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Mexico's Symbol of Drug War Resistance Says It's Our Fight, Too [FEATURE]

At the 2011 International Drug Policy Reform Conference in Los Angeles last weekend, one of the more heart-wrenching sessions focused on the prohibition-related violence in Mexico, where somewhere north of 40,000 people have been killed since Mexican President Felipe Calderon sent in the army to wage war on the cartels in December 2006. A panel of Mexican politicians, activists, and journalists led by poet Javier Sicilia -- and El Paso City Councilwoman Susie Byrd -- examined the roots and consequences of Mexico's war on drugs and called eloquently on Americans to take action to stop the carnage.

Javier Sicilia addressing conference, with translator Ana Paula Hernandez (photo courtesy HCLU, drogriporter.hu/en)
Mexican journalist Diego Osorno, author of a book on the Sinaloa Cartel, explained how Calderon took power amidst mass mobilizations and turmoil after a closely contested election in which his foe refused to accept defeat. "Calderon took power amidst political and social crisis," Osorno explained. "He began the militarization using the pretext of drugs," he said.

The next panelist, former Mexican congressman Victor Quintana of Chihuahua (where Ciudad Juarez is located) looked at what Mexico's drug wars had done to his home state. "In Chihuahua, we had 407 people killed in 2007," he said. "In 2010, that number was 5,200. If the US had the same murder rate, that would be 400,000 dead in one year," he said.

"There has been an authentic genocide committed in our state," Quintana continued. "We have 10,000 drug war orphans and 230,000 people internally displaced. We face not only the violence of organized crime, but the violence of the state."

A report released Wednesday by Human Rights Watch makes clear just what Quintana was talking about when it comes to the violence of the state. The 212-page report, Neither Rights Nor Security: Killings, Torture, and Disappearances in Mexico's "War on Drugs," portrays systematic human rights abuses committed by Mexican government forces, including dozens of documented killings.

Human Rights Watch officials visited Mexico this week to deliver copies of the report to Calderon, members of the Mexican Congress, the Supreme Court, and civil society groups.

"Instead of reducing violence, Mexico's 'war on drugs' has resulted in a dramatic increase in killings, torture, and other appalling abuses by security forces, which only make the climate of lawlessness and fear worse in many parts of the country, said José Miguel Vivanco, Americas director for the organization.

Like other panelists at the conference in Los Angeles, Quintana took pains to make clear that Mexico's tragedy was tied to the US and the way we deal with the drugs we love to hate (or hate to love). "This is a bi-national war," he said. "America sends the guns and money, and Mexico gets the deaths."

Prohibition is a godsend to the cartels, said El Paso city councilwoman Byrd, who explained how a pound of marijuana sells for $25 in Mexico's pot-growing areas but $525 in Chicago. "Legalizing marijuana is the best way to take it to the cartels," she said.

Ciudad Juarez is "the epicenter of pain and tragedy, but also the epicenter of resistance," said Zulma Mendez, a bi-national El Paso university professor and Ciudad Juarez activist. The resistance has an agenda calling for demilitarization, justice and truth, and re-founding the city in a more human form, she said.

Zuma, too, called on Americans to act. "The bloodshed here is related to Plan Merida," she said. "US taxpayers are funding this to the tune of $2.5 billion. People in the US should demand an end to Plan Merida. US citizens can demand drug reform and revision of weapons policies and immigration and asylum policies," she challenged.

But it was gruff-voiced, cowboy hat-wearing Javier Sicilia who proved most powerful. A poet and journalist who became the voice of resistance after his son and five others were murdered in Cuernavaca earlier this year, Sicilia has led caravans of protestors across Mexico to demand truth and justice and an end to the violence.

"Who is being held accountable?" he asked, complaining of a culture of impunity, and not just in Mexico. "Where is the money being laundered, and not just the drug money, but the money from other crimes? Money is the blood of the poor. We have 50,000 dead and 10,000 disappeared. The word to describe this would be 'demonic.' We are all responsible for these crimes against humanity because they are done by our governments," he said.

"If we were to put a human face on the suffering, it would be something we could not bear," Sicilia continued. "This is the image of our country: A six-year-old orphaned boy waiting for us on the road, holding a photo of his father, who had been killed and returned in a blanket. The face of that orphan is the face of our country. In a century when we talk of human rights, that is the tragedy."

