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Trade in prohibited narcotics and other psychoactive drugs is today the illegal activity with the largest turnover worldwide. According to the United Nations International Drug Control Program (UNDCP), this turnover varies between $300 and $500 billion yearly, corresponding to 8 percent of the international trade volume (UNDCP 1997a: 123–124). Scholars, however, consider this estimate excessive, up to ten times the actual figure. Relying on data on American expenditures on illicit drugs (ONDCP 2001), Peter Reuter convincingly argues that consumers in the United States and Western Europe yearly spend about $120 billion to buy illicit drugs, and he assumes a total of $30 billion for the developing world. Following this down-to-earth calculation, a total world consumer expenditure of $150 billion on illicit drugs seems a reasonable estimate. The international trade component of drug sales is, however, much smaller. For all commodities, in fact, this component is calculated on the basis of the landed price (the amount for which the drug is sold by the importer to the first dealer or trafficker at the beginning of the domestic drug chain), about 15 percent of the final price paid by consumers. Thus, the international trade component of drug sales corresponds to merely about 15 percent of the total expenditures: $20 to $25 billion, a small share of total international trade, currently estimated at $5,000 billion (Reuter 1998).

Though much lower than the U.N. estimate, these figures are quite considerable in absolute terms and sufficient to make the drug market the largest illegal market worldwide and drug smuggling the transnational crime generating the greatest revenues for participants.

Drugs and the Source Countries

The bulk of international drug trafficking concerns three plant-based drugs, which are among the most commonly consumed illicit psychoactive substances worldwide. The pole position is undoubtedly held by cannabis: Either in the form of cannabis herb (marijuana) or cannabis resin (hashish), it is used in almost all countries across the globe and is almost everywhere the most popular illicit drug. Out of the estimated 14.8 million Americans who used an illicit drug in 1999, 75 percent used only marijuana, and 18 percent used marijuana and another illicit drug (U.S. Department of Health and Human Services, SAMHSA 2000). Marijuana consumers are estimated to represent 6.2 percent of the U.S. population twelve years old and older. In the late 1990s, around 15 million Europeans (about 6 percent of those aged fifteen to sixty-four) had used cannabis in the previous twelve months (EMCDDA 2000: 7). Worldwide there are 144 million consumers of cannabis products (UNODCCP 2001: 69–72).

In much of the developed world, the second most popular plant-based drug is cocaine, an alkaloid obtained from the leaves of the coca bush. Cocaine is a white powder with stimulant effects. According to the National Household Survey on Drug Abuse in 1999, an estimated 1.5 million U.S. residents were cocaine users. This represented 0.7 percent of the population aged twelve and older (SAMHSA 2000). In the countries belonging to the European Union (EU), cocaine has been tried at least once by 1 to 6 percent of all those aged sixteen to thirty-four (EMCDDA 2000: 7). Worldwide there are about 14 million users of cocaine (UNODCCP 2001: 74).

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