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PP RUEHWEB

DE RUEHVI #3355/01 3240712
ZNR UUUUU ZZH
P 200712Z NOV 06
FM AMEMBASSY VIENNA
TO RUEHC/SECSTATE WASHDC PRIORITY 5576
INFO RUEATRS/DEPT OF TREASURY WASHDC PRIORITY
RUEABND/DEA HQS WASHINGTON DC PRIORITY
RUEAWJA/DEPT OF JUSTICE WASHDC PRIORITY
RUEHBS/USEU BRUSSELS PRIORITY
RUEAHLC/HOMELAND SECURITY CENTER WASHINGTON DC PRIORITY
RUEHUNV/USMISSION UNVIE VIENNA PRIORITY 0349

UNCLAS VIENNA 003355 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR INL, INL/AAE (J.LYLE) AND EUR/AGS (Y.SAINT-ANDRE) 
DEA FOR OILS AND OFFICE OF DIVERSION CONTROL 
DOJ FOR OIA, AFMLS, AND NDDS 
TREASURY FOR FINCEN 
 
E.O. 12958: N/A 
TAGS: SNAR PREL PGOV KCRM AU
SUBJECT: AUSTRIA: 2006-2007 INTERNATIONAL NARCOTICS CONTROL 
STRATEGY REPORT (INSCR) - PART 1 
 
REF: STATE 155088 
 
¶1.  Per reftel, Post is submitting Part I of the 2006-2007 
International Narcotics Control Strategy Report (INSCR) on 
Drugs and Chemical Control.  Post will provide updates as 
they become available.  Embassy POC for the INCSR Part I is 
Economic-Political Officer Dayna R. Robison, office phone: 
43-1-31339-2196 and email: RobisonDR(at sign)state.gov.  This 
text was also sent by email to the Department on November 17, 
¶2006. 
 
¶2.  Post emailed INCSR Part II on Financial Crimes and Money 
Laundering to the Department on November 2, 2006. 
 
---------------- 
Part I: Summary 
---------------- 
 
¶3.  Austria is a transit country for drug trafficking into 
Western Europe due to its position along the Balkan and 
other, major trans-European routes.  Foreign criminal groups 
from Turkey, the Western Balkans, Eastern Europe, West Africa 
(Nigeria), and Latin America dominate organized narcotics 
trafficking in Austria.  Trafficking by Austrian citizens 
remains insignificant.  Austria is not a drug-producing 
country.  The authorities reported a slight increase in 
indoor cannabis cultivation for personal use, but the amounts 
are low by international comparison. 
 
¶4.  Drug use in Austria increased slightly, but remains below 
the European Union average.  Austrian health experts and 
government authorities do not consider it to be a severe 
health problem.  Studies indicate that the average age of 
Austrian drug users is decreasing.  According to health and 
law enforcement officials, abuse of drug substitution 
medication (e.g. retarding morphines, methadone, and 
buprenorphine) is increasing.  The number of drug users in 
Austria is stable. Authorities estimate that there are 
between 15,000 to 20,000 drug users, or fewer than two 
addicts per 1,000 inhabitants.  The lifetime prevalence of 
drug abuse by Austrian citizens, primarily of cannabis, also 
remained stable at 20 to 25 percent. 
 
¶5.  International cooperation, particularly with U.S. law 
enforcement authorities, continued to be excellent during 
2006, and resulted in several significant domestic and 
multinational seizures.  From January through July 2006, 
Austria held the Presidency of the European Union, and made 
the fight against organized crime a central theme.  The 
Austrian Presidency hosted President Bush, U.S. Attorney 
General Alberto Gonzales, and other senior U.S. law 
enforcement officials for talks on fighting international 
organized crime and corruption.  In May 2006, Austria 
convened a workshop of international experts to discuss 
policing along the Balkan drug route.  Austria also continued 
efforts to intensify international police cooperation within 
the "Salzburg Forum," a meeting of regional interior 
ministers, and within the European Union's Central Asian 
Border Security Initiative (CABSI). 
 
¶6.  In October 2006, Austria held national parliamentary 
elections.  As of mid-November 2006, Austria was still in the 
process of forming the new government.  The country's drug 
policy experts, however, do not anticipate any major shifts 
in the government's overall drug policies or in cooperation 
with the U.S. 
 