The Mexico session wasn't the only place Sicilia made his voice heard. He also appeared before the crowd at a boisterous anti-drug war demonstration in MacArthur Park Thursday night and at the final plenary session of the conference. Then it was back to Mexico and the quest for peace and justice.

Los Angeles, CA
United States

WikiLeaks: Is Argentina Washing Dirty Drug Trafficking Money? (Opinion)

Location: 
Argentina
Need more evidence of the futility of the war on drugs? Look no further than a WikiLeaked cable from the U.S. Embassy in Argentina released last week. It turns out that for all the happy talk about international cooperation to combat money laundering, the embassy believes some politicians may not really be interested.
Publication/Source: 
The Wall Street Journal (NY)
URL: 
Need more evidence of the futility of the war on drugs? Look no further than a WikiLeaked cable from the U.S. Embassy in Argentina released last week. It turns out that for all the happy talk about international cooperation to combat money laundering, the embassy believes some politicians may not really be interested.

"Murder City," by Border Cognoscenti Charles Bowden (BOOK REVIEW)

"Murder City: Ciudad Juarez and the Global Economy's New Killing Fields," by Charles Bowden (2010, Nation Books, 320 pp., $27.50 HB)

by Phillip S. Smith, Writer/Editor

http://www.stopthedrugwar.org/files/murdercity.jpg
Last Saturday, Ciudad Juarez, across the Rio Grande River from El Paso, marked a grim milestone: its 6,000th murder victim since the beginning of 2008. The discovery of 10 bodies that day pushed the beleaguered city past that marker, but the week -- still only half-done as I write these words -- held more gore. On Wednesday, two headless bodies appeared propped up against the wall of building. The heads sat atop upended ice chests in front of them. Writing on the ice chests claimed that one of the men was a carjacker and the other a kidnapper and extortionist, and that both were members of the Aztecas, a street gang that peddles dope and acts as neighborhood enforcers for the Juarez Cartel.

Gruesome photographs of the death scene ran in the Mexican press -- there is a longstanding tabloid press there that positively revels in full-color photos of murder victims, car accident fatalities, burned bodies -- but, according to Charles Bowden, it is almost a certainty that we will never hear another word about them, that we will never know why they had to die so horribly, that no one will ever be arrested for their deaths, that we will never even learn their names.

And Charles Bowden should know. He's probably forgotten more about Ciudad Juarez than most journalists writing about the city ever knew. The poet laureate of the American Southwest, Bowden has been living and writing about the border for decades, and with "Murder City" he is at the peak of his powers.

"Murder City" is beautiful and horrifying, not just for the exemplary violence it chronicles, but even more so for the portrait it paints of Juarez as a community stunned and staggering, hit hard by the vicissitudes of the global economy, the corruption of the Mexican state, and the wealth and violence generated by the trade in prohibited drugs.  It is non-fiction, but reads like a surrealist fever dream.

We learn of Miss Sinaloa, an achingly gorgeous, white-skinned beauty queen, who turns up raving mad at "the crazy place," a desert shelter for the mentally ill, the homeless, the glue- or paint-destroyed kids. Turns out she had come to the city and been invited to a weeklong, whiskey- and cocaine-fueled party at a motel where she was gang-raped for days by eight Juarez policemen. Miss Sinaloa weighs on Bowden, a witness to the city's violence and depredations, its ugly degradation. She's gone now, taken back home by her Sinaloa family, but there's always another one, he writes.

We learn of reporters killed by the military. We learn about other reporters' poor salaries and about how their real pay comes in envelopes from shadowy men, and they know it means they will not write about certain things. We learn of one reporter who inadvertently crossed the military in 2005 and had to flee to the US border for his life when the military came looking for him three years later. He sought political asylum. What he got was imprisoned for seven months until a Tucson civil rights lawyer managed to spring him.

As Bowden notes:

"It is possible to see his imprisonment as simply the normal by-product of bureaucratic blindness and indifference. But I don't think that is true. No Mexican reporter has ever been given political asylum, because if the US government honestly faced facts, it would have to admit that Mexico is not a society that respects human rights. Just as the United States would be hard-pressed, if it faced facts, to explain to its own citizens how it can justify giving the Mexican army $1.4 billion under Plan Merida, a piece of black humor that is supposed to fight the war on drugs. But then the American press is the chorus in this comedy since it continues to report that the Mexican army is in a war to the death with the drug cartels. There are two errors in these accounts. One is simple: The war in Mexico is for drugs and the enormous money to be made by supplying American habits, a torrent of cash that the army, the police, the government, and the cartels all lust for. Second, the Mexican army is a government-financed criminal organization, a fact most Mexicans learn as children."

