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Posts tagged drug profits
World Drug Report 2024

UNITED NATIONS OFFICE ON DRUGS AND CRIME

From the webpage description: "A global reference on drug markets, trends and policy developments, the World Drug Report offers a wealth of data and analysis and in 2024 comprises several elements tailored to different audiences. The web-based Drug market patterns and trends [hyperlink] module contains the latest analysis of global, regional and subregional estimates of and trends in drug demand and supply in a user-friendly, interactive format supported by graphs, infographics and maps. The Key findings and conclusions booklet [hyperlink] provides an overview of selected findings from the analysis presented in the Drug market patterns and trends module and the thematic Contemporary issues on drugs booklet, while the Special points of interest [hyperlink] fascicle offers a framework for the main takeaways and policy implications that can be drawn from those findings. As well as providing an in-depth analysis of key developments and emerging trends in selected drug markets, the Contemporary issues on drugs booklet [hyperlink] looks at several other developments of policy relevance. [...] The World Drug Report 2024 is aimed not only at fostering greater international cooperation to counter the impact of the world drug problem on health, governance and security, but also at assisting Member States in anticipating and addressing threats posed by drug markets and mitigating their consequences."

UNITED NATIONS OFFICE ON DRUGS AND CRIME. 2024

EU Drug Markets Analysis 2024: Key insights for policy and practice

European Monitoring Centre for Drugs and Drug Addiction (EMCDDA)

Availability remains high across the main drugs used in Europe, evidenced by the large and in some cases increasing quantities that continue to be seized in the European Union. In addition, the market for illicit drugs is characterised by the diversification of consumer products and the widespread availability of a broader range of drugs, including new psychoactive substances, often of high potency or purity. Specialised equipment may be required to meet the detection and monitoring challenges posed by this diversification.

The recent emergence of highly potent opioids, particularly benzimidazoles (nitazenes), poses a particularly complex threat to public health due to their increased risk of life-threatening poisoning. The potential emergence of new patterns of consumption in Europe is also a key threat, due to the availability of cheap and highly potent or pure drugs. This is particularly the case for cocaine, which has seen unprecedented levels of availability

European Monitoring Centre for Drugs and Drug Addiction (EMCDDA), 2024. 39p.

Complexities and conveniences in the international drug trade: the involvement of Mexican criminal actors in the EU drug market

By Europol and US Drug Enforcement Administration

The EU drug landscape is populated by a diverse range of criminal actors involved in the production, trafficking and distribution of a variety of illicit substances. These actors benefit from a number of criminal enablers and facilitators in their operations. In recent years, seizures of methamphetamine and cocaine linked to Mexican criminal actors have emerged as a prominent feature of the EU drug landscape. Mexican criminal actors and EU-based criminal networks have been working together to traffic both of these illicit drug types from Latin America to the EU.

This report delves into the activities of these criminals and their methods. Drug trafficking operations benefit from a number of different actors, such as brokers, cooks, envoys, intermediaries and money laundering service providers. Examples of the methods used by the criminals include the corruption of officials in the public and private sectors and the exploitation of legal business structures. The report also provides an outlook on potential threats that may develop in the future.

In the first initiative of this kind, Europol and the United States Drug Enforcement Administration (DEA) have issued this joint strategic product with the aim of expanding the intelligence picture on the involvement of Mexican criminal actors in the EU drug market.

The Hague: Europol and the DEA, 2022. 8p.

'High rollers' A study of criminal profits along Australia’s heroin and methamphetamine supply chains

By John Coyne and Teagan Westendorf

This report helps develop an understanding of the quantum of profits being made and where in the value chain they occur. Australians spent approximately A$5.8 billion on methamphetamine and A$470 million on heroin in FY 2019.

Approximately A$1,216,806,017 was paid to international wholesalers overseas for the amphetamine and heroin that was smuggled into Australia in that year. The profit that remained in Australia’s economy was about A$5,012,150,000. Those funds are undermining Australia’s public health and distorting our economy daily, and ultimately funding drug cartels and traffickers in Southeast Asia.

One key takeaway from the figures presented in this report is that the Australian drug trade is large and growing. Despite the best efforts of law enforcement agencies, methamphetamine and heroin use has been increasing by up to 17% year on year. Falling prices in Southeast Asia are likely to keep pushing that number up, while drug prices and purity in Australia remain relatively stable.

