By Jane Han
Staff Reporter
The conclusion of the inter-Korean talks tossed more-than-expected economic cooperation projects on the table, but experts say the ambitious exchange calls for both Pyongyang and Seoul to each do its homework in turning words into reality.
Creating a special peace zone in Haeju, opening a cross-border cargo railway, constructing a joint shipbuilding complex and developing the second-phase of the Gaeseong Industrial Complex are some of the highlights of the agreement signed Thursday by President Roh Moo-hyun and Kim Jong-il upon ending the three-day summit.
``The agreement details many aspects, and some of the points _ including beefing up public infrastructure and developing natural resources _ requires both sides to put in their share of work,'' said Chung Yun-ho, a research fellow of the Korea Economic Research Institute (KERI).
Among those mentioned, observers say cooperation in the Haeju area holds a particular meaning because not only is it an area that has seen recent disputes over fishing rights, but because it houses about 60 percent of the North's naval forces.
``The special peace zone will address the issues of Northern Limit Line (NLL) and military tensions from an economic approach,'' said a summit pool report.
The agreement states that the ``West Sea Special Zone for Peace and Cooperation'' will designate a common fishery and peace zone, construction of special economic zones, direct passage of civilian vessels to Haeju and joint usage of the Han River estuary.
Another substantial development is the expansion of the Gaeseong Industrial Complex.
Seoul and Pyongyang agreed to finish off the first phase as early as possible and break ground for the second-phase, while resolving some of the chronic problems of transportation and communication.
The accord will allow open travel to the Gaeseong plant throughout the year and set up Internet usage in order to bring the industrial complex in line with world standards.
Additionally, the Gaeseong-Shinuiju railway and Gaeseong-Pyongyang highway will be worked on for joint use.
To this end, Park Heung-ryul, chairman of the South-North Korea Exchange and Cooperation Support Association, said if infrastructure and energy problems are not solved first, then cooperation itself will be difficult.
While experts predict that infrastructure development will lay the financial burden on the South's shoulders, areas such as shipbuilding and roadway construction are expected to bring a new growth engine to local builders.
The agreement stated that the two Koreas will create a joint shipbuilding complex in Anbyeon and Nampo, near Pyongyang, to which Seoul's major builders have positively responded.
``The Gaeseong-Shinuiju railway and Gaeseong-Pyongyang highway are opportunities for Seoul's construction firms to show off their technology and know-how,'' said a Daewoo Engineering & Construction spokesman.
Some of the other areas of cooperation encompass the opening of direct route between Seoul and Mt. Baekdu, along with joint projects in agriculture, health, medicine and environmental protection.
As much as the summit had a grounded economic agenda, the local business circles were quick to respond to the details of the inter-Korean agreement.
The Federation of Korean Industries said, ``We welcome the results of the summit and hope that the economic projects will see good results from the beginning, so that it can contribute to bringing peace to the peninsula.''
The Korea Chamber of Commerce and Industry (KCCI) spoke along the same lines, ``The summit will hopefully serve as a turning point for our companies to actively start business in the North.''
Accompanying Roh to the summit were 18 top CEOs, including Hyundai-Kia Automotive Group Chairman Chung Mong-koo, LG Group Chairman Koo Bon-moo, SK Chairman Chey Tae-won, and Samsung Electronics Vice Chairman Yun Jong-yong and POSCO Chairman Lee Ku-taek, some of who also individually expressed during the trip their hopes of economic collaboration.