Bowden writes about a Ciudad Juarez policewoman taken away by the military and raped for three days. Bowden writes about the military patrol sitting yards away from a drug treatment center where armed assailants shoot the place up for 15 minutes, leaving eight dead. Bowden writes about how the press describes convoys of killers as "armed commandos" dressed in uniforms and says that's code for military death squads.

Remember those two headless gentlemen in the first paragraph? This is why we will never learn anything more about them. The reporters are scared for their lives. Bowden writes about the "narco-tombs," safe houses where victims are tortured and killed, then buried on the grounds. The exhumation of the bodies takes place with great fanfare, but the forensic scientist doesn't want her name used or her face shown, and then the bodies just vanish. Poof! They are never identified, no one knows where they went, no one knows why they died, no one knows who killed them.

Bowden writes about El Sicario, the former state policeman/cartel assassin, who talks with professional pride about kidnapping, torturing, and killing hundreds of people. Now, El Sicario is afraid. The killers are after him, and he has fled his former hunting grounds. And what is even more disturbing for the reader is El Sicario's statement that he doesn't even know which cartel he was working for. In the cell-like structure in which he operated, he knew only his boss, not the boss's boss, or even who the boss's boss was. El Sicario killed for phantoms.

But what is really terrifying is that El Sicario is being chased by "a death machine with no apparent driver," a web of hidden complicities where the cartels are the military are the police are the government, nobody knows who anybody really is, and the dead become evil by virtue of having been killed.

We can blame the cartels (or, obversely, drug prohibition), we can blame street gangs, mass poverty, uprooted families migrating to the city for jobs that have now vanished, corrupt cops, corrupt governments, but the violence may now have escaped any good explanation, Bowden writes. As the Mexican state fails to suppress the violence (at least in part because it is committing a great part of it, the killings are establishing "not a new structure but rather a pattern, and this pattern functionally has no top or bottom, no center or edge, no boss or obedient servant. Think of something like the ocean, a fluid thing without king and court, boss and cartel... Violence courses through Juarez like a ceaseless wind, and we insist it is a battle between cartels, or between the state and the drug world, or between the army and the forces of darkness. But consider this possibility: Violence is now woven into the very fabric of the community, and has no single cause and no single motive and no on-off button."

Absolutely chilling stuff, and absolutely brilliant. Bowden turns prose into poetry, and he provides an understanding of Juarez and its woes that hits you at the visceral level. "Murder City" will give you nightmares, but it's worth it.

Drug Dealer's Bill of Choice Boosts the Euro Zone

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Gangsters, drug dealers and money launderers are playing their part in helping shore up the financial stability of the euro zone. Willem Buiter, chief economist at Citigroup, says that high-denomination euro bank notes, in particular the €200 and €500 bills, are increasingly "making the euro the currency of choice for underground and black economies, and for all those who value anonymity in their financial transactions and investments."
Publication/Source: 
The Wall Street Journal (NY)
URL: 
http://online.wsj.com/article/SB10001424052748704532204575397543634034112.html?mod=googlenews_wsj

Charles Bowden on Mexico's Dirty War Against Drugs

democracynow.org has an excellent Charles Bowden discussing human rights violations in the drug war in Mexico. One interesting quote: "Trying to eradicate the drug industry in Mexico is like trying to eradicate gambling in Las Vegas. It is the economy". Summary below.
Democratic Senator Patrick Leahy blocked the release of a State Department report affirming that Mexico has respected human rights in its fight against drug cartels. Leahy’s move holds up more than $100 million in US aid. The money has been delayed under a law linking 15 percent of US funding to Mexico under the Merida Initiative to Mexico’s record on human rights. On Monday, President Obama praised the Mexican government for its handling of the drug war. We speak with Charles Bowden, a reporter who has been extensively covering the human consequences of Mexico’s drug war. [includes rush transcript]

The Drug Cartels Have Their Own (Stolen) Oil Company

I thought I'd heard it all, but the latest news from Mexico is so ridiculously over-the-top, I was genuinely shocked:

MEXICO CITY – U.S. refineries bought millions of dollars worth of oil stolen from Mexican government pipelines and smuggled across the border, the U.S. Justice Department told The Associated Press — illegal operations now led by Mexican drug cartels expanding their reach.

