Research Reports
Agricultral Development and Cooperation in North Korea's Special Zones
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AuthorKim, Younghoon
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Publication Date2003.12.01
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Original
Agricultral Development and Cooperation in North Korea's Special Zones
North Korea's opening policy of the three special zones, i.e. Sinuiju special administrative region, Gaeseong industrial complex, and Mt. Geumgang tourist zone, is noticeable. Each zone has its own characteristics with respect to internal measures for economic reform, circumstances for talk, and the level of opening. Hence, Supplementary programs are necessary to maximize successful outcomes on the agricultural aspects, co-operative programs to develop agriculture are required both inside and outside of the special zones.
We have three main purposes in this study. Firstly, we are going to analyze North Korea's strategies for the development of the special zones. Secondly, we will define the role of agriculture to promote economic activities between the isolated special zones and the mainland. Thirdly, we are going to propose the direction of agricultural development and desirable agricultural cooperation model between the two Koreas.
The economic development plans for North Korea's special zones require complementary agricultural programs. The main subjects to be involved in the programs are strategies to create the allied industries, increase demand on agricultural products in the zones, and develop new agricultural cooperative model between South and North Korea.
Agricultural development program for the special zones should be implemented in three steps. The first step should set up demonstration farms around the special zones and give economic aids for them. The second step is to stabilize the operation of the farms. The main activities in this step consist of the establishment of stable management for the demonstration farms, marketing assistance for agricultural products and inputs, and assistance of agricultural finance for the areas. The last step is to expand the agricultural cooperation around the special zones.
Once the agricultural cooperation program is initiated, it should be continued until demonstration farms around the special zones are operated by their own resources. At the same time, a comprehensive support program including agricultural marketing, provisions of agricultural inputs, and agricultural finance should be established in the whole special zones. The important thing is to provide sufficient fund and experts for the successful operation of the programs. To this end financial aid could be provided through ODA or EDCF. The participation of experts in related fields is very important at the beginning stage.
Researchers: Kim Young-Hoon, Kwon Tae-Jin and Ji In-Bae
E-mail address: kyhoon@krei.re.kr
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