Korean Unification Bulletin ( No.49 Nov, 2002)
Minister
Jeong Speaks at the Korea Society Breakfast
During
his visit to the U.S., Minister of Unification Jeong Se-hyun spoke at a breakfast
meeting sponsored by the Korea Society. Present at the meeting held at Metropolitan
Hotel in New York (November 18, 2002) were former ambassador to Korea Donald Gregg,
the President of The Korea Society and 60 guests that included journalists and government
officials.
Excerpts
from the speech is as follows:
Ambassador
Gregg of the Korea Society, members of the executive board, members of the Society,
and distinguished guests who are here this morning, As the post-Cold War era began,
it seemed more than ever that we would be able to put war among nations behind us,
a common hope of mankind. But in September of 2001 the mankind confronted a new
form of war known as terrorism.
As
it is a new form of war, combating terrorism is indeed a difficult task, nonetheless,
terrorism will not be able to impede the mankindsÕ progress toward peace
and prosperity. Peace and prosperity through openness and cooperation among all
nations is a global trend and the pursuit of all mankind.
The
people of South Korea yearn for the Korean Peninsula to be a center for peace and
cooperation in the Northeast Asian region, and not a region of dispute and tension.
Our policy of reconciliation and cooperation toward the North reflects the current
of history and the desire of our people, and this pursuit is commonly sought by
Northeast Asia and the world.
The
sunshine policy is a policy for peace on the Korean Peninsula. It is a policy that
seeks inter-Korean reconciliation and cooperation so that the two Koreas can peacefully
coexist and prosper together.
The
sunshine policy does not tolerate any provocation from the North that may be a threat
to peace on the Korean Peninsula, and we do not act to threaten the North. But peace
based on deterrence alone is a negative peace which is limited in that it cannot
ultimately guarantee peace. Therefore, while we seek ?eace-keeping,Ó we are
determine to expand inter-Korean exchanges and cooperation to broaden mutual understanding
and inter-dependency, so that we can settle hostilities and remove security concerns.
In other words, we would like to realize a positive peace on the Korean Peninsula
through the process of ?eace-making.Ó
For
the past four years our government has been consistently promoting such a policy.
The
policy of reconciliation and cooperation has brought many changes and developments
in inter-Korean relations. First and foremost, there was an inter-Korean summit
meeting, the first of its kind in the history of the divided peninsula. President
Kim Dae-jung met with Chairman Kim Jong-il, and they exchanged frank opinions with
one another concerning the Korean peninsula issue. The two leaders agreed that there
should not be another war on the peninsula, but rather, the two Koreas should reconcile
and cooperate to peacefully coexist with one another.
Of
course, the confrontation and distrust between the two Koreas that lasted for a
half century cannot disappear with just one summit meeting. Nonetheless, although
there were ups and downs, inter-Korean relations continued to expand and develop
based on the June 15 Joint Declaration that the two leaders agreed to at the summit.
This
became the foundation for inter-Korean railway and highway connection project and
the plan to construct an industrial complex in the Northern city of Gaesong near
the border. These are cross-border economic projects, and military cooperation to
assure the implementation of the project in currently ongoing.
For
the removal of mines and other construction work within the demilitarized zone,
the two Korea established a military hotline on September 24. What was agreed in
the South-North Basic Agreement was finally realized in 10 years. The military hotline
is a result of economic cooperation, and although this is little when considering
the entire history of inter-Korean relations, nevertheless, it is a big step forward.
The
inter-Korean exchanges and cooperation also expanded significantly. Since the beginning
of the Kim Dae-jung administration a total of about 36,000 South Koreans visited
the North for exchanges and cooperation in various fields including: inter-Korean
dialogue, economy, culture and athletics. Compared to the number of people who visited
North Korea in the nine years prior to this administration the number increased
15 times. Furthermore, the tourist to Mt. Geumgang in North Korea has passed 500
thousand mark. And the inter-Korean trade that stayed at 200 million dollars in
1998 increased to 400 million dollars.
Together
with this, the issue of separated families is beginning to be resolved. Since the
inter-Korean summit meeting, there were five rounds of exchanges by separated family
members where 5,400 people held family reunions in half a century and 11,000 people
verified the whereabouts of their lost families. Moreover, in the recent inter-Korean
Red Cross talks, the two Koreas agreed in principle to construct a reunion center
at an early time.