Criminals — mostly drug gangs — tap remote pipelines, sometimes building pipelines of their own, to siphon off hundreds of millions of dollars worth of oil each year, the Mexican oil monopoly said. At least one U.S. oil executive has pleaded guilty to conspiracy in such a deal. [AP]


What the hell is going on here!? It's been clear for a while now that these people should never be underestimated, but this seriously sounds more like the plot of a James Bond movie than something that could be pulled off in real life. Once again, the situation in Mexico has managed to reach new heights of out-of-control absurdity and it seems to be doing so with increased frequency as of late.

Does anyone honestly believe that pouring more money and lives down the drug war drain is the solution to this?

Feature: Meeting in Vienna, UN Commission on Narcotics Drugs Prepares to Head Further Down Same Prohibitionist Path, But Dissenting Voices Grow Louder

The United Nations Commission on Narcotic Drugs (CND) met this week in Vienna to draft a political statement and plan of action to guide international drug policy for the next decade. The statement largely affirms existing prohibitionist policies and ignores harm reduction, as the CND has done it the past. [Editor's note: The draft statement had not been formally approved as of press time, but is likely to be approved as is.]

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Vienna International Center, home of the UN Office on Drugs and Crime
The political statement is supposed to evaluate the implementation of the previous political declaration and action plan approved by the UN General Assembly Special Session (UNGASS) in 1998. At the 1998 session, UNGASS adopted the slogan "A Drug-Free World -- We Can Do It" and launched a "campaign" to wipe out all drug crops -- from marijuana to opium to coca -- by 2008.

But while the international community continues to slide down its century-old prohibitionist path regarding non-medicinal drug use and sales, it is encountering an increasing amount of friction. The United States, as leader of the hard-liners, continues to dominate the debates and set the agenda, but an emerging bloc of mainly Latin American and European countries is expressing deep reservations about continuing the same policies for another decade.

The atmosphere in Vienna this week was circus like, complete with street protests, as national delegations, non-governmental organizations (NGOs), and other interested parties heatedly debated what an increasingly vociferous minority called a "failed" approach to the issue. Debate was particularly intense about the inclusion of harm reduction in the political statement -- a position rejected by the US delegation, led by outgoing acting drug czar Edward Jurith.

The drug summit came as the UN, the CND, and the countries pushing the prohibitionist hard-line have come under repeated attack for essentially maintaining the status quo. On Tuesday, the European Commission issued a report that found while in the past decade policies to help drug users and go after drug traffickers have matured, there was little evidence to suggest that the global drug situation had improved.

"Broadly speaking the situation has improved a little in some of the richer countries, while for others it worsened, and for some of those it worsened sharply and substantially, among which are a few large developing or transitional countries," an EC media statement on the report said. "In other words, the world drugs problem seems to be more or less in the same state as in 1998: if anything, the situation has become more complex: prices for drugs in most Western countries have fallen since 1998 by as much as 10% to 30%, despite tougher sentencing of the sellers of e.g. cocaine and heroin in some of these markets."

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SSDP's Kris Krane, caged as part of HCLU demonstration at UN (drogriporter.hu/en/demonstration)
Current anti-drug policies also came under attack from a growing coalition of NGOs, including Human Rights Watch, the International Harm Reduction Association, the European NGO Coalition for Just and Effective Drug Policies (ENCOD), and the International Drug Policy Consortium, as well as various NGOs from the US, Brazil, Canada, and England, among others, all of whom were in Vienna for the meeting. Human Rights Watch urged the CND to undo a decade of neglect, while the English group Transform Drug Policy Foundation called for a moratorium on global strategic drug policy setting, a review of the consequences of prohibitionist policies, and a commission to explore alternatives to the failed war on drugs.

