Three years into the pandemic, Choson Exchange thrives with online programmes in North Korea
It's hard to find the opening hours to the DPRK embassy in Beijing if you search the web. These are the opening hours as of 2014:
Monday and Friday - 9:30-11:30 a.m., 2:30-5:30 p.m.
Tuesday, Wednesday, Thursday - 9:30-11:30 a.m.
Photo by Felix Glenk
Rumors have it that the embassy's consular section is sometimes open on Saturday morning, but not always.
The embassy's consular section is located in Cao Fang Di, between the Utown and Parkview Green malls.
"Given the fluid institutional basis for many of the new economic institutions in North Korea, it is even possible that the SEDC and JVIC could be merged again at some point in the future."
Short answer: we think this is a good thing. Investor agreements, 'exclusive' rights and attraction need to be streamlined to prevent multiple 'exclusive' rights being sold. While this can bureaucratize the investment process, things really can't get more bureaucratic than it is now in North Korea.
The news:
Pyongyang, June 18, 2014 20:58 KST (KCNA) — The DPRK decided to reorganize the Ministry of Foreign Trade as the Ministry of External Economic Affairs of the DPRK by merging the Joint Venture and Investment Commission of the DPRK and the State Economic Development Committee of the DPRK with it.
The Presidium of the DPRK Supreme People's Assembly promulgated a decree in this regard on Wednesday.
The recent collapse of a building in Pyongyang’s Phyongchon District has drawn attention to North Korea’s design and construction industry. The industry has undergone significant changes which may signal a long-term trend towards global norms.
Two days after the building’s collapse, Ma Won Chun, a reputable North Korean architect with experience in finance, was appointed to lead the new ‘Designing Department’ housed within North Korea’s National Defence Commission (NDC).
While it remains to be seen who will be punished for the building’s collapse, Pyongyang’s media response surprised many outside observers — the admission of fault was unusual. The official Korean Central News Agency (KCNA) broadcast self-critical apologies by North Korean officials. With something of this magnitude, the authorities had to get ahead of the story domestically. Rumours can spread nationwide and failing to address the outrage of the most important constituency — Pyongyang — could have been risky.
But the government’s response to the building’s collapse also seems to fit with a wider trend. Pyongyang appears to be strategically aligning its design and construction industry with global trends and norms. Ma’s appointment can also be seen as part of this trend. Some commentators have remarked that Ma’s appointment together with the creation of the new Designing Department could have been a direct response to the incident. If so, that would be an incredibly rapid response.
"Civilized Socialist County" - Construction Projects have feature prominently under Kim Jong Un
The organisational structure of the Designing Department, which consolidates the design and construction process and controls teams of soldier builders, is similar to the design-build project delivery system — a globally popular construction delivery method. This system calls for the management of design and construction by a single entity, which, in principle, can result in greater efficiency and better integration between different stakeholders in the project.
Other attempts at improving coordination in construction are apparent in organisational and technological changes.
The dissolution of the Capital City Construction Commission in April, though believed to be politically motivated by Jang Song Thaek’s purge, has been important in removing the organisation’s overlapping functions with existing ministries.
Also, according to an architect during a Choson Exchange visit, the design and construction industry is experimenting with the process of Building Information Modelling (BIM), a tool for integrating construction information between different stakeholders of the project.
There is also a growing interest in design, as witnessed in the development of landmark projects, such as the Masikryong Ski Resort and Munsu Water Park. Another example is the elevation of Pyongyang University of Architecture to a ‘general university’ in November 2013, making it the fourth university in the country to enjoy this status. Several designers educated abroad have also been exposed to new design tools and knowledge that can be applied in North Korea.
So, what do these general trends and the appointment of Ma Won Chun as the leader of the Designing Department in the NDC mean for North Korea?
First, having a central authority preside over design and construction units in the country may reduce inter-ministry rivalry and improve the coordination, efficiency and quality of construction projects. This is especially important within the context of attracting foreign investors to develop North Korea’s new special economic zones. Perhaps more than political shifts at the top, what these investors are concerned with is the smooth delivery and quality execution of projects. This requires reliable, efficient and well-coordinated local partners on the ground.
Second, with the state´s increasing desire to develop tourism products, devoting more attention to design is important for creating a suitable environment and ‘experience’ for tourists, which are lacking in current resorts. The new department in the NDC seems to signal the growing importance of design at a strategic level. However, the success of its strategic goals will also need to be complemented bytraining and exposure to global design standards for people on the ground.
Although the Designing Department in the NDC is too new to be accurately evaluated, its creation and the appointment of Ma Won Chun seem to reveal that things are at least starting to move in the right direction for North Korea’s design and construction industry.
This article originally appeared on the East Asia Forum Website.
Do you like Czech beer? Do you like Russian food? Well, by golly, then Rason is the place for you!*
Two new (as in, within the last year) dining establishments are now lighting up the Rason restaurant scene, serving European treats. This is a welcome break from the Sinified Korean food that has dominated Rason since...a long time ago. (Indeed, one CE workshop leader who had previously fallen in love with Pyongyang style hot-plate tofu was regularly disappointed to find Chinese-style tofu appear whenever we attempted to order it.)
