South Korea will send industrial raw materials to North Korea in return for conducting joint test runs of inter-Korean railways.

At the 12th meeting of the Inter-Korean Economic Cooperation Promotion Committee in Jeju Tuesday, Seoul agreed to provide this year raw materials worth 80 million dollars for production of apparel, shoes and soap.

Pyongyang, in return, will allow Seoul to develop underground natural resources in the North and pay three percent of the price of the raw materials in kind through zinc anode and magnesia clinker.

The North will pay the remaining amount in kind through underground natural resources over ten years after a five-year grace period.

Pyongyang also pledged a security guarantee for a joint survey of underground resources with South Korean experts and entrepreneurs.

The agreements will take effect after the two sides agree on when to conduct the test runs.