"Every state that signs up to the political declaration at this commission recommits the UN to complicity in fighting a catastrophic war on drugs," said Danny Kushlick, policy director for Transform. "It is a tragic irony that the UN, so often renowned for peacekeeping, is being used to fight a war that brings untold misery to some of the most marginalized people on earth. 8,000 deaths in Mexico in recent years, the destabilization of Colombia and Afghanistan, continued corruption and instability in the Caribbean and West Africa are testament to the catastrophic impact of a drug control system based upon global prohibition. It is no surprise that the declaration is unlikely even to mention harm reduction, as it runs counter to the primary impact of the prevailing drug control system which, as the past ten years demonstrate, increases harm."

Not all the action took place in the conference hall. Wednesday saw a lively demonstration by NGO groups including Students for Sensible Drug Policy, the drug user group INPUD, ENCOD, and the Hungarian Civil Liberties Union, among others. Protestors spoke to reporters from jail-like cages, waved signs and passed out pamphlets to delegates forced to run their gauntlet, and decried the harms of drug prohibition. One particularly effective protestor was dressed as a sun-glass wearing, cigar-puffing Mafioso, celebrating that business was good thanks to prohibition.

Even UN Office on Drugs and Crime (UNODC) head Antonio Maria Costa, while whistling past the graveyard to insist that progress had been made in the past decade, acknowledged that current global policies have backfired in some ways. Giving the opening address Wednesday, Costa said "the world drug problem has been contained, but not solved" thanks to international anti-drug efforts.

But global drug control efforts have had "a dramatic unintended consequence," he added, "a criminal black market of staggering proportions." The international drug trade is "undermining security and development and causing some to make a dangerous wager in favor of legalization. Drugs are not harmful because they are controlled; they are controlled because they are harmful." Drug legalization would be "a historic mistake," he said.

Even so, Costa painted a dire picture of what prohibition had wrought: "When mafias can buy elections, candidates, political parties, in a word, power, the consequences can only be highly destabilizing" he said. "While ghettoes burn, West Africa is under attack, drug cartels threaten Central America and drug money penetrates bankrupt financial institutions".

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activists from International Network of People Who Use Drugs (INPUD) at demo (drogriporter.hu/en/demonstration)
Not everybody was buying into the UNODC-CND-US position of more of the same. Bolivian President Evo Morales brandished a coca leaf, then chewed it during his address to the delegates to underline his demand that coca be removed from the list of proscribed substances.

"This is coca leaf, this is not cocaine; this is part and parcel of a culture," Morales said. The ban on coca was a "major historical mistake," he added. "It has no harmful impact, no harmful impact at all in its natural state. It causes no mental disturbances, it does not make people run mad, as some would have us believe, and it does not cause addiction."

Neighboring Brazil was also critical. "We ought to recognize the important progress achieved over the last decade," said Brazilian delegate Jorge Armando Felix. "But the achievements have not been accomplished. The aim of a world free of drugs has proven to be unobtainable and in fact has led to unintended consequences such as the increase of the prison population, increase in violence related to an illegal drug market, increase in homicide and violence among the young population with a dramatic impact on mortality and life expectancy -- social exclusion due to drug use and the emergence of synthetic drugs."

Felix also had some prescriptions for UNGASS and the CND. "At this historic moment with the opportunity to reassess the past 10 years and more importantly to think about the challenges to come, Brazil enforces the need for recognition of and moving towards: harm reduction strategies; assessing drug dependence, and HIV AIDS populations; securing the human rights of drug users; correcting the imbalance between investments in supply and demand reduction areas; increasing actions and programs of prevention based on scientific evidence with an emphasis towards vulnerable populations and towards increase of access to and care for problematic or vulnerable drug users; and to the acknowledgment of different models of treatment for the need for increased funding of these efforts."

Brazilian Luiz Paulo Guanabara, head of the NGO Psicotropicus, observed it all with mixed feelings. "Early on, I thought the NGO strategy for harm reduction would not result in anything and that we should aim for drug regulation instead," he said. "And in the end, the term harm reduction is not in the political declaration, but the Beyond 2008 document is very strong and has not gone unnoticed."

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Mafioso-looking activist distributing ''United Nations of Prohibition'' 1,000 note bills with UNODC chief Costa's face on one side, and a thank you from the In Memoriam Al Capone Trust on the other (drogriporter.hu/en/demonstration)
Guanabara had harsh words for both the Americans and the UN. "It seems like the American delegates believe harm reduction is a sin -- or they favor harm increase, so they can lock up more people and have more HIV patients, increase crime, sell more weapons and make money out of the disgrace of others and families' destruction. Their prohibitionist stance is obscene," he declared. "And these guys at the CND understand nothing of drugs and drug use, they are just bureaucrats. To put drugs in the hands of bureaucrats is as dangerous as putting them in the hands of criminals."

