Document Number (FOIA) /ESDN (CREST):
CIA-RDP86T00608R000600050026-4
Body:
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20 February 1975
MEMORANDUM FOR:
THROUGH
SUBJECT
DDI/CINM
Chief, China Division
Transmittal of Briefing Paper titled:
"The Narcotics Situation in the Golden
Triangle in 1974"
1. The attached Paper highlights the significant
changes which took place in the narcotics traffic within
the Golden Triangle in 1974 and a brief outlook for 1975.
2. This Paper is in response to a request from
Mr. William Gallagher, EA/RA/Department of State, Executive
Secretary, East Asia Drug Control Coordinator, to be used
in a briefing handbook at a meeting of narcotics
coordinators from US Missions in Southeast Asia in Bangkok
during March 1975.
3. Mr. Gallagher has requested that this Paper
be submitted to him by COB 24 February 1975 if at all
possible.
4. Any questions or comments should ted
to the author,
Orig & 1 - DDI/CINM
1 - DD/OER, D/OER
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(20 Feb 1975)
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The Narcotics Situation in the Golden Triangle
in 1974
Summary
1. Rising demand, risks of interdiction, and inflationary
pressures contributed to a steady rise in the price of
most narcotics throughout the Golden Triangle in 1974.
Nevertheless, the traffic continued to flourish and the
region remains a large supplier of finished narcotics
for the international market. Prospects for 1975 indicate an
expansion in the area devoted to raw opium cultivation
in both Burma and Thailand and possibilities of a
bumper harvest.
2. A reduction in opium output and continued Burmese
and Thai anti-narcotics operations resulted in a decrease
in the movement of raw opium to the tri-border area
during the year. Caravans have been reduced in size
necessitating more frequent trips to the border areas.
Greater use has been made of porters and motor vehicles
in place of animal transport. The routing of the larger
caravans has shifted to the western portions of the region.
High prices for narcotics throughout the Golden Triangle
have encouraged an influx of private merchants into the
traffic. These businessmen predominated in the movement
of raw opium to the tri-border area during 1974.
Nevertheless, the major insurgent and irregular armies in the
area such as the Chinese Irregular Forces (CIF), the former
Burmese Self Defense Forces (KKY), the Kachin Independence
Army (KIA) and others still maintain considerable control
over the traffic in the region. The CIF was by far
the dominant trafficking organization in the Golden Triangle
in 1974. In addition to these organizations, the
involvement in 1974 of the Burmese Communist Party (BCP)
in the sales and marketing of opium through their own
as well as traditional channels added a new dimension
to the trade and further complicated Burmese enforcement
efforts.
3. Increased shipments of pitzu and morphine base
produced in refineries located in remote areas of northeast
Burma during 1974 appeared to have offset the decline
in raw opium shipments to the border and enhanced the
ability of traffickers to avoid Burmese interdiction
efforts. In addition to the morphine base refineries
concentrated in the Northern Shan State of Burma, there
has been a considerable expansion in the number of
heroin refineries located along the Burmese-Thailand
border.
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"Golden Triangle"
Poppy Growing Areas '
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4. There appears to have been a major shift in
the movement of finished narcotics through Thailand into
the international market during 1974. Increased use of
routes down the Thai peninsula to Malaysia and Singapore
have been noted. New routes through this area have also
been observed to terminals for sea deliveries of narcotics
to Malaysia, South Vientam, the Philippines and Hong Kong.
Recent seizures No. 3 heroin in Europe appear to
support a greater use of this connection through Malaysia
and Singapore.
Raw Opium Production
5. The raw opium harvest in the Golden Triangle may
have declined by as much as 100 tons below the level of
1973 because of unfavorable climatic conditions in major
Burmese and North Thailand growing areas. Opium production
losses, however, were believed to have been partially offset
by the increased availability of opium grown in the BCP-
controlled areas east of the Salween River. Total output in
Burma was probably close to 400 tons.
6. Opium production in North Thailand was also affected
by severe cold weather during early 1974 which resulted in
reduced yields in most of the tribal-growing areas. These
unseasonable frosts apparently did greater damage to
the experimental crops which had been planted under
United Nations programs as a replacement for opium poppies
than to the poppies themselves. Estimates of Thai
opium production have historically been given as 150
to 200 tons annually. However, there appears to be evidence
that these estimates are too high. Recent surveys of
opium poppy acreage and output in some of the major Thai
producing areas indicates that annual output may be
less than 100 tons.
7. Raw opium production in Laos may have been affected
by the cold front which seriously damaged crops in
Burma and Thailand. In any event, Laotian production
probably does not exceed 30 tons and is barely sufficient
to meet local demand.
Changing Traffic Patterns
8. Operations by the Burmese Army against narcotics
traffickers continued during 1974. Several successful
interdictions of large caravans were reported and
narcotics seizures increased significantly. Organizations
such as the Chinese Irregular Forces (CIF),
ex-Burmese Self Defense Forces (KKY), Kachin Independent
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Army (KIA), etc,,, were compelled to adopt new operating
procedures and routes to the Burma-Thailand border. The
size of caravans were reduced and greater use was made of
small groups of pack animals, and/or porters. As a result,
the average size of individual opium shipments was about
one ton as compared to three tons in 1973.
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Raw Opium Traffic and Marketing
11. Raw opium shipments to the tri-border area through
November 1974 totalled over 200 tons or about 100 and 300
tons respectively below the levels of 1973 and 1977_
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