Japan bans export of luxury goods to N.Korea

TOKYO, Nov 14 (Reuters) Japan today decided to impose a ban on exporting luxury goods to North Korea in a move experts say could dent morale among the communist nation's elite who receive such items as perks.

Japan's cabinet approved bans on exports of 24 kinds of luxury goods to North Korea including cars, wrist-watches, liquor, cigarettes, jewellery, perfume and caviar.

The United Nations Security Council approved a resolution that among other measures blocks trade with North Korea in luxury goods following Pyongyang's nuclear test on Oct 9.

''We have decided to take measures to ban exports of luxury goods to North Korea in response to the (UN Security Council) resolution,'' Foreign Minister Taro Aso told Tuesday's cabinet meeting.

North Korean leader Kim Jong-il has long been known for his fondness for cognac and is said to have a wine cellar with space for 10,000 bottles.

South Korean intelligence officials familiar with Kim's habits say the biggest gifts for top North Korean cadres are cars, with Mercedes-Benz the top choice. Pianos and camcorders are also popular.

Japan first imposed punitive measures after Pyongyang fired off a barrage of test missiles in July and stepped them up after its nuclear test on Oct 9. They include a ban on imports and a prohibition on North Korean ships entering Japanese ports.

Japan's total trade with North Korea amounted to some 180 million dollars in 2005, about half the 2002 figure.

North Korea said recently it would return to six-party talks on ending its nuclear programmes.

But Japan said it would maintain its sanctions on North Korea despite Pyongyang's agreement to return to the talks, which bring together North and South Korea, China, Japan, Russia and the United States.

Tokyo said the sanctions would not be lifted until the communist state committed to abandoning its nuclear ambitions and settled a dispute over Japanese citizens abducted by North Korea in the 1970s and 1980s to help train spies.

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