Nampo Port May Get 114B Won Makeover

One document stamped by “confidential” estimated that as much as 114 billion won would be injected into North Korea’s Nampo Port development project over a five-year period (4 billion won for the first one year, 22 billion won for the next two years, and 88 billion won for last two years).

According to a source from the government, “Empirical research will precede and the project will phased in accordance with the trade volume between two Korea and their harbor conditions

For this, the Ministry of Unification has already had discussions with other concerned organizations such as Ministry of Maritime Affairs and Fisheries, Korea Container Terminal Authority, and private shipping companies.

This document predicted the high feasibility of this initiative by saying, “North Korea showed impressive interest in this when the government unofficially made the offer.”

The document also stressed that since the start-up expense of this project (4.0 billion won) is already secured through inter-Korean economic cooperation funds, the project can start at any time once two Koreas make an agreement.

In this document, the government expressed its intention that it will establish an execution body that will carry out practical business on this after talks with the North through official channels such as inter-Korean Ministerial Talks and Inter-Korean Economic Cooperation Promotion Committee. The body is tentatively named the North Korea Harbor Development Project Association.

However, this document also warned that North Korea may just ask for expensive handling equipment without allowing field surveys, citing security matters. Port development itself may be placed on the back burner.

Moreover, it indicated that this project could give the wrong impression that the government attempts to grasp the interests of other private shipping companies, which currently operate ships between Incheon and Nampo (such as D shipping company and K shipping company)

However, the source from the government said, “This is just a plan that is applicable only when North Korea makes a proposal that seeks the development of Nampo Port. North Korea hasn’t made any suggestion yet and the project made little progress in terms of practical level.”

taewon_ha@donga.com