http://www.bloomberg.com/apps/news?pid=newsarchive
<http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a3.v3j8mKd2A>
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Taliban to Raise $100 Million From Afghan Opium Crop (Update1) 


By Ed Johnson

Feb. 6 (Bloomberg) -- Taliban insurgents will generate at least $100 million
from this year's opium crop in Afghanistan which will almost match the
record harvest in 2007, the United Nations said. 

Cultivation of opium poppies will remain ``shockingly high,'' Antonio Maria
Costa, executive director of the UN Office on Drugs and Crime, said in a
statement today. 

``Afghan drugs and the funds they generate are a destabilizing force,''
Costa said. ``Europe, Russia and the countries along the Afghan heroin
routes should brace themselves again for major health and security
consequences.'' 

Afghanistan provides more than 90 percent of the world's supply of opium,
the raw ingredient for heroin, and the illicit drugs trade helps fund the
Taliban insurgency, according to the UN. International efforts to cut opium
production are working in the country's northeast, in contrast to increased
cultivation in Taliban strongholds in the southwest, the UNODC said in a
report released in Tokyo. 

Afghanistan's 2007 opium harvest rose 38 percent to a record 8,200 metric
tons from 6,100 tons a year earlier, the UNODC said in a report in August.
Land cultivated to grow the drug increased by 17 percent to 193,000 hectares
(476,700 acres), it said. 

Cultivation in 2008 will be ``broadly similar'' or slightly lower, according
to today's report issued at a meeting of international donors and the Afghan
government. 

Islamic Law 

The Taliban regime, which enforced Islamic law on Afghanistan until it was
ousted by a U.S.-led coalition in 2001, banned opium production in the
country. 

The drugs trade is now a ``massive source of revenue'' for the insurgents
who tax farmers at 10 percent, Costa said. 

``Additional money is raised by running heroin labs and drug exports,'' he
added. 

Afghanistan has also become the world's biggest supplier of marijuana, with
the crop estimated at 70,000 hectares this year, the UNODC said. The drug is
exported mostly through the southern borders with Pakistan and Iran. 

The report, titled ``Afghanistan Opium Winter Rapid Assessment Survey,'' is
based on field visits and interviews across the country. Of the 469 villages
visited, 148 reported they would grow opium poppies this year. 

Almost a third of poppy-growing villages said they received cash advances
from drug traffickers before the April harvest. 

Twelve provinces will probably remain poppy-free, mainly in central and
northern regions, the UNODC said. 

Helmand Province 

Cultivation will probably be the same in southern Helmand province, where
NATO-led forces are battling the Taliban, according to the report. Last
year, Helmand accounted for 53 percent of the total harvest. 

The UN has said President Hamid Karzai's government, beset by a corrupt
justice system, is too weak to tackle the issue. 

Costa said today the country needs ``honest and functioning''
counter-narcotics and interior ministries and local governors committed to
fighting the drugs trade. 

The UNODC is trying to broker closer border cooperation between Afghanistan,
Pakistan and Iran and an intelligence- sharing center in Kazakhstan to help
cut drugs smuggling, according to the report. 

The opium trade is equivalent to about 30 percent of Afghanistan's gross
domestic product and millions of Afghans benefit directly or indirectly from
it, according to a report published yesterday by the World Bank and U.K.
government. 

It called on the international community to invest more than $2 billion over
10 years in rural Afghanistan to wean farmers from their dependence on opium
production. 

To contact the reporter on this story: Ed Johnson in Sydney at
[EMAIL PROTECTED] . 

Last Updated: February 6, 2008 01:47 EST 


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