¶7.  Austria is a party to the 1971 and 1988 UN Drug 
Conventions. 
 
--------------------------- 
Part II: Status of Country 
--------------------------- 
 
¶8.  The drug situation in Austria did not change 
significantly during 2006.  As of October 2006, the number of 
drug-related deaths*which typically fluctuates between 100 
and 150 deaths per year*totaled 191. 
 
¶9.  The number of drug deaths from mixed intoxication 
continues to rise.  The most recent statistics for 2005 show 
 
a 2.68 percent increase in the number of charges Austrian law 
enforcement authorities have filed for violation of the 
Austrian Narcotics Act, with a total of 25,892 offenses. 
This figure includes 25,041 criminal offenses involving 
narcotic drugs and 848 for psychotropic drugs, and three 
other offenses.  The number of individuals charged under the 
Austrian Narcotics Act also rose 1.38 percent to 21,335 
persons.  The Austrian Ministry of Interior investigated 164 
cases involving precursor chemicals in 2005, an increase of 
36 cases compared to 2004. 
 
¶10.  Experts estimate that the number of conventional illicit 
drug users remained stable in 2006 at 15,000 to 20,000, or 
roughly 0.25 percent of the population.  The number of users 
of MDMA (ecstasy) remained largely stable in 2005.  Usage of 
amphetamines rose during the same period as these substances 
became increasingly available in non-urban areas.  According 
to a 2005 study, which the Health Ministry commissioned, 
approximately one fifth of respondents admitted to 
consumption of an illegal substance.  The respondents most 
often cited use of cannabis, with ecstasy and amphetamines in 
second and third place.  Among young adults (ages 19-29), 
about 25 percent admitted "some experience" with cannabis at 
least once in their lifetime.  According to the study, 2-4 
percent of this age group had already used cocaine, 
amphetamines, and ecstasy, while three percent had experience 
with synthetic drugs.  Austria, as a member of the European 
Monitoring Center for Drugs and Drug Addition, undertook a 
study in 2006, which confirmed that problem drug use is 
increasing among 15 to 24 year-olds.  (Comment:  Post 
anticipates updating the above paragraph in late November or 
early December 2006, when the new figures become available 
from the Ministry of Health.  End Comment.) 
 
--------------------------------------------- -- 
Part III: Country Actions Against Drugs in 2006 
--------------------------------------------- -- 
 
¶11.  Domestic Policy Initiatives.  Austria continues its "no 
tolerance" policy against drug traffickers, who face a 
minimum sentence of ten years to a maximum sentence of life 
in prison when convicted.  It also continues its policy of 
"therapy before punishment" for non-dealing drug offenders. 
In mid-2006, Austria began drafting a series of amendments to 
introduce a more rigid system of fines for drug-related 
offenses in line with an EU framework decision to harmonize 
counternarcotics policies across the European Union. 
Following an EU Council decision on synthetic drugs (2C-I and 
related substances), in 2006, Austria also passed 
legislation, which is awaiting implementation, to bring its 
laws into conformity with UN agreements on psychotropic 
substances. 
 
¶12.  A 2005 amendment expanded police powers to mount 
surveillance cameras in high-crime public areas.  The amended 
law provides for the establishment of a "protection zone" 
around schools, pre-schools, and retirement communities, and 
entitles police to ban persons suspected of drug dealing 
within a protection zone from that area for up to 30 days. 
Austrian authorities say the new law has been effective in 
these areas.  Critics argue that the law only shifted the 
drug scene to non-surveilled areas.  In 2005, following 
intense public debate, the government improved quality 
controls and took a more restrictive approach in substitution 
treatment with retarding morphine therapy.  A November 2006 
decree by the Austrian Health Ministry is designed to further 
tighten controls on dispensing substitution medications and 
to improve training for general practioners and pharmacists, 
who prescribe and dispense this treatment. 
 