But despite the lack of results this time around, Guanabara was thrilled by the participation of civil society. "The civil society mobilization is enormous and intense," he said. "The NGO events around the meeting were the real high-level meetings, not the low-level ones with the bureaucrats at the CND."

While the sentiments from Brazil and Bolivia were echoed by various national delegations, mainly European, and while even the UNODC and the US are willing to give nods to an increased emphasis on treatment and prevention, with the US delegation even going so far as to approve of needle exchanges, at the end of the day, the CND political declaration and action plan represents a stubborn adherence to the prohibitionist status quo.

"Government delegations could have used this process to take stock of what has failed in the last decade in drug-control efforts, and to craft a new international drug policy that reflects current realities and challenges," said Prof. Gerry Stimson, executive director of the International Harm Reduction Association. "Instead, they produced a declaration that is not only weak -- it actually undermines fundamental health and human rights obligations."

American attendee and long-time drug reform activist Michael Krawitz also had mixed feelings. "The slow train wreck that Harry Anslinger started with the 1961 Single Convention is finally grinding to a halt," he said. "The argument here has been a semantic one over harm reduction, but the subtext is much more important, and the subtext is that the treaties were set up to protect public health and are currently being interpreted in such a way as to do the opposite. The declaration wound up being watered down and piled high with reservations. The next five years should prove interesting."

The IHRA and other NGOs called on governments with reservations about the political declaration to refuse to endorse it. That probably will not happen, but some governments have indicated they will add reservations to their approval of the declaration. After a century of prohibition, the first formal cracks are beginning to appear at the center of the legal backbone of global drug prohibition. Given that the dissent has largely appeared only since the last UNGASS in 1998, perhaps this isn't such a bad start.

Editorial: Sometimes a Drug Warrior is a Little Too Honest

David Borden, Executive Director

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David Borden
The drug war is intellectually slippery business -- it's impossible to talk straight and effectively defend it. But sometimes a drug warrior is a little too honest.

That was the case this week when an interview with UN anti-drug chief Antonio Maria Costa was published in an Austrian magazine, in which Costa claims black market drug profits propped up the global banking system in 2008. That is, some banks that have survived would have failed, or might have, were it not for drug money laundered into the financial system.

This seems like a bold claim. But it makes sense -- drug money has to go somewhere -- and Costa isn't some local police chief exaggerating the value of a drug seizure to get headlines, he's an economist. The UN isn't always a reliable reporter of the drug situation, but it's worth something. I don't think there's a strong reason for Costa to want to make something like that up.

If the drug trade has saved the financial system, then, or helped to, this requires an evolution of thought. We're accustomed to regarding drugs and drug selling as bad things, but like everything they have their upside. Suppose the drug war magically started to work and the trade were wiped out, or people suddenly stopped using drugs. What would happen to the economy? What would happen to countries like Afghanistan or Colombia or Mexico where a lot of the money being made is in drugs and a lot of people are dependent on that money? Or in some sectors of US society, for that matter?

It would be a catastrophe. Eventually economies would rearrange themselves, to be sure. But the sudden implosion of a large sector of the economy would wreak havoc, not just on the people making a living in the drug trade now, but on the local, national and global economies of which they are a part.

Drug users and even sellers, then, are an integral part of human society -- the larger economic weal depends in part on theirs -- and so our evolution of thought should be about people too, not just economics. We need our drug users, and even our drug sellers, for the most part -- not because they use or sell drugs, but because they're here and we're connected to them, for better or worse.

And if we need them, if in a somewhat flawed way they contribute to the economy on which all of us depend, then they also don't deserve to be persecuted, jailed, have their rights taken away and their lives scarred. If a participant in the drug trade engages in violence, that is one thing; but if a person's only "crime" is a drug offense, it's another.

Along with tolerating these members of society who are now persecuted, we should not ignore the corrupting effects that this situation of money laundering and drug money -- this situation created by prohibition -- can have. With care and planning, we should chart a path away from prohibition, to some form of global legalization instead. Only then will the flood of illegal drug money be stemmed, and the suffering prohibition has caused to individuals and society alike be addressed.

