South Korean Trade Minister Kim Hyun-chong said Monday that his country will not accept a free trade agreement (FTA with the United States without a balance of interests for both sides.

"It will be very difficult for either country to receive the necessary domestic approval unless the overall package achieves a balance of interests which considers the concerns of the two countries," Kim said at a meeting with foreign correspondents Seoul.

South Korea and the United States agreed on Feb. 2 to formally start full-fledged negotiations in June to reach a FTA by early next year.

The minister's comments came as South Korea chief negotiator for the FTA with U.S. Kim Jong-hoon started a second round of preparatory meeting with U.S. officials over the trade pact in Washington on Monday.

"I can't sign an agreement which doesn't meet our negotiating objectives simply because time is ticking away," Kim said, while stressing the importance of such a pact.

Before leaving for Washington, Kim Jong-hoon told Yonhap News Agency that South Korea's public services such as electricity, water, gas and railways will not be subject to the talks.

South Korea and the United States recorded 72 billion U.S. dollars in trade in 2004. The Korea Institute for International Economic Policy said in a report that Korea's exports to the United States could gain as much as 15.1 percent, or 7.1 billion U. S. dollars, while imports from the United States would rise as much as 39.4 percent, or 12.2 billion U.S. dollars, if the free trade deal goes into effect.

South Korea has FTA with Chile and Singapore now. The FTA between South Korea and the European Free Trade Association, which comprises Switzerland, Norway, Iceland and Liechtenstein, will come into effect in July.

Source: Xinhua