Yanji, China — Individuals who do not know how to make a living from trade are heading for the mountains to find food as the price of rice and other necessities continues to soar.
A source inside North Korea said in a phone conversation with Daily NK on July 5, “Party officials and merchants are excited at making money whereas people who do not know how to trade are having a difficult time to make ends meet. Those who have no money are going out into the mountains to find food. ”
These helpless people are scouring the mountain in search of medicinal herbs because the legal trade and smuggling in herbs has become very active lately in the border areas between North Korea and China, the source said.
“This is the season to gather bracken in Yangkang province. People from rural and inland areas and individuals who have no trading skills are flocking to this province to dig for medicinal herbs. A great number of people have already gathered in the mountainous areas of the province; places such as Baekam, Samsoo and Kabsan County,” the source said.
The source said, “Young, healthy people can gather about 10kgs of bracken and Rhodiola elongata everyday. If you dry 10 kg of bracken, you get 1 kg of dried bracken.”
The price of bracken has continued to fall year after year in North Korea. Between 1998 and 2000, 1 kg of dried bracken could be exchanged for 4 kg of wheat flour at trading institutions. Starting in 2000, however, Chinese traders began to lower the price, and after 2005, 1 kg of dried bracken could be exchanged for just 2 kg of flour.
This year, bracken is selling for around 5,000 won/kg. In Yangkang Province, one can buy 2.5 kg of non-glutinous rice for 5,000 won. The price of bracken has actually gone up a little compared to last year. In the border areas, smugglers pay a higher price for bracken than traders do so bracken is being sold for 5,300 won/kg.
Traders belonging to national foreign currency-making activity organizations are flocking to the mountains and competing with merchants to secure the supply of bracken. They trade directly with locals by exchanging Chinese corn, sugar and sweets for bracken.
Individual merchants are buying bracken directly from medicine herbs gatherers in cash. Traders are trying to crack down on this activity with the help of police and security agents, generating strong opposition from locals and individual merchants. This is because cash is much more attractive for gatherers than goods.
Meanwhile, rural schools are closed for a two-week vacation during which students have to gather bracken. Under the pretext of procuring school supplies and making foreign currency, each student is required to bring 10kg of dried bracken to his or her school, the source said.
“These days, many Chinese people are looking for Rhodiola elongata, Bupleurum falcatum, Solomon’s Seal roots and Astragalus membranaceus. Solomon’s Seal roots are cheap but easy to dig, so many old and poor people are gathering them for a living,” the source said.
Rhodiola elongata, which grows at altitudes above 2,000 meters, is popular in Baekam and Samsoo County of Yangkang Province. 1 kg of Rhodiola elongata is sold for between 8,000 and 10,000 won. If one spends a week digging Rhodiola elongata in the mountains, it is possible to gather about 60kg. This herb is one of the best sources of income for poor people.
As explained so far, the trade by foreign currency-making activity organizations and smuggling in herbs is very active in the border areas. In the midst of this, new buzz words have emerged: “If you don’t have money, head for the mountain,”
The source also said, “Poor people are sweating blood to gather medicinal herbs. Yet only those rich merchants and traders are making a good fortune.”
“At first, traders and merchants offer a high price for herbs in order to lure herb gatherers. However, once the gatherers bring herbs to them, they normally pay only 60 percent of the initial price, after calculating the quality of herbs and weight loss from desiccation. Both traders and smugglers are making a profit in this way,” the source said.
“Poor gatherers have to sell herbs at giveaway prices to buy food. Merchants and traders are making a huge fortune by taking advantage of these poor sellers. These greedy buyers hope that the current situation drags on.”