Mexican Drug War Scaring Off Investors

Further evidence that the Mexican drug war is making progress…in the exact wrong direction:

MONTERREY, Mexico, Nov 11 (Reuters) - Companies in Mexico are scrapping plans to float shares on the stock exchange for fear of raising their profile amid a brutal drug war and a surge in kidnappings, the bourse president said on Tuesday.

Stock exchange President Guillermo Prieto said that aside from market volatility in the past two months due to the global financial crisis, crime was a major issue for firms thinking about initial public offerings (IPOs).

Going public to raise funds for expansion requires far greater company disclosure and a higher public profile for company executives who go on roadshows to attract investors.

This is a whole new level of economic disruption, as the drug war begins to chip away at financial institutions. If this kind of thing continues, there’s no limit to how far-reaching the damage could become.

Violence and corruption are just the first symptoms of the disease of drug prohibition. If left untreated, the sickness spreads throughout every social institution, weakening anything it touches.

Feature: Afghan Opium Production Declines Slightly From Record Levels

With the West's occupation of Afghanistan now nearing the seven-year mark and plagued by an increasingly powerful and deadly insurgency revitalized by massive profits from the opium trade, Western officials gained some small solace this week when the United Nations announced that opium production there had declined slightly from last year's record level. But the small decline comes as the Taliban and related insurgents are strengthening their grip on precisely those areas where opium cultivation is highest, and the light at the end of the tunnel is, at best, only a distant glimmer.

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2008 Afghan opium cultivation chart from the UN report
According to the UN Office on Drugs and Crime (UNODC) Afghanistan Opium Survey 2008, released Tuesday, total Afghan opium production this year will be 7,500 metric tons, down 6% from last year's all-time record of 8,200 tons. Also, according to the survey, the amount of land devoted to opium production declined 19%. The UN said the total crop had decreased by a smaller number than the amount of land because farmers in key opium-producing provinces were producing bumper crops.

The UN attributed the decline in production to drought conditions and the efforts of a small number of Afghan governors and tribal and religious leaders to persuade farmers to give up the illicit crop. It also crowed that the number of opium-free provinces in the country had risen from 13 to 18, although it failed to mention that farmers in those provinces had, in many cases, merely switched from growing poppies to growing cannabis.

This year, almost all opium cultivation -- about 98% -- is now concentrated in seven provinces in south-west Afghanistan that house permanent Taliban settlements and are home to related trafficking groups that pay taxes to various Taliban factions on their opium transactions. The Taliban is making between $200 and $400 million a year off taxing poppy farmers and traders, Costa said earlier this year. In the report, Costa referred to Helmand province, one of the most Taliban-dominated in the country. "The most glaring example is Helmand province, where 103,000 hectares of opium were cultivated this year -- two thirds of all opium in Afghanistan," Costa wrote. "If Helmand were a country, it would once again be the world's biggest producer of illicit drugs."

The UN said that manual eradication played almost no role in the decline, affecting only about 3% of the crop. What manual eradication did accomplish was the deaths of some 77 anti-drug workers and police at the hands of insurgents and angry farmers. On Wednesday, Costa told Afghan President Hamid Karzai that he should abandon manual eradication as useless and even counter-productive.

While Afghan poppy production is down slightly, it still surpasses global demand for its illicit end products. And after several years of crops greater than global demand, it is likely that Afghan traders are sitting on huge stockpiles of opium, so even if production were to be slashed substantially, it would cause no significant disruption in the global markets for opium and heroin.

Still, with the war news from Afghanistan seemingly growing worse by the day, UN and Western officials were eager to jump on any good news they could find. "The opium flood waters in Afghanistan have started to recede," Antonio Maria Costa, the executive director of the Vienna-based UNODC, wrote in the report. "This year, the historic high-water mark of 193,000 hectares of opium cultivated in 2007 has dropped by 19 percent to 157,000 hectares."

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Chronicle editor Phil Smith interviewed former opium-growing Afghan farmers outside Jalalabad in fall 2005
The Bush administration welcomed the report, saying it provided vindication for its much-criticized anti-drug policies in the country. But a State Department spokesman told the Washington Post, "the drug threat in Afghanistan remains unacceptably high. We are particularly concerned by the deterioration in security conditions in the south, where the insurgency dominates."

