Two Koreas attempt rare talks

Published: 8:38PM Tuesday April 21, 2009 Source: Reuters

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South Korean envoys arrived in North Korea for rare talks between the political rivals that come as global powers try to prevent reclusive Pyongyang from restarting its nuclear arms plant.
   
South Korean officials have released few details on the talks, which North Korea requested, over a jointly operated factory park just north of the border.
   
They are seeking the release of a South Korean worker detained at the park for nearly a month for allegedly making derogatory comments about Pyongyang's leaders.
   
Also at stake may be the future operations of the Kaesong Industrial Park where South Korean firms use cheap North Korean labour and land to make goods, and the cash-strapped North receives a steady flow of foreign currency in return.
   
North Korea, angered by the decision of President Lee Myung-bak after he took office a year ago to cut a steady flow of aid to his impoverished neighbour, has disrupted work at the park at times to put pressure on Seoul to drop its hard line.
   
Despite the North's moves, the number of firms at Kaesong continues to grow due to its low costs and was at 93 at the end of February, employing nearly 39,000 North Korean workers.
   
The South's nine-member economic delegation had yet to sit down with the North Koreans for at least six hours after arriving because the two sides could not decide on where to hold the talks or the format of the discussions, a South Korea Unification Ministry spokeswoman told reporters.
   
If the North tries to do anything other than warn, fine or expel the South Korean worker, the South will make a strong response, spokeswoman Lee Jong-joo said, declining to elaborate.
   
Shut the park?
   
Yun Duk-min, an expert on North Korea at the South's Institute of Foreign Affairs and National Security, said the unpredictable North is looking to call the shots at the meeting.
   
"South Korea accepted the talks on the slight hope of winning the release of the worker. North Korea could abruptly drop a bomb and say it wants to shut down the Kaesong Park," Yun said.
   
North Korea has all but suspended dialogue with Lee's government and dubbed him a traitor to the Korean nation for tying aid, which has helped prop up the North's wobbly economy, to progress Pyongyang makes in giving up nuclear arms.
   
But the North may now be even more dependent on the money generated by the Kaesong Park because the United Nations has called for tightened sanctions on Pyongyang after its defiant rocket launch earlier this month, widely seen as a disguised long-range missile test that violated UN resolutions.
   
In response, Pyongyang said it would boycott six-party nuclear disarmament talks, restart a plant that makes bomb-grade plutonium that was being dismantled under a deal reached at those discussions, and threatened war with the South if it joined a US initiative to halt the proliferation of illicit weapons.

Some analysts said North Korea may threaten to shut down the Kaesong Park if South Korea joins the Proliferation Security Initiative because it could harm the North's arms trade, which is an important source of cash.
   
But few expect Pyongyang to actually shut down the park because it would harm its already tarnished reputation as an international business partner, lead to the loss of a steady stream of income and force the North to find jobs for tens of thousands of its displaced workers.
   
The latest nuclear rumblings from the North have not upset financial players used to the North's threats, but worries may increase if the North restarts its ageing Yongbyon nuclear plant and tries to produce more plutonium for bombs.
   
Russian Foreign Minister Sergei Lavrov is expected to visit Pyongyang this week to discuss the rocket launch and persuade the North to return to the sputtering nuclear talks with China, Japan, Russia, South Korea and the United States.

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