¶13.  Regional and International Cooperation.  During the 
first half of 2006, Austria held the Presidency of the 
European Union and hosted several high-profile events.  In 
May, Austria hosted over 60 heads of state for the EU-Latin 
America Summit and led discussions on finding joint 
strategies to fight drug trafficking.  Fighting organized 
crime in the Balkans and increasing regional police 
cooperation were also major themes of the EU Presidency.  In 
May, over 50 nations and international organizations, 
including the U.S., met in Vienna to sign the &Vienna 
Declaration on Security Partnership,8 which included a 
 
convention on police cooperation.  In June, Austria convened 
a three-day workshop of experts from Europe, the Western 
Balkans, Russia, the United Nations Office of Drugs and Crime 
(UNODC), and the U.S., including DEA,s Regional Director for 
Europe.  The participants discussed strategies for fighting 
drug trafficking from Afghanistan and for policing along the 
Balkan route.  In October 2006, Austria hosted a long-running 
meeting of drug trafficking experts from the EU, Central and 
Eastern Europe, and the U.S. to discuss measures to increase 
law enforcement cooperation. 
 
¶14.  Austria maintained its lead role within the EU,s 
Central Asian Border Security Initiative (CABSI) and the VICA 
(Vienna Initiative on Central Asia) project, which provide 
funding, equipment, and technical expertise to strengthen 
border security and reduce trafficking of illicit goods. 
Austria continued to address drug trafficking and related 
security issues through the &Salzburg Forum8*a recurring 
meeting of regional Interior Ministers from Austria, the 
Czech Republic, Slovakia, Poland, Hungary, and Italy. 
Austria worked with Italy on a project within the UNODC to 
reform the justice system in Afghanistan.  Austria also 
worked on another project with the EU in UNODC to establish 
border control checkpoints along the Afghan-Iranian border. 
Austria also participates in a UNODC crop monitoring and 
alternative development plan in Peru.  As in past years, the 
Austrian Interior Ministry dispatched anti-crime and drug 
trafficking liaison officers to over 20 Austrian embassies 
throughout Europe, Russia, and Ukraine, as well as in the 
Mediterranean, Morocco, Syria, and Lebanon.  (Comment.  Post 
is seeking to update information on the above-mentioned UNOCD 
programs.  End Comment.) 
 
¶15.  Law Enforcement Efforts and Accomplishments. 
Comprehensive seizure statistics for 2006 are not yet 
available.  Statistics for 2005 show a marked increase in the 
quantity of cocaine and heroin seized and a slight decrease 
in confiscations of ecstasy pills and LSD dose units, or 
"hits."  Police made nearly the same number of confiscations 
of amphetamines and methamphetamines in 2005, but the 
quantities of both drugs seize during 2005 decreased. 
According to government igures, Austian authorities seized 
820 kilograms(kg) of cannabis products (-26.39% decrease 
over2004), 282 kg of heroin ( 20.79%), 13 kg of raw opum, 
245 kg of cocaine ( 224.50%), 114,103 ecstas tablets 
(-6.98%), and 2,108 LDS dose units (-5.6%).  Police seized 9 
kg of ampheamines (-65.3%) and 0.7 kg of methamphetamines 
(-62.9%) and 27,104 pieces ( 28.3%)of pharmaceutical, 
psychotropic substances. 
 
¶16.  As part of an international investigation in January 
2005, police in Austria made a record seizure of 143 kg of 
cocaine, which originated in Peru and traveled via the U.S., 
France, and Germany before transiting Austria.  The seizure 
resulted in five arrests and disrupted a European drug 
trafficking ring.  The authorities recorded two other large 
seizures of 30 kg and 24 kg, respectively, of cocaine in 
¶2005.  Austrian police made three major heroin busts at 
customs checkpoints and weigh stations in the country in 
2005: 70 kg in February, 97 kg in July, and 68 kg in August. 
Austrian authorities seized 30,571 ecstasy pills in January, 
15,000 in March, and 10,050 in December, which the police 
determined all originated from the Netherlands. 
 
¶17.  In 2005, the Austrian Ministry of Interior investigated 
164 criminal cases involving precursor chemicals, an increase 
of 36 cases over 2004, and seized 100 grams of Category I 
precursors. 
 
