ID :
65410
Thu, 06/11/2009 - 19:41
Auther :

(News Focus) Seoul to face dragged-out talks over fate of joint park: experts

By Tony Chang
SEOUL, June 11 (Yonhap) -- Facing a deadlock even after years of international
talks aimed at denuclearizing North Korea, Seoul should brace itself for yet
another series of dragged-out negotiations in deciding the fate of an
inter-Korean economic project laden with political and symbolic significance,
experts said Thursday.
Representatives from the two Koreas met earlier in the day at an industrial
complex in the North's border town of Kaesong at the request of the North to
discuss the future of the complex.
The park, an outcome of the first inter-Korean summit in 2000, has grown steadily
since its opening in 2004 and now hosts 106 South Korean firms producing
clothing, kitchenware, electronic equipment and other labor-intensive goods. More
than 40,000 North Koreans work there.
The North declared all contracts regarding the joint park "null and void" last
month and demanded that companies from the South raise their average monthly
wages for North Korean workers to US$300 from the current $70-$80. It also
increased rent at the joint park to $500 million, an exponential jump from the
$16 million set in the 50-year lease when the park opened, to be paid by South
Korean developers, Hyundai Asan Corp. and the state-run Korea Land Corp.
"This will most likely be a series of protracted talks, as Seoul not only has to
deal with the North, but also has to deliberate on the matter with the companies
that are actually doing business in the park," Koh Yu-hwan, a professor of North
Korean studies at Dongguk University, said.
North Korea is likely demanding all that it can from the South concerning the
industrial park's terms of use, according to Koh, adding that the North seems to
have taken a cue from foreign companies operating factories in developing nations
such as China and Vietnam.
Relations between the two Koreas have become frayed after the inauguration of
conservative President Lee Myung-bak last year, and have been flat-lined since
North Korea's second nuclear test on May 25, which prompted condemnations from
the international community.
The North's demand comes on the heels of its detainment of a South Korean worker,
who Pyongyang says criticized the country's political system while working there.
The only positive sign for Seoul appears to be that the two sides agreed to meet
again on June 19 for further talks, and that the North acts receptive to
negotiations. But experts were skeptical about whether the two Koreas can hammer
out a deal on the issues that have been raised.
Yoo Ho-yeol, a North Korean studies professor at Korea University, forecast
exhaustive negotiations ahead, with Pyongyang making demands for the sake of
political saber-rattling more than anything else.
"We have to assess whether we can consider today's talks to be a true two-way
conversation," Yoo said, adding the North seems to have decided to virtually halt
normal operations of the joint park for the time being.
"I think tensions, in the guise of so-called negotiations, will continue for some
time," the professor said.
Park Young-ho, a researcher at the Korea Institute for National Unification,
predicted North Korea "will toss around" the issues for a long time, but will
ultimately reach common ground with the South, given that the park is a lucrative
source of money for the North.
"They (the North) will probably use the detained South Korean as leverage in
getting a deal more favorable deal for them and won't kick out the (South Korean)
companies," said Park.
odissy@yna.co.kr
(END)

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