VZCZCXRO4908
RR RUEHCN RUEHGH RUEHVC
DE RUEHBJ #6932/01 3050641
ZNR UUUUU ZZH
R 010641Z NOV 07
FM AMEMBASSY BEIJING
TO RUEHC/SECSTATE WASHDC 3186
INFO RUEHOO/CHINA POSTS COLLECTIVE
RUEHIN/AIT TAIPEI 6714
RUEHUL/AMEMBASSY SEOUL 0387
RUEHKO/AMEMBASSY TOKYO 1624
RUEHMO/AMEMBASSY MOSCOW 8832
RUCPDOC/USDOC WASHDC
RUEHRC/USDA FAS WASHDC
RUCNDT/USMISSION USUN NEW YORK 1884
RHEHNSC/NSC WASHDC

UNCLAS SECTION 01 OF 02 BEIJING 006932 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR IO/EDA DRAGNICH, EAP/K, INR/EAP 
NSC FOR WILDER, TONG 
 
E.O. 12958: N/A 
TAGS: ETRD ECON EAGR PGOV CH KN
SUBJECT: MORE BLEAK CONDITIONS IN NORTH KOREA 
 
Summary 
------- 
 
¶1. (SBU) Summary: The agricultural situation in North Korea 
continues to deteriorate according to UN FAO experts briefing 
Beijing-based diplomats. Although the spring harvest was better than 
usual, food shortages are still expected.  Three major agricultural 
disasters hit the DPRK in 2007, including a foot-and-mouth disease 
outbreak, floods, and a pine caterpillar infestation.  Local 
citizens are actively tending private gardens and expanding onto 
hillsides causing serious erosion while government co-operatives 
struggle with energy shortages.  Senior officials given the 
opportunity to attend agricultural technical training in China 
(courtesy of FAO) return surprised to learn their own country is 
20-30 years behind in development.  An apparent decrease in 
Pyongyang's population is likely due to a rise in Kaesong employment 
and urban workers heading to the fields to harvest.  End Summary. 
 
--------------------------------------------- - 
Agricultural Production Hit By Three Disasters 
--------------------------------------------- - 
 
¶2. (SBU) North Korea has been hit by three disasters this year, 
according to FAO experts giving a recent briefing to Beijing-based 
diplomats: a foot-and-mouth outbreak resulting in the culling of 
large herds of emaciated cattle; the August floods; and a pine 
caterpillar infestation of over 100,000 hectares of forest.  While 
there is no imminent damage to crops there is cause for concern that 
the entire pine forest protecting crops from slope runoff rains may 
be destroyed.  An FAO expert surveying the damage reported that 
years of indiscriminate use of toxic broad-spectrum pesticides had 
killed off many natural predators (Note: In addition, the toxic 
pesticide was being applied without any human safety precautions. 
End note.) 
 
¶3. (SBU) A test project using a pheromone based product has been 
conducted with the hopes of using this method next year.  The North 
Koreans had frantically tried to eradicate the infestation by 
hand-picking and burning 300 tons of caterpillars (approximately 10 
percent of the population).  In an entrepreneurial twist, farmers 
asked FAO experts whether these specific caterpillars were edible. 
If they were not palatable to the North Koreans, they wanted to 
export them to neighboring countries. 
 
--------------------------------------------- --------- 
Energy Shortage, No Land Tenure Risks Erosion Disaster 
--------------------------------------------- --------- 
 
¶4. (SBU) Many North Korean factories are idle because they lack 
sufficient energy, according to the FAO experts.  In order to keep 
employment high, factory workers are heading out to the country to 
farm marginal lands on hillsides.  The North Korean government 
considers these areas woodland that will be replenished. There are 
no signs that land tenuring is a current government priority, 
according to an FAO representative who has been living in Pyongyang 
for several years.  People have no incentive to manage the slopes 
properly or engage in labor intensive terracing.  Heavy rains are 
washing away much of the topsoil, and on a recent FAO field trip, 
extensive silting of waterways from hillside runoff was observed. 
 
--------------------------------------------- ------- 
Tending One's Garden While the Cooperatives Lie Idle 
--------------------------------------------- ------- 
 
¶5. (SBU) North Korean citizens are currently allowed a minimum of 
100 square meters of private gardens.  Based on casual observations, 
the gardens appear to be in much better shape than the cooperative 
farms, which do not have energy to fully maximize production. 
Workers often head out in the morning to "clock-in" at their 
mandatory co-op jobs only to while away the hours until they 
"clock-out" at the end of the day.  On the weekends, they tend to 
their private gardens, growing corn, potatoes, cabbage and other 
vegetables that can be sold in the burgeoning food markets. 
 
--------------------------------------------- -- 
Observations of Decreasing Pyongyang Population 
--------------------------------------------- -- 
 
¶6. (SBU) In response to a question from a Beijing based diplomat on 
reports that the population in Pyongyang has declined recently, an 
 
BEIJING 00006932  002 OF 002 
 
 
FAO representative currently residing in Pyongyang gave two 
explanations.  Part of the observed decline is likely due to 
expansion of employment in the Kaesong Industrial Complex (KIC). 
Factory workers are also heading out to the country to harvest plots 
of land cultivated during the lengthy periods of down-time due to 
the energy shortage. 
 
--------------------------------------------- - 
Al-Jazeera and CCTV-English, When the TV Works 
--------------------------------------------- - 
 
¶7. (SBU) On a recent annual inspection visit by FAO personnel to 
Pyongyang the television in one of the hotel rooms featured two 
English stations: Al-Jazeera and China Central Television English 
Edition (CCTV-9).  This was a marked improvement over previous 
visits.  One FAO representative noted, however, that his television 
was inoperable during the entire stay. 
 
--------------------------------------------- --- 
Some Success in FAO Agricultural Training Abroad 
--------------------------------------------- --- 
 
¶8. (SBU) The FAO Agricultural Rehabilitation and Recovery Program 
provides technical support for training opportunities and special 
emergency operations in the DPRK with an annual budget of 
approximately USD 3 million (proposed budget of USD 5.5 million in 
2008).  Sweden is the largest donor, contributing USD 3.4 million in 
¶2006.  To date, much of the training has been in China for cost 
reasons.  These opportunities are mostly afforded to senior DPRK 
agricultural officials who are accompanied by less proficient 
"minders".  Initially the North Koreans objected to this training 
location, saying that there was nothing to learn from the Chinese. 
After returning to the DPRK, they said they were 20-30 years behind 
China.  Even this type of mind opening is a success, commented one 
FAO personnel. 
 
¶9. (SBU) The FAO presence in North Korea has been transitioning from 
emergency relief to long-term recovery/rehabilitation.  South Korea 
has been pushing for this shift in approach.  Program support is 
focused on double cropping, soil fertility management, horticulture, 
school gardens, coastal fisheries and avian influenza prevention. 
Members of the FAO briefing team stressed the need for continued 
in-country presence to manage these efforts, emphasizing that with a 
significant reduction in Pyongyang-based NGO representative offices, 
many of which have relocated to Beijing, the UN FAO has one of the 
last remaining international presence offices in the country. 
Sweden, as primary donor, supports the continuation of this 
presence, they noted. 
 
 
Randt