A management office at the industrial complex being built in the North Korean border city of Gaesong has kicked off operations.

Some 230 officials from the two Koreas, including 70 South Korean lawmakers, attended an opening ceremony marking the launching of the management office on Wednesday at the border city.

The new administrative office will house a special agency that is to oversee all details of the industrial park, including permits, real estate, security, license issuance, environmental protection as well as basic maintenance of infrastructure and utilities. The office will also serve as Seoul's liaison body in the North's economic enclave.

Also on Wednesday, some fifteen South Korean firms that plan to advance into the Gaesong industrial complex have begun construction of their plants after holding their own ground-breaking ceremonies.

The new office will be housed temporarily in a building on the pilot site of the industrial complex until a permanent building is constructed in 2007, when the first stage of the complex is to be completed.