¶18.  In 2006, average retail or &street prices8 of illicit 
drugs remained basically unchanged from 2005, and were as 
follows:  cannabis resin/hashish for euro 7.50 or $9.50 per 
gram; herbal cannabis/marijuana for euro 3.50 or $4.50 per 
gram; cocaine for euro 65-90 or $82-114 per gram; brown 
heroin for euro 45-70 or $57-89 per gram; white heroin for 
euro 80-90 or $101-115 per gram; amphetamines for euro 7.50 
or $9.50 per gram or euro 15-25 or $19-32 per tablet; ecstasy 
(MDMA) euro 10-15 or $13-19 per tablet, and LSD euro 30-35 or 
$38-44 per dose unit or "hit." 
 
¶19.  Corruption.  Austria has several laws in place (e.g. the 
 
Criminal Code, Criminal Procedures Code, Law on 
Responsibility of Associations for Criminal Offenses), which 
contain provisions on corruption.  In 1999, Austria became a 
party to the OECD anti-bribery convention and also abolished 
the tax deductibility of bribes and gray market payments.  A 
2006 report on corruption by the OECD confirms this and 
recommends that Austria further clarify its definition of a 
foreign bribery offense to ease investigations by tax 
authorities.  There are no corruption cases pending that 
involve bribery of foreign public officials.  The government 
has not yet prosecuted any cases, which would test the degree 
of the current law,s enforcement.  The U.S. government is 
not aware of the involvement of any high-level Austrian 
government officials in drug-related corruption.  A November 
2006 survey by the British research organization Transparency 
International ranked Austria as the eleventh least corrupt 
country out of 163 nations surveyed. 
 
¶20.  Agreements and Treaties.  An extradition treaty and a 
mutual legal assistance treaty are in force between Austria 
and the U.S.  The extradition treaty contains a caveat that 
would permit Austria to require a formal assurance prior to 
extradition to the U.S. that the death penalty would not be 
imposed or carried out.  In 2004, Austria enacted legislation 
to implement the EU council framework decision on the 
European arrest warrant and the surrender procedure between 
member states.  In 2005, the U.S. and Austria signed 
protocols to put into effect new provisions of the U.S.-EU 
Extradition and Mutual Legal Assistance Agreements.  Austria 
is a party to the 1988 UN Drug Convention, the 1961 Single 
Convention on narcotic drugs and its 1972 protocol, and the 
1971 UN Convention on Psychotropic Substances.  Vienna is the 
seat of the United Nations Office on Drugs and Crime (UNODC). 
 Austria is also a "major donor" to the UNODC, with an annual 
pledge of approximately $440,000.  Austria ratified the UN 
Convention Against Transnational Organized Crime and its 
protocol against trafficking in persons in 2004.  (Comment: 
Post is seeking to update donor figure above.  End Comment.) 
 
¶21.  Cultivation.  Production of illicit drugs in Austria was 
marginal in 2005 and 2006.  Experts noted a minor rise in the 
private, indoor growth of cannabis, but the amounts are low 
by international comparison.  Austria recorded no domestic 
cultivation of coca or opium. 
 
¶22.  Drug Flow/Transit.  Austria is not a source country for 
illicit drugs and illicit trafficking by Austrian nationals 
is negligible.  Foreign criminal groups primarily from 
Turkey, the Western Balkans, Eastern Europe, West Africa 
(Nigeria), and Latin America (Colombia) carry out organized 
drug trafficking in Austria.  Based on 2005 seizures, 
counternarcotics officials note that traffickers continued to 
rely on conventional means of transportation, such as 
trucking, for drug smuggling.  Drug traffickers are 
increasingly using Central and East European airports, 
including those in Austria. 
 
¶23.  Domestic Programs/Demand Reduction. Austrian authorities 
and the public view drug addiction as a disease rather than a 
crime.  This is reflected in liberal drug abuse legislation 
and in court decisions.  Austria held national parliamentary 
elections in October 2006.  The new government will most 
likely continue the fight against organized crime and drug 
trafficking as a major policy goal.  The government remains 
committed to measures to prevent the social marginalization 
of drug addicts.  Federal guidelines ensure minimum quality 
standards for drug treatment facilities.  The use of heroin 
for therapeutic purposes is generally not allowed.  Demand 
reduction puts emphasis on primary prevention, drug 
treatment, counseling, and so-called "harm reduction" 
measures, such as needