Farmer markets in North gain an official go-ahead

North Korea has moved since March to permit a broader role for its farmers’ markets, a senior economic official with the North’s National Planning Commission said Tuesday. To begin with, it now calls them simply “markets,” dropping “farmers’.”
Choe Hong-gyu, director-general of the commission, told the pro-Pyeongyang newspaper Chosun Sinbo, published in Japan, that the measure was one of a series of moves intended to supplement the economic reform plan introduced in July.
Changing the name of the market reflects the reality that manufactured goods are also widely traded in these forums, Mr. Choe said. The Chosun Sinbo analyzed the move as an indication of a change of perception about markets. North Korea recognizes that the markets can fulfill demands that exist in society, and it wants to help them do that, the newspaper said.
Referring to reports of sharp inflation that followed the July economic reform, Mr. Choe said the country’s price structure is able to adjust itself to demands.
Nam Sung-wook, professor of North Korea studies at Korea University, said the markets are probably being used to cushion side effects of the July measures and to absorb growing public discontent. The North was able to respond to the inflation in October and November by importing up to $3 million in goods from China, Mr. Nam said, but the flow of goods has since been suspended, largely because of tension surrounding the North’s nuclear program. The markets are intended to let people obtain the goods they need for themselves, Mr. Nam said.
Mr. Choe, the North Korean economic official, said there have been improvements in the public’s ability to earn income through higher production. Miners, whose wages are set at 6,000 won a month, for example, are able to earn several times as much with higher production, Mr. Choe said.

by Lee Young-jong