Stall fees at some markets in North Korea have doubled within the past year, leading to discontent among many market sellers, Daily NK has learned.
According to multiple sources in North Korea on Monday, Daily NK learned that North Korean merchants pay market administrators anywhere from KPW 8,000 to KPW 20,000 or more in stall fees every day.
At the Ryonghung Market in Pyongyang’s Taesong District, sellers are paying at least KPW 8,000 a day in stall fees to the market management office, though the actual number depends on the location and size of the booth and what they are selling.
The sources say the stall fee at Ryonghung Market was KPW 4,500 just one year ago, but the basic tax has nearly doubled since then.
Markets in other regions are collecting stall fees on a similar basis.
In South Pyongan Province’s Onchon Market, near Nampo, merchants must pay an additional KPW 1,300 for every 10 centimeters they add to the standard 60-centimeter-by-100-centimeter stall.
Additionally, merchants pay different fees based on whether they sell foodstuffs or industrial goods, and among the latter, whether they sell daily necessities or home appliances. Generally speaking, merchants who sell foodstuffs like grains, fruits or vegetables pay only the basic stall fee, while those who sell home appliances, clothing and other industrial goods pay higher fees.
In particular, market management offices collect over KPW 5,000 or 6,000 more in fees for aisle booths, which are highly frequented and therefore preferred by merchants over corner booths.
The sources say because of this, merchants who sell industrial goods from aisle booths pay up to over KPW 20,000 in market taxes a day.
According to a source in Chagang Province, Kanggye Market charges fees based on whether merchants have a “half spot” or a “full spot.” Merchants who divide a single booth in half to use between them only pay the basic stall fee of KPW 8,000, while merchants who use a full booth or more pay between KPW 12,000 and KPW 15,000 a day.
Likewise, merchants who occupy prime real estate along the aisle or at the market entrance must pay KPW 4,000 more in fees.
Market management offices nationwide levy separate storage charges, adding to the financial burden merchants face.
In the case of Kanggye Market, the office charges daily, weekly and monthly storage fees. Depending on the bulk and number of items, daily storage fees start from KPW 50,000.
Merchants dealing in heavy, expensive industrial goods cannot bring their goods back and forth every day, so they usually pay a month of fees all at once. The source said merchants making big payments receive discounted rates.
With market management offices recently finding all sorts of reasons to raise fees, merchants are growing increasingly unhappy.
A source in South Pyongan Province said market management office policies differ market-to-market, but market managers in his region “are charging whatever they please.”
“Sometimes they even collect stall fees twice a day from people with aisle booths,” he said.
The source in Pyongyang said with stall fees rising while business is bad, merchants have no money left over at the end of the day.
“Since even market managers cannot make money with the continued [border] lockdown, cadres are filling their stomachs by raising stall fees,” he said.
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