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North Korea

1993, A1; and Douglas Jehl, "North Korea Says It Won,t Pull Out of Arms Pact Now," New York Times, June 12, 1993. 30 Currently, exporting goods to the North for humanitarian use is exempt from the embargo; in 1991, an American firm obtained a permit to export $1.2 billion worth of wheat to North Korea. The unused license was renewed for two more years in February 1993. (In-person interview with a U.S. State Department official, May 18, 1993). 31 For a summarized South Korean government study to that effect, see FBIS Daily Report/East Asia, May 7, 1993, p.19. A Japanese source suggest that economic sanctions would deny Pyongyang an estimated equivalent of $500 million to nearly $900 million per year from pro-Pyongyang Korean resident groups in Japan; these sums would be equal to 33 to 60% of North Korea's annual government budget. For this estimate, see Katsumi Sato, "Kim Jong Il's 'Devil's Choice,," Bungei Shunju [Tokyo], May 1993, pp.205-207; Japan's connection seems significant also because 80% of $200 million total foreign investment in the North are accounted for by the pro-Pyongyang Korean groups in Japan. Chung'ang Ilbo, May 28,1993. For a report that Japan is playing "...

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