth 10 million yuan (16.4 million dollars) designed to enhance capacity in sorting, refrigeration, packaging, inspection and transport of fruits.</p>
<p>The center has taken charge of about half of fruit shipments from Dandong to North Korea every year, and its office is in Dandung Marine Center.</p></blockquote>
<p>Read the full story here:<br />
Chinese city exports $16 mln worth of fruit to N.Korea yearly<br />
<a href="http://english.donga.com/srv/service.php3?bicode=060000&amp;biid=2012020748578" target="_blank">Donga Ilbo</a><br />
2012-2-6</p>

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