Pubdate: Sun, 02 Dec 2001 Source: Observer, The (UK) Copyright: 2001 The Observer Contact: http://www.observer.co.uk/ Details: http://www.mapinc.org/media/315 Author: Mark Galeotti Note: Dr Mark Galeotti is Director of the Organised Russian & Eurasian Crime Research Unit at Keele University. BUSINESS AS USUAL FOR AFGHAN DRUGS Afghanistan is likely to retain a central role in the global drugs trade, argues Mark Galeotti in this World Today essay. But even a miracle of western statecraft would only lead to Afghanistan's impoverished neighbours seizing a greater share of this lucrative trade. Afghanistan's central role in the global narcotics trade will outlast bin Laden and the Taliban. A powerful and flexible network of traffickers, traders, producers and processors operates across factional, ethnic and national borders with virtual impunity, and will play a key role in shaping the post-intervention order. But the impact on the streets of Europe and the global drugs market is likely to be minimal. Afghanistan provides three-quarters of the world's opiates - the basis for heroin. Production doubled through the 1990s thanks to a malign combination of poverty and lawlessness, suitable local climate, a central location and, above all, local figures and factions that eagerly embraced its economic opportunities. Opium is grown freely in the countryside and gathered by farmers who sell it to factories employed by, or paying off, the local warlord. It passes or is sold on through anything up to a dozen different pairs of hands, as stocks are consolidated into large shipments, which are then moved either northwards through Central Asia or westwards via Iran. In the past two to three years Afghanistan became not only a source of opium base but also a centre for processing it into heroin. This refined form is much more profitable, and more compact and thus easier to smuggle. The Taliban made much of a campaign against opium production and trafficking at the end of last year and indeed managed to eliminate the majority of production in the areas under their control before lifting prohibitions to raise funds when military action began. While the restrictions drove up opium and heroin prices, there were no shortages in the global market. Afghanistan's neighbours reported that the flow of opiates out of the country only grew. Partly this reflected the loose control of any Afghan government as many semi-autonomous local groups who owed the Taliban notional allegiance simply continued as before. But it also reflected a switch from fresh to stockpiled opium. The UN has estimated that as much as sixty percent of production may have been stockpiled each year since 1996, both as insurance and also to keep prices high. Active Alliance The Northern Alliance and other anti-Taliban factions - especially ethnic Pashtun groups in the east of the country - are whole-heartedly involved in the trade. Indeed, if anything the Northern Alliance has been more closely associated with narcotics than the Taliban. The Taliban regime largely confined itself to taking a ten to twenty percent levy on opium harvests, heroin production, and drug shipments, earning it a minimum of $40-45 million annually. By contrast, the Northern Alliance - or at least key figures in it - have actively engaged in the production, sale and trafficking of opium for factional and personal gain. Unofficial estimates from the Tajik authorities suggested that supplies this year have been fairly evenly split between the Northern Alliance and the Taliban, even though the Taliban controlled four times as much land before November. The situation is unlikely to change dramatically. Indeed, if anything it may worsen. The post-Taliban government will presumably be pressured by the west to combat the trade, but again it will have to hold together a coalition of local warlords unwilling to renounce the profits it provides. Any effective campaign would require a massive and sustained infusion of foreign aid, coupled with strong and equally sustained political will on the part of the new regime. There is little reason to expect either. Regional competition But even a successful clampdown in Afghanistan would not end the region's role in the global drug business. This is a huge economic opportunity: the farm gate price alone for Afghan opium is almost $300 million; the total value of the national crop to warlords and traffickers is in excess of a billion dollars. The majority of opium stockpiles in Afghanistan have been shifted into northern Pakistan and, especially, the Central Asian states of Uzbekistan, Tajikistan and Kazakstan. Not only are they substantial, but it would be relatively straightforward to expand production in regions of neighbouring countries in which state control is minimal and where drugs are already produced. Northern Pakistan is perhaps the least congenial new host, as although state control here is often weak, there are a tacit series of understandings between the central government and local authority figures, which any major expansion of drug production would break. The Pakistan government does have formidable powers and an extensive and relatively effective security apparatus to deploy if necessary. Much the same is true of eastern Iran, an area increasingly favoured for stockpiling drugs bound eventually for Europe, but in which major cultivation is not feasible. There are even suggestions that opium is being grown in China's unruly eastern province of Xinjiang, some reports blaming corrupt army commanders, others Muslim radicals. However, the isolation of the region and Beijing's determination to maintain control over it will prevent any major expansion of drug production. Migrating North It is therefore far more likely that major drug production would migrate northwards, into Central Asia. These are countries with high levels of corruption at both central and local level, while state authority is relatively ineffective. Economic and climatic conditions are suitable, with large impoverished rural populations happy to adapt to crops bringing better returns. The UN estimates that eighty percent of the population of Tajikistan lives below the poverty line, for example, with monthly incomes of less than $10. In such circumstances, it is hardly surprising that the production of marijuana, opium and ephedra - the precursor chemical for amphetamines - is already widespread in such regions as Syrhandarya (southern Uzbekistan), the Chu Valley (Kazakstan) and Gorny Badakhshan (Tajikistan). Besides which, the area has already become an increasingly important transit point for Afghan opiates, accounting for perhaps half the total outflow. Thus, not only are the trafficking routes already in place, but so too are the local structures to handle operations, from corrupt politicians, police and customs officers to gangs controlling transport firms and railway stations. The Central Asian states have not yet become major centres for producing or processing drugs for export, but this is essentially a product of market forces, as Afghanistan was already a cheap, secure source. The military campaign and political settlement are very unlikely to have more than a minor impact on this. However, even if, by some miracle of statecraft and consensus-building, the western allies do manage to create or support a regime able and willing to wean Afghanistan away from the drugs business, the states of post-Soviet Central Asia appear admirably placed to be its successors. - --- MAP posted-by: Rebel