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N. Korea aims to monopolize earnings from mushroom exports

North Korea is tightening controls on pine mushroom sales and transport, aiming to monopolize foreign currency from exports of the rare fungi.

Speaking on condition of anonymity, a source in North Hamgyong province reported recently that Management Office No. 5, a foreign currency earning entity, has established collection centers in prime mushroom picking areas on orders from Room 39, the Workers’ Party’s main foreign currency agency. The centers have been set up in Onsong, Musan, Kyongwon and Hoeryong.

Room 39 is known to be responsible for managing the Kim family’s slush fund. This move appears to be part of a government initiative to corner the foreign currency earned from pine mushroom sales.

“The Management Office No. 5 branch in Onsong county set up pine mushroom collection centers at ten locations in Punggye, Pungchon and Tonpo villages, with full authority to levy taxes on pine mushroom sales,” the source said. “The collection centers have stocked up on oil, rice and wheat to trade people for pine mushrooms and are ready to begin operations.”

That suggests that North Koreans who sell pine mushrooms they have foraged to the collection centers are more likely to be paid in barter than in cash.

Government warns of unauthorized mushroom picking

To prevent private buyers from outbidding official collection centers for premium pine mushrooms and smuggling them abroad, local party committees have issued stern warnings. They’ve announced that purchasing pine mushrooms from individuals could result in labor camp sentences or harsher punishments.

“Currently, village party committees and companies have been given pine mushroom quotas ranging from 500 to 1,500 kilograms. Each organization is in discussion with regional forestry workers about how many people should be sent to gather pine mushrooms, and the pickers are currently being selected,” the source said.

The discussions about how many people will be sent mushrooming and who will be chosen are aimed at preventing unauthorized people from going out to pick pine mushrooms.

The municipal and county party committees have said that anybody caught collecting pine mushrooms without authorization will be fined and that all their pine mushrooms will be confiscated.

Illegal mushroom picking unlikely to disappear 

However, the source said that private picking of pine mushrooms and sales to private purchasers are unlikely to stop. The main reason is that private purchasers are willing to pay more than double what is offered at the official collection centers.

“The government’s push to stop individuals from picking or buying pine mushrooms is ultimately an attempt to keep all the foreign currency for themselves,” the source said. “But ordinary people have to make a living, too. North Koreans are very upset that the government seems bent on controlling all the means of making money.

“If the government wants to corner the market on pine mushrooms, it will need to pay decent prices at the collection centers,” he continued, adding: “But demanding that people turn over their pine mushrooms for an unfair price might as well be extortion.”

Daily NK works with a network of sources living in North Korea, China, and elsewhere. Their identities remain anonymous for security reasons.

Please send any comments or questions about this article to dailynkenglish@uni-media.net.

Read in Korean

August 12, 2024 at 12:00PM

by DailyNK(North Korean Media)

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