For
South Korea and for the international community, when it comes to implementing a
policy toward North Korea, one of the most important things that we should pay attention
to is a change in North Korea. The North has taken the path toward change following
the implementation of our reconciliation and cooperation policy. And as a result
of continued humanitarian assistance from the international community including
South Korea and the U.S., the dependency of North Korea to the outside world increased
and the people of North Korea have expressed appreciation for the foreign assistance,
showing change in their perception of the outside world.
Also,
North Korea, internally has been urging its people to ?id oneself of the things
of the past and adopt a new way thinking and new approach to work.Ó On July
1 of this year, North Korea implemented Improvement Measures in Economic Management
that reduced the rationing system and adopted an incentive system to overcome the
inefficiency of the planned economy so as to increase production.
And
on September 12, the North designated the city of Sinuiju as the Special Administrative
District modeling after Hong Kong. Moreover, 18 of the North Korea? top party leaders
visited the South for nine days to see and experience for themselves the social
and economic developments of South Korea. For North Korea to maintain its regime
and revive its economy, North Korea needs to seek change, and in the process it
cannot avoid but to cooperate with the international community.
Recently,
the North? nuclear issue has surfaced as a serious concern for South Korea and the
world community alike. The North Korea? nuclear issue is an issue that directly
involves the security of the Korean peninsula. Our position is that we cannot tolerate
any kind of nuclear development by the North and that its nuclear issue should be
resolved at an early time.
During
the 8th Inter-Korean Ministerial Talks, in which I participated as the head delegate
for the South, I pointed out that North Korea violated international agreements
including the Agreed Framework, NPT, IAEA? Safeguards Agreement. Moreover, I relayed
to the North the concern of the South Korean people and the international community
over the North? nuclear development and urged the North to resolve this matter at
an early time. As a result the two Koreas agreed that the matter would be resolved
in a peaceful manner through dialogue.
And
in the 3rd round meeting of the Inter-Korean Economic Cooperation Promotion Committee
that was held in early November, we urged the North again to take measures that
we can understand concerning the nuclear issue, and emphasized that in order for
inter-Korean dialogue and economic cooperation to progress without trouble, the
nuclear issue needs to be resolved at an early time.
In
addition, during the APEC, in the trilateral summit meeting among South Korea, U.S.
and Japan, the three leaders agreed to resolve this matter peacefully in close
consultation
trilaterally and with other concerned nations around the globe. And they also agreed
to utilize South-North dialogue and Japan-DPRK normalization talks as important
channels to resolve the matter.
In
the recently held executive board meeting of KEDO, the members urged the North to
take measure to resolve the matter in a visible manner and that North Korea? future
relations with KEDO will hinge on measures taken by the North. Also, President Bush
said in a statement that the ?.S. hopes for a different future with North Korea,Ó
and he reconfirmed that the ?.S. has no intention of invading North Korea.Ó
Thus, the situation is ripe for the North to respond to the call of the international
community.
North
Korea should not miss this opportunity. I believe that when nations concerned cooperate
and maintain a common position on North? nuclear issue, we can indeed find a peaceful
solution to the matter. Peaceful resolution to the nuclear issue would not only
serve for
peace
on the Korean peninsula, but it can serve to take peace in Northeast Asia to another
level. For such peaceful settlement to the nuclear issue, there is a need for the
inter-Korean dialogue to be maintained. It can serve as a channel to make North
Koreans understand the recklessness and danger involved in their nuclear development,
and urge North Korea to change its attitude on the matter.
We
would continue to work closely with the U.S. and Japan in the future, and we would
also cooperate with the international community including China and Russia to resolve
the North Korea? nuclear issue. The North must understand that they have nothing
to gain by threatening the international community with nuclear weapons nor would
it help to solve their economic problem. They must understand this and they will
come to understand this. Over 85% of the South Koreans support peaceful solution
to the matter, and this is the national consensus. Our government? effort to resolve
the nuclear issue lies in such desire of the people at large.
Based
on our strong alliance, Korea and the U.S. have been working in close cooperation
for peace and security on the peninsula. And based on this alliance, the two nations
will continue to work together in that respect. Our pursuit of peace on the peninsula,
improvement of relations and the unification of Korea is not something that can
be accomplished over night. We must have a vision concerning the future of Korea,
and exercise our wisdom so as to turn crises into opportunities.
I
would like to thank all who are here for your active cooperation and humbly ask
for your continued support.
Thank
you.
