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Mike Pottenger does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment. The drug is being used widely by people on more moderate incomes typically relatively well-educated and employedusually in private with friends.


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Subscriber active since. Efforts to staunch the flow of cocaine in recent years have focused on the source — ripping coca plants out of the ground or dousing them with herbicide. And attacking cocaine production at the source has yielded some success at the beginning of that supply chain. InColombia, Bolivia, and Peru — the drug's three biggest producers — destroyed someacres of the crop, up from 15, in : Billions of dollars of cocaine are smuggled into the US by sea every year, and the Coast Guard says it can only stop one-quarter of it.

Production

But the drag created on the production of the cocaine that's shunted north toward the voracious US market doesn't seem to be reflected in the price of the drug on US streets in recent years. The static nature of cocaine prices can likely be explained by the hold cartels and other traffickers have over the cocaine market at its origins — specifically their ability to dictate prices to producers. Wainwright elaborated:. Wainwright explained the Walmart comparison in his book. For farmers and manufacturers, "Their complaint is that Walmart and other big chains have such a big share of the groceries market that they are able more or less to dictate terms to their suppliers.

Walmart, one of the world's biggest retailers, and the drug cartels that control the world's cocaine market are vastly different enterprises — most ificantly in that Walmart is a legal business operating in accordance with national and local regulations, while cartels are organized-crime groups operating outside the law.

Just as Walmart's suppliers can strain under the low prices that the retailer can dictate, coca farmers are caught between pressure on their crops from authorities and prices dictated by traffickers.

Cocaine prices in the us have barely moved in decades — here's how cartels distort the market

It's not hitting the cartels. It's not hitting the consumers in the States or in Europe. The people that it's really damaging are the farmers who grow this stuff. To produce a kilogram 2.

: The Coast Guard is catching more drug-running subs, but most 'very stealthy' narco subs are probably going undetected. In this January 7,photo, coca paste ready for sale sits in the kitchen of a home in the mountain region of Antioquia, Colombia.

Later, at some point along the way, the paste is made into cocaine that is eventually sold on the streets of such places as New York and Amsterdam for many thousands of dollars. The actual price paid by the street-level customer can vary based on location, purity, and other factors. But overall, "You're going from hundreds of dollars to hundreds of thousands of dollars.

That's why the profits involved in this business are just so sky-high," he added. : Colombia is trying to root out the cocaine trade, but farmers are relying on it as an 'insurance policy'. According to Wainwright, the pressure eradication efforts put on cocaine's source have little impact on the consumer.

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Price, purity of cocaine vary widely across nation : drugs: estimated ‘street values’ can differ based on the form of cocaine--rock or powder, the amount purchased and the city where it is bought.

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Authorities have been trying to crack down on the cocaine trade for decades. But those efforts have had little effect on the price of the drug. Here's how the actions of cartels and drug smugglers distort that market. Loading Something is loading.

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