Barton, ACT, Australia: Australian Strategic Policy Institute, 2021. 40p

Countering the Evolving Drug Trade in the Americas

By Celina Realuyo

The illicit drug trade in the Americas has been evolving and expanding from plant-based narcotics like cocaine, heroin and marijuana to potent synthetic substances like fentanyl and methamphetamine. Since the 1980’s, the U.S. war on drugs focused on countering cocaine trafficking that made the Colombian and Mexican cartels immensely wealthy and powerful. Over the past decade, U.S. narcotic consumption has shifted significantly from cocaine to opioids and methamphetamine, resulting in an unprecedented opioid epidemic with 72,037 drug overdose deaths recorded in 2017 according to the Centers for Disease Control and Prevention. Meanwhile, Mexican cartels are increasingly trafficking opioids and synthetics to respond to market changes in the U.S. The atomization of large cartels and increased competition to dominate trafficking routes resulted in record levels of violence in Mexico with 29,111 homicides registered in 2018. The October 17, 2019 failed Mexican government operation to capture one of El Chapo Guzman’s sons demonstrated how the Sinaloa cartel outgunned Mexican security forces and terrorized the city of Culiacan for hours. This paper will examine the evolving drug trade across the Americas from plant-based to synthetic drugs, the role of the Darknet as a force multiplier for the narcotics market, and U.S. and Mexican national and international efforts to address the dynamic drug trade and associated violence. Narcotics trafficking continues to be the most lucrative illicit activity in the world and is increasingly adapting and leveraging cyberspace. Drug demand changes are impacting the U.S. and Mexican security in different but equally concerning ways. As cocaine production in Colombia reaches its highest levels in history consumption in the U.S. is falling. As a result, cocaine traffickers are seeking new markets as far as Asia and Europe. Meanwhile, heroin use in the U.S. has spread across suburban and rural communities and socioeconomic classes with over 90% of heroin in the U.S. originating from Mexico. Potent synthetic opioids like fentanyl have become more prevalent and popular in the U.S. resulting in the tragic opioid crisis. Mexican cartels are increasingly involved in heroin, fentanyl and methamphetamine trafficking into the U.S. and becoming more formidable. The U.S. and Mexico need to better understand this shift in narcotics demand and the corresponding modifications in the production, marketing, distribution and consumption aspects of drug trafficking. As narcotic offerings diversify and the Internet plays a more critical role in drug trafficking, these changes are affecting public health and security in the U.S. and Mexico. Both governments must strive to design timely responses to reduce demand, increase treatment, and improve supply reduction strategies through increased interagency and international cooperation as narcotics trafficking has increasingly adapted to new trends and enforcement efforts.

Washington, DC: Wilson Center, Mexico Institute, 2020. 16p.

Drug Money: The Illicit Proceeds of Opiates Trafficked on the Balkan Route

By United Nations Office on Drugs and Crime

This report shows that the total value of illicit heroin and opium trafficked from Afghanistan to Western Europe through the Balkans amounts to some $28 billion every year. Sixty-five per cent of this total ($18 billion) is generated in Western and Central Europe. The four largest European markets for heroin - France, the United Kingdom, Germany, and Italy - account for nearly half of the gross profits, as the major heroin benefits are made by traffickers on the retail markets. The report shows that the total value generated by Afghan heroin and opium trafficked in Europe and through the Balkan route is one third bigger than the entire GDP of Afghanistan itself, which, in 2014, amounted to some $21 billion. Other findings indicate that the negative economic impact of heroin and opium are actually greater in Europe and the Balkan route countries than in Afghanistan itself. The report also shows the Islamic Republic of Iran and Turkey as the two countries which interject the greater percentage of heroin and opium destined for Europe. Iran seizes about 30 per cent of the 155 tons of heroin and opium entering its territory every year, while Turkey seizes 17 per cent. All other countries in Europe interject an average of 6 per cent of heroin in their territory. Data show that the impact of illicit profits in the national licit economy across countries is significant, with heroin and opium traffickers gaining between 0.2 to 2 per cent of their country's GDP. For some countries this share is bigger than the public expenditures dedicated to drug policies - if all drugs, and not only heroin and opium, are considered. The large amounts of money generated through this illicit activity can distort the licit national economies in the region.

Vienna: United Nations Office on Drugs and Crime, 2015. 92p.