[Feature on Aerospace development in North Korea 3]The effect of economic development: 8 times bigger than the investment cost for Space development

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As North Korea has declared their will to launch a satellite for their 70th anniversaries of Workers Party of Korea on 10th October, World draws attention to the state's move.

Following the matter, we have prepared series of analysis on what North Korea's satellite launch truly means.

The order of the series are as follows:
①The Space development plan looking ahead for space rocket
②The State with key components technology for Aerospace
③The effect of economic development: 8 times bigger than the investment cost for Space development

 

The Golden Goose, Aerospace Technology Industry

We can often hear public pressing on North Korea to import foods instead of 'laying out money in the development of satellite'.

However, this kind of blames are only based on the misconception on North Korea's food situation since it is Aerospace development that leads to massive economical effect on the state.

The Aerospace business is a high-tech industry for North Korea.

Since Aerospace development is the supreme technology above any other industries or science technology, it gives rise to the advancement of one's Science Technology during its development.

Moreover, it derives massive effects on not only the circulation of money, insurances but also other social services such as broadcasting ,telecommunication, navigation service, and the prevention of any natural disasters or meteorological observation.

Also, it varies on the ways to make benefit of Satellite itself.

For example, the videos taken by Arirang number 2 sell at almost 10000 dollars for each, which is, therefore, made contracts with a French agency 'Spot Image' to be exported.

Compared to 60 million won allocated for its development, the 5400 million dollars that is possibly earned by its own use during its 3 year lifespan is very much of tremendous amount.

According to a report written in 2011 by Organization for Economic Cooperation and Development(OECD), the total amount of the world budget for Aerospace development extends from 175 million to 200 million dollars with its earning proceeding from 440 to 655 million dollars.

When included the social effects such as indirect industrial effect of production and benefits from retrenchment cost by using the technology, it creates about from 1500 million to 195 million dollars of profits in total which is 8 to 10 times greater than its investment costs.

Considering these whole situations, it is sure to be "a golden goose".

Moreover, the assigned researchers Kim Su-Hyun, Yeo Jae-Hyun of Electronics and Telecommunications Research Institute(ETRI) concluded on their report on 'the ripple-effect on national economy by satellite development industry' of the nationwide scale of satellite industry be 6334 million won by 2005, and 1000 million won though excluded the broadcasting or telecommunication fields ect.

They have also analyzed the effect on production of inducement by the industry shall be 7500 million won and 3600 million won for the added value, and 46000 of people be employed.

A russian professionalist for Technologic Strategy Analysis Center, Basili Kasin has explained North Korea's satellite launching as an mightly beneficiary business in his interview with a Russian press, 'Sputnik'.

He also expressed his opinion on a matter further on that the aerospace technology export of the nation will become profit of great amount for its own.

"Although we are going through financial difficulties, I'm firmly supporting for the national investment for Aerospace development. Because it will bring about 8 times more of economic effect into the state." speaking on the matter, Yun Chang-Hyuk from North Korea's department for Aerospace Development has bragged about its economic effect in an interview with AP press on 28th May.

국가우주개발국(NADA) 마크.

An official mark of National Aerospace Development Administration(NADA).

 

The Satellite Used for Various Industries

Then, how the state makes use of the satellite for economy?

On march in 2012, the vice chief from North Korea's Chosun Aerospace Technology Committee goes into details.

"Kwang Myeong Sung number 3, which is Earth Observatory satellite, will judge the informations on the distribution of forest resources, the damage degree by natural disaster, and the record of harvest and will collect meteorological information and perform resource exploration as well" he announced.

북한이 공개한 광명성 3호. ⓒ신화통신

The Kwang Myeong Sung number 3, opened by North Korea. ⓒXinhua Net

The first thing we can come up with is its agriculture.

Those mentioned above are directly related to the agriculture: the meteorological observation, agricultural state, and forest distribution.

And as to meteorological satellite technology, which is now dependent on Chinese satellites to take the photos and therefore is likely to collect more on its own countries', will help much better to North Korea if being its own one.

For example, South Korea ,whose meterological technology had been dependent on foreign satellites and gained photos each 30 minutes, is now gaining information every 15 or 8 minutes by its own technology.

It seems that North Korea will make full use of the satellite since its national interest is highly focused on the increasement of the agricultural output.

According to an article by Kyodo News(Japanese press) reported on 3rd April in 2012, the North Korean chief of the foreign minister dealing USA affairs has reinforced the importance of the satellite in regard of agricultural affairs after having informal conversation with USA.

As a nation with frequent natural disasters such as typhoon or flood, it is of great assistance to have forecasting system through the satellite.

The technology can be applied for resource observation as well.

The typical type of resource observation satellite is Land Satellite(Lansat) from USA, which is arranged to observe the same spot at various angles, leading the observation to more details on the image.

And the satellite can also be used to explore submarine resources, whose typical type explores the submarine oil field.

It measures the sea surface height to conjecture the configuration of the bottom and then put a submarine on under the spot to identify whether the oil exists or not there.

In this context, we can see how mightly its importance it is for the economy of North Korea whose underground resources is rich and oil as well alongside the east and west sea.

Original Article: Mun Gyeong-Hwan  NKtoday21@gmail.com  ⓒNKToday
Translation: guest reporter Jang Jae-Hee

 

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