The
3rd Inter-Korean Economic Committee Meeting
The
third round meeting of the Inter-Korean Economic Cooperation Promotion Committee
took place in Pyongyang from November 6 to 9. Present from the South side were the
members of the delegation led by vice-minister of Finance and Economy Yun Jin Sik,
South side? chairman of the committee; and present from the North side were the
members of the delegation led by first vice-chairman of the state planning commission
Pak Chang Ryon, the chairman of the committee for the Northern side.
At
the meeting the South side relayed to the North its concern over the North? nuclear
issue and urged the North to take visible measures to resolve the issue. Also, the
two sides discussed implementation of agreements reached during the second economic
committee meeting and other unfinished matters.
The
agreement of the third meeting of the committee was reached on November 9, 2002.
Agreement
at the 3rd Meeting of the Inter-Korean Economic Cooperation Promotion Committee
The
third meeting of the Inter-Korean Economic Cooperation Promotion Committee took
place from November 6 to 9, 2002 in Pyongyang. At the meeting, the two sides exchanged
views on immediate issues of further activating economic cooperation according to
the spirit of the June 15 Joint Declaration and agreed as follows.
1.
The South and the North will take measures to simultaneously and rapidly push forward
the projects of reconnecting the railway and road links in the east and west
coastal areas.
¨ç
The South and the North will reconnect the western rail and road links to the Gaesong
Industrial Zone and reconnect the eastern rail and road links to Mt. Geumgang area
as a first phase construction so that technical measures can be taken to revitalize
Mt. Geumgang tourism and to push ahead with the construction of Gaesong industrial
complex.
¨è
The South and the North will hold a working-level contacts in mid-November at Mt.
Geumgang to discuss and resolve any pending issues related to rail and road connection.
For
such connection, following the agreement reached by the militaries of the
two sides, the two sides will decide on the points of connection following a joint
survey in November. Dates and procedures will be discussed between the two
sides through exchanges of documents, and the two sides agree to exchange schedules
for construction and notify each other of the progress of construction on regular
basis.
2.
The South and the North will actively cooperate to begin and implement the construction
of the Gaesong industrial complex in the latter half of December in 2002.
¨ç
The North will promulgate the law on Gaesong Industrial Zone in mid-November and
the South will begin necessary infrastructure construction in a commercial way at
an early date.
¨è
The two sides will hold working-level contacts in early December to discuss and
resolve pending issues concerning the construction of the Gaesong industrial complex.
3.
The South and the North will hold working-level contacts to adopt an agreement on
cooperation in marine transportation, including the passage of the territorial waters
of the other side by civilian cargo vessels and their safe voyage, at Mt. Geumgang
on November 19th; and the two sides will hold working-level contacts to discuss
the use of part of the North Korean fishing ground in the East Sea by South Korean
fishermen, at Mt. Geumgang at the earliest possible date.
4.
The South and the North agree to simultaneously effectuate the four agreements already
reached on guaranteeing an institutional framework concerning economic cooperation
at an early date, following the necessary legal procedures of each side.
The
two sides will hold a meeting by the Working-Level Consultative Committee on Institutional
Framework for Economic Cooperation, in mid-December in Seoul, to discuss matters
related to the follow-up measures for the four agreements, cross-border travels
and certification of origin.
5.
The South and the North will make efforts to realize a visit to the North side by
an economic mission from the South.
6.
The fourth meeting of the Inter-Korean Economic Cooperation Promotion Committee
will be held in early February 2003 in Seoul.
Working-level
Talks on Transportation
Working-level
contact for the reconnection of the rail and road
A
working-level contact for the reconnection of the rail and road links between the
South and the North took place at the Mt. Geumgang from November 18 to 20 according
to an agreement reached at the 3rd meeting of the inter-Korean econcomic committee.
At the contact, both sides examined the delivery of equipment and materials needed
for the projects of reconnecting the east and west coastal rail and road links and
reached an agreement on a series of issues.
Both
sides determined the procedures and methods of a joint survey for choosing the points
from which
railways
and roads should be reconnected. A discussion was also held regarding a basic agreement
on the transit of vehicles on the road between the South and the North and the two
sides agreed to establish an office for the management of transit vehicles respectively
in the place nearest to the military demarcation line.
The
driver of the vehicle must follow the traffic laws of the other side and must follow
the designated path toward destination.
Inter-Korean
marine transportation
A
working-level contact for adopting an agreement on inter-Korean marine transportation
was held at the Mt. Geumgang resort from November 18 to 20 according to the agreement
reached at the 3rd meeting of the inter-Korean economic committee.
