Gov`t Supports Rice 300,000 t to NK within This Year

The government plans to pursue the food aid plan amounting to 400,000 tons, including 300,000 tons of surplus rice.

The government plans to discuss the food aid plan of the government-owned rice of 300,000 tons plus alpha, including the rice imported by the Minimum Market Access (MMA) and the surplus rice, at the 2nd Inter-Korean Economic Cooperation Promotion Committee meeting, scheduled for Oct. 23-26.

In particular, the government will pursue the rice aid of about 300,000 tons by concluding `the agreement on the food loan` during the consultation process with the North Korea, and will try to end all food aid project until the end of this year.

And considering the relationship with the international organization such as the World Food Programme (WFP), the government will soon or later set the humanitarian gratuitous food aid plan not exceeding 100,000 tons of corns.

A report said that the government would support the rice aid fund from the inter-Korea cooperation fund and the fund for stabilizing agricultural and fishery prices. The rice aid fund amounted to about 101.5 billion won, the sum of 85.5 billion won equal to 300,000 tons of rice, and 15.7 billion won equal to 100,000 tons of corns, when they were calculated in terms of the current international prices.

Taking into consideration that 300,000 tons of rice amounted to 600 billion won in terms of the domestic price, and the North Korea`s economic situation has worsened, the government will sign a loan plan of 80 billion won and then bear the amount of difference brought about by including the domestic rice.

A governmental official said, ``The government will confirm its position to the food aid issue, having a government-party consultation meeting on 11th. And it has currently reviewed the NK support plan considering synthetically the kinds of grains, the domestic and international prices, and the ratio of the surplus rice and the imported rice among the government-owned rice.``

Kim Young-Sik spear@donga.com