FACTBOX-South Korea's industrial park in the North
21 Apr 2009 00:57:02 GMT Source: Reuters
(For related story, please click on [ID:nSEO33143]) April 21 (Reuters) - Political rivals North and South Korea plan to hold rare talks on Tuesday about a joint industrial enclave north of their heavily armed border called the Kaesong Industrial Park. Here are some facts about the facility where South Korean companies use cheap North Korean land and labour to make goods: LOGISTICS The park is located in the North Korean city of Kaesong about 70 km (45 miles) northwest of Seoul. A new highway and a restored rail link run through the Demilitarised Zone buffer dividing the two since the end of the 1950-53 Korean War, taking materials from the South and finished products from the North. Kaesong is the first cooperative manufacturing venture where South Korean firms use North Korean labour. It is run by Hyundai Asan, part of the Hyundai Group, and Korea Land Corp. EMPLOYMENT As of February 2009, there were nearly 39,000 North Koreans employed at 93 South Korean factories producing items such as textiles, watches and cosmetic cases. More than 1,000 South Koreans work at Kaesong, mostly as factory managers. The minimum monthly wage is $70 for each North Korean employee. The wages are paid to the North Korean state and not directly to workers. CHARGES OF EXPLOITATION In May 2006, Jay Lefkowitz, the top U.S. official for human rights in North Korea in President George W. Bush's administration, raised concerns about possible exploitation at the complex, saying the well-intentioned project may simply end up providing funds that prop up North Korea's leaders. DUTY-FREE EXPORT? South Korea and the United States agreed to set up a joint committee to study allowing Kaesong products duty-free status in the U.S. market under a free trade deal struck in April 2007. South Korea says future projects in the North will be entitled to the same privilege. Washington is less enthusiastic. South Korea wants goods produced in Kaesong to be covered in other free trade deals. FUTURE PLANS South Korea's vision for the Kaesong project, which began in June 2003 and saw the first batch of goods shipped to South Korea in 2004, includes more than half a million North Koreans employed by 2,000 firms and with hotels, golf courses and a "peace park". (Sources: Reuters, South Korean Unification Ministry, Hyundai Asan) (Reporting by Jon Herskovitz, Jack Kim and Kim Junghyun; Editing by Valerie Lee)
Anti-North Korea protesters drag a defaced portrait of North Korean leader Kim Jong-il during a protest in front of foreign ministry office in Seoul April 20, 2009. Dozens of conservative protesters ...