The US Agency for International Development (USAID), in charge of efforts to provide alternative development for farmers as part of the broader US counter-drug and counter-insurgency strategy, also looked for the silver lining in the storm clouds over Afghanistan. Its efforts are "paying off for Afghanistan in the war against poppy production," it said in a press release Tuesday.

The British foreign office also joined the chorus, with FCO Minister Lord Malloch-Brown releasing a statement welcoming the report's findings. "This shows that the Afghan government's Drug Control Strategy is starting to pay dividends," he said.

Still, Malloch-Brown warned there is a long way to go. "However, there is no room for complacency," he said. "Afghanistan is still the world's biggest supplier of heroin. High cultivation levels are concentrated in the unstable south, where we are working with the government of Afghanistan, local governors, and international partners to build security and governance."

Other, non-governmental observers were much less sanguine about what the slight decline in opium production signified. "I don't think there has been any real progress made at all," said Raheem Yaseer, assistant director of the University of Nebraska-Omaha Center for Afghanistan Studies. "But there has been so much money and pressure invested that they feel they have to justify their efforts. It's true that cultivation has ended in some provinces, but other areas are compensating for that."

A large part of the problem is that too many important players are involved and profiting from the trade, said Yaseer. "There are lots of strong, powerful people involved -- influential people in the Afghan government, governors, parliamentarians, provincial police commanders -- and unless they are suppressed, nothing will change. There is lots of concern expressed, but the business is hot and everyone is making money," he said.

Yaseer also pointed to the increasing ability of insurgents to wreak havoc. "Security is horrible, it's getting worse and worse precisely in those growing areas, and where the security gets worse, there are more opportunities for the drug business," he said. "Everyone takes advantage of the lack of security and the chaos."

The UNODC reports provides only "false hope," said the Senlis Council, the Paris-based drugs and security nonprofit that has long proposed buying up illicit poppy crops and diverting them into the licit medicinal market as a means of getting a handle on illicit production and the support for political violence it provides.

"Opium is the cancer destroying the south of Afghanistan," said Emmanuel Reinert, the group's executive director in a Wednesday statement. "Current counter-narcotics policies are failing to address the loss of the southern provinces to the dual scourges of poppy production and terrorism."

The decrease in poppy cultivation will have a minimal effect on the drugs trade, given the exponential growth in opium production since 2002. "This decrease is no more than a ripple in the ocean," Reinert added. "Without an urgent change of direction in the country's counter-narcotics policies, the international community will be unable to prevent the consolidation of opium production in the south of the country, and the consolidation of the Taliban which is financed by the illegal drugs trade."

Instead of pushing farmers into the waiting arms of the Taliban and related insurgent groups by pursuing crop eradication, the West and the Afghan government should revisit the Senlis proposal, which was rejected out of hand when introduced in 2005, said Senlis policy analyst Gabrielle Archer. "It is clear that a long-term, sustainable solution is required to solve Afghanistan's opium crisis -- and prevent the insurgency's funding by illegal cultivation," she said. "Poppy for Medicine would allow farmers to diversify their crops, and give Afghanistan an opportunity to be part of a legal pharmaceutical industry. We need the Afghan people on our side if we are to be successful there, and this initiative could go a long way to winning back much-needed hearts and minds, which would be highly beneficial for our troops fighting there."

The hearts and minds of the Afghan population are turning increasingly against the West and the country's occupation by foreign troops, warned Yaseer, ticking off a seemingly endless series of incidents where Afghan civilians have been killed by coalition forces, the most recent being the reported deaths of 90 civilians -- 60 of them children -- in a NATO bombing raid last week. That raid prompted Afghan President Hamid Karzai to call this week for a reevaluation of the foreign military presence in his country.

"Everyday there are new uproars in parliament and local councils," said Yaseer. "They say there is no difference between the Soviets and the coalition forces. They bombard whole villages in the middle of the night because they hear four or five Taliban are there. These killings keep happening all the time, and people are fed up with it. This is all developing very rapidly now. 'Why did you bring this war to Afghanistan?' the people ask. The gap between the people and the government is growing larger every day," Yaseer said.

With coalition military casualties on the rise, the Taliban grown fat off opium profits and ever more aggressive, and growing hostility to the West in the Afghan population, a minor down-turn in opium production doesn't look so impressive.

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