Both
sides announced a joint press release after agreeing to pave the way for practical
cooperation in the field of marine transportation between the South and the North.
During
the meeting the two sides shared understanding that it is necessary for the South
and the North to cooperate in the field of marine transport and they exchanged views
on the issues of passage of each other? territorial waters by civilian ships, opening
of sea routes, safe sailing, etc.
It
was decided to continue the discussion on the issues raised at the next round of
contact and hold the second meeting at Mt. Geumgang December this year.
Law
on Mt. Geumgang Tourist Zone Adopted
According
to the KCNA (news agency) of North Korea the Presidium of the DPRK Supreme People?
Assembly promulgated a decree on adopting the Law on Mt. Geumgang Tourist Zone.
According to the decree dated November 13, the DPRK adopted the Law on Mt. Geumgang
Tourist Zone following the desig-nation of the area as a special tourist zone (October
23). The law has 29 articles and additional rules related to 3 articles.
Major
Points of the Law
General
·The
Mt. Geumgang Tourist Zone is an international tourist center managed and operated
under the DPRK law.
·The
tourist business can be conducted by Koreans in the south and abroad and foreigners
in the zone.
·Sightseeing,
tourist industry and other business should be conducted in the zone according
to the law and rules for its observation.
Development
·The
development of the zone shall be undertaken by developers.
·A
developer can exercise the rights to develop the zone and conduct tourist business
until the period set by the central institution guiding the tourist zone and transfer
or lease some of his rights to other investor.
·Tax
shall not be levied on the development of the tourist zone and business activities
undertaken by the developer.
·The
developer should work out a general plan for the development of the tourist zone
and present it to the central institution guiding the tourist zone.
·The
tourist zone shall be managed by the institution managing the tourist zone under
the guidance of the central institution guiding the tourist zone.
Investment
·Compatriots
in the south and overseas, corporate bodies, individuals and economic organs of
other countries may make investment in the tourist zone to conduct business such
as tourism, hotel service, amusement and operation of catering facilities.
·They
may also invest funds for the latest science and technology free from pollution
such as software industry and are encouraged to make investment in tourism
and infrastructural construction related to it.
·Investment
is not allowed in the fields that may change or pollute the natural and ecological
environment of Mt. Geumgang.
·Anyone
who wants to make investment in the tourist zone should get a sanction to start
business and a work permit from the institution managing the tourist zone.
·The
fixed convertible currency may be used in the tourist zone and freely taken in and
out.
·Compatriots
in the south and overseas and foreigners who come to the tourist zone from the south
side? may do so without visas through the fixed route, carrying with them
passes issued by the institution managing the tourist zone.
Settlement
of Disputes
·Differences
over the development of the tourist zone and its management and business there shall
be settled through negotiations between the parties concerned.
·In
case they cannot be settled through negotiations, they shall be settled through
the procedures of settling business disputes as agreed upon between the South and
the North or through arbitration and trial.
·According
to the additional rules of the law, the law on Mt. Geumgang Tourist Zone shall take
effect from the date of its adoption and the content of the agreement reached between
the South and the North as regards the Mt. Geumgang Tourist Zone shall have the
same validity as this law.
Law
on Gaesong Industrial Zone Adopted
Pyongyang
Broadcasting reported (Nov. 27) that following the designation of Gaesong Industrial
Zone on November 13, a decree of the Presidium of the Supreme People? Assembly on
adopting the law on the Gaesong Industrial Zone of the DPRK was promulgated on November
20.
Main
Points of the Law
Fundamentals
of the law on the
Gaesong
Industrial Zone
·The
Gaesong Industrial Zone is an international industrial, trade, commercial, financial
and tourist zone managed and run by the law of the DPRK.
·The
zone shall be developed in such a way that a developer makes a site preparation
and conducts infrastructural construction on a leased land and attracts investment.
·South
Korean, overseas Korean, foreign corporate bodies and individuals and economic organizations
can invest in the zone.
Development
of the Industrial Zone
·The
development of the zone shall be undertaken by the appointed developers and they
shall be chosen by the central institution guiding the industrial zone.
·The
land lease of the zone shall last for 50 years and the leased land shall be used
according to the application of entrepreneurs even after the period of the lease
has expired.
·Investments
in the infrastructural construction, light industry and ultra-modern science and
technology shall be particularly encouraged.