The Russian Place
We're not sure what this place is called, as we don't speak Russian, but let's temporarily dub it "Mustachioed Construction Worker", after the several muscular and mustachioed Russian laborers we saw working on the Russian-leased pier at Rajin port. Indeed, their constant presence over the last several years as the rail link and then the pier were developed is the impetus for the founding of this restaurant. And while they would likely be the main clientele, the restaurant does have a Chinese/Korean food section as well.
Mustachioed Construction Worker (Probably)
The bread and cheese is a highlight here, as well as Russian dumplings, which were quite good but were probably imported frozen.
Dumplings
Tables less fenced off than in normal Northern restaurants
Mokran Video (the state video distribution company) seems to be releasing more and more Russian material these days. With some Slavic tunes in the background, the ambiance does serve to transport one away for a spell.
The Chesko Beer Place
Some strange interior features
following the northern rendering of 'Czech', "Chesko Beer Place" is what everyone calls this restaurant. No wonder the generic name, as they don't have any signage. They do serve beer, however. It seems a Czech gentlemen was under contract to train the staff to make beer, but recently left.
It is situated in Rajin on the edge of a city park overlooking the sea and they don't mind you dragging a seat out in the afternoon to enjoy the leafy view. This is a significant improvement on the interior, which has a weird plastic jungle/orchard vibe.
The food menu is not terribly Czech, or really Czech at all - it features the pretty standard Chinese-Korean mismash.
Freshness
What kind of beer do you have, asked I. Chesko, said they.
The beer itself is also not terribly Czech, its flavor profile having been made a bit softer and lighter for local palates. It is very drinkable and smooth, though: its so fresh and bright, it makes a nice beer for summer. It's competitively priced with other restaurants, with a 500cc glass going for 10 RMB and a 300 cc glass going for 8 RMB.
*some caveats apply
Choson Exchange, in cooperation with Hanns Seidel Foundation, just conducted the first ever economic workshop in Rason. More on that soon.
For now, another first (at least as far as my google-fu can reveal): we can announce the dates of the 2014 Rason Trade Fair, set for August 18th to 21st. Interestingly, this was among the many issues we covered when it comes to investor relations during our two-day program: people need more than 6 weeks to prepare for a trade fair. Six weeks! That's tough enough to plan travel, much less plan a decent booth.
Regardless, hot off the presses is their flyer, reproduced below. Feel free to print and fold accordingly.
Front and Back
Delicious Filling
Our regional representative, Ryan Russell, an international lawyer, recently posted a compiled set of North Korean (DPRK) investment laws. This was published before North Korea's Special Economic Zone (SEZ) policy was announced, and it is likely that incremental changes will be made to existing investment laws to reconcile it with the latest zone guidelines. Contents at Ryan's blog include:
PART I – FOREIGN INVESTMENT
01 – Law of Foreign Investment
02 – Law on Equity Joint Venture
03 – Law on Contractual Joint Venture
04 – Law on Wholly Foreign-Owned Enterprises
05 – Law on Foreign-Invested Banks
06 – Law on Registration of Foreign-Invested Businesses
07 – Accounting Law for Foreign-Invested Businesses
08 – Law on Financial Management of Foreign-Invested Enterprises
09 – Labour Law for Foreign-Invested Enterprises
10- Taxation Law for Foreign-Invested Businesses and Foreign Individuals
11 – Bankruptcy Law for Foreign-Invested Enterprises
12 – Law on the Rason Economic and Trade Zone
13 – Law on the Hwanggumphyong and Wihwado Economic Zone
14 – Regulations on Establishing and Operating Foreign-Invested Law Offices
15 – Regulations on the Naming of Foreign-Invested Enterprises
16 – Audit Regulations for Foreign-Invested Businesses
PART II – EXTERNAL ECONOMIC MATTERS
17 – Law on External Economic Contracts
18 – Law on External Economic Arbitration
19 – Law on External Civil Relations
21 – Law on Compensation for Damage
23 – Inheritance Law [Succession Law]
26 – Law on Health Quarantine on the Border
27 – Law on Quarantine Inspection of Animals and Plants on the Border
28 – Law on Foreign Exchange Control
30 – Law on the Prevention of Money Laundering
35 – Law on the Chanmber of Commerce
36 – Law on the Origin of Exports
37 – Law on the Inspection of Export and Import Commodities
41 – Law on Industrial Designs
42 – Law on the Name of Origin
43 – Law on the Protection of Computer Software
44 – Law on the Protection of the Environment
45 – Law on Environmental Impact Assessment
46 – Law on the Prevention of Seawater Pollution
PART III - MT. KUMGANG SPECIAL ZONE FOR INTERNATIONAL TOURISM
47 – Law on the Mt. Kumgang Special Zone for International Tourism
48 – Tourism Regulations in the Mt. Kumgang Special Zone for International Tourism
50 – Customs Regulations in the Mt. Kumgang Special Zone for International Tourism
52 – Taxation Regulations in the Mt. Kumgang Special Zone for International Tourism
53 – Insurance Regulations in the Mt. Kumgang Special Zone for International Tourism
Our volunteer Peter, an international lawyer with experience in China, has previously analyzed on DPRK investment laws.
