North Korea Today No. 119 Apr 2008

End of March, Price of Rice and Maize Reaches Highest Level in History

The price of foodstuffs is increasing at an incredible pace. On March 30th, for the first time in the country, the price of rice went over the 2,000won per kilogram mark and was traded for 2,050won in the city of Nampo. In the case of maize, the situation is even more extreme. The rumors that the price of maize would go over 1,000won in April became a reality and was being sold for 1,000won in places like Pyongyang, Chungjin, and Hamheung, while in Nampo, it was being traded for 1,050won. In other outlying regions, maize was still being traded at high prices ranging from 900won-950won. Only in areas like Onsung, Hoeryung, and some border areas in North Hamgyong Province was rice being traded at the comparatively low price of 1,600won for rice and 650-750won for maize.

At the end of March, the Central Party held an emergency meeting to address the current issues related to foodstuffs. Because of the lack of a clear alternative, the decision was made for each province to "distribute rations at your own discretion." It was revealed that because increasing the supply of rice for the military is currently the most pressing issue, rice that enters the country through trade must be distributed first to the military. For the past few years, the regions that have been the first to distribute foodstuffs have been Pyongyang, Kaesong, and Hoeryung. In Hoeryung in March, a 15-day supply of whole maize was distributed to workers and their dependents.

Due to Food Shortages, Increase in Workers Leaving Jobs

The daily attendance rate of workers at factories in Hamheung, North Hamgyong province, has been dropping so significantly that the absenteeism is readily apparent. Presently in Hamheung, many citizens are having a difficult time sustaining themselves with even two meals a day. A resident of Hamheung, Kim Gwang-hyuk, expressed his concern and said that if the present conditions persist for a few more months, many people will die of starvation as they did during 1996's Arduous March. Workers at the Gimchaek Steel Mill( ) in Chungjin, North Hamgyong Province have also not been reporting to work ever since food distributions were stopped. With food prices currently hovering around 2,000won, it is difficult for workers to even afford one kg of rice with their monthly wages of 1,000won. Rather than report to work, workers are trying to earn money in labor intensive jobs such as movers by working as drivers or porters. There are also many people who help their spouses at the markets. In order to enforce attendance at its factory, the authorities at the Gimchaek Iron Factory have mobilized patrols to find those who are absent.