Management
of the Industrial Zone
·The
industrial zone shall be managed by the industrial zone management institution under
the control of the central institution guiding the industrial zone, and the management
institution should report the management of the zone to the central institution
guiding the industrial zone on quarterly basis.
·The
institution managing the industrial zone shall be formed with members recommended
by the developers, and the chief director responsible for the institution shall
organize and guide its overall work.
·Convertible
currencies shall be circulated and credit cards may be used in the industrial zone,
profits made through business and other incomes can be remitted and taken to the
south side or other countries free from taxes.
Establishment
and Management of Enterprises
·The
Gaesong Industrial Zone shall prohibit investment and business activities in such
fields that may do harm to the security of the society, the sound progress of the
national economy, the health of citizens and environmental protection and that are
economically and technically backward.
·An
enterprise to be built in the industrial zone shall hire workforce of the DPRK and
conduct its business activities within the limit of the approved type of business.
·The
zone shall protect the right and interests of an investor and grant him the right
to inherit invested capital and properties and the properties of the investor shall
not be nationalized.
Settlement
of Disputes
·Differences
over the development of the industrial zone and its management and business there
shall be settled through negotiations between the parties concerned. In case they
cannot be settled through negotiations, they shall be settled through the procedures
of settling business disputes as agreed upon between the South and the North or
through arbitration and trial.
It
is expected that the North Korea would faithfully carry out the terms of the law
and enact detailed regulations at the earliest possible date. It is hoped that the
construction work for the proposed industrial complex will proceed smoothly and
eventually contribute to the increase of the inter-Korean cooperation in the economic
arena.
2 Sat
National
Security Council meeting chaired by President Kim is held to discuss North Korea's
nuclear issue.
The
first working-level consultative committee meeting for Gaesong industrial complex
is held in Pyongyang (Oct.31-Nov.2).
The
second working-level consultative committee meeting for prevention of flooding along
the Imjin River is held in Pyongyang (Oct.31-Nov.2).
Working-level
Red Cross contact in Mt. Geumgang (Oct.21-Nov.2) ends without an agreement.
4 Mon
Prime
Minister Kim Suk-soo meets with the Japanese and Chinese prime minister during the
ASEAN+3 meeting to discuss North Korea's nuclear issue.
5 Tue
North
Korean news media (KCNA) urges the US not to ignore North Korea proposal of non-agression
treaty.
6 Wed
The
3rd round meeting of the Inter-Korean Economic Cooperation Promotion Committee is
held in Pyongyang.
8 Fri
Assistant
Secretary of State J. Kelly arrives in Japan to discuss North Korea's nuclear issue
with South Korea, Japan and China.
9 Sat
Korea,
US, and Japan holds a TCOG meeting in Tokyo.
14 Thu
KEDO's
executive board announces that if North Korea does not stop its nuclear program,
then it would halt the supply of heavy fuel oil from December.
16 Sat
President
G. W. Bush announces a statement concerning North Korea.
-
In the statement he says that the US wants a different future with North Korea and
that the US does not intent to invade North Korea. The statement urges the North
to take visible measure to dismantle its nuclear program.
18 Mon
The
second working-level contact for rail and road connection and the first working-level
contact for marine transportation is held in Mt. Geumgang (Nov. 18-20).
19 Tue
Spokesperson
for the Chinese Foreign Ministry says that China supports nuclear-free Korean peninsular
and opposes proliferation of weapons of mass destruction.
25 Mon
KCNA(news
agency) of North Korea reports that the Presidium of the DPRK Supreme People's Assembly
promulgated a decree on adopting the Law on Mt. Geumgang Tourist Zone. (According
to the decree dated November 13, the DPRK adopted the Law on Mt. Geumgang Tourist
Zone following the designation of the area as a special tourist zone on October
23.)
26 Tue
The
joint survey of the land to decide the point of contact for rail and road link in
the eastern coastal side is completed.
27 Wed
Pyongyang
Broadcasting reports that following the designation of Gaesong Industrial Zone on
November 13, a decree of the Presidium of the Supreme People's Assembly on adopting
the law on the Gaesong Industrial Zone of the DPRK was promulgated on November 20.
29 Fri
The
joint survey of the land to decide the point of contact for rail and road link in
the western coastal side is completed.
The
IAEA Board of Governors adopts a resolution on the implementation of IAEA safeguards
in the Democratic People's Republic of Korea (DPRK) at its meetings in Vienna.
