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SEOUL : North and South Korea will boost economic cooperation by launching a cross-border freight train service next month and creating a joint fishing area in the disputed West Sea.
The agreement was reached during the North Korean premier's trip to the South which ended on Friday.
Wrapping up his trip to Seoul following a meeting with his South Korean counterpart Han Duck-Soo, North Korea's premier said he was happy with the outcome of his three-day visit.
Kim Yong Il said, "We produced a precious 'son' while all Koreans were watching us. North and South Korea should work together to raise this 'son' well and urge him to carry out his duty diligently."
It was the first meeting between the two Koreas' prime ministers in 15 years.
They agreed it should not take that long for the next meeting.
They agreed to hold them every six months with the next meeting to be held in the first half of next year in the North Korean capital Pyongyang.
The two prime ministers also announced several breakthrough deals.
After a break of more than half a century, a cross-border freight rail service will start next month.
Cargo trains will cross the heavily armed frontier that has separated the two Koreas since 1950.
The new rail service symbolises further progress in the reconciliation process.
North and South Korea will also set up a joint fishing zone near their disputed western sea border next year.
This is part of efforts to prevent a repeat of deadly naval clashes that took place in 1999 and 2000.
The two countries will also cooperate in areas like farming, resources development and the medical sector.
Experts in Seoul said there seems to be signs of change in isolated North Korea, which is desperate for foreign currency and trade.
Professor Kim Yong Hyun, North Korean Studies, Dongkuk University, said, "Now that there's quick progress in resolving North Korea's nuclear issue, top officials there seem to have decided to concentrate on economic issues."
In July, North Korea dismantled its main nuclear facility, and recently, it started disabling its nuclear reactor.
The moves are part of a deal negotiated at six-party talks held in Beijing.
While in Seoul, the North Korean premier also met South Korean President Roh Moo Hyun.
President Roh said, "You are leaving after giving us a big gift. In return, you're taking home a huge present."
Mr Kim replied that his visit marks the early phase of a long march towards reunification of the two Koreas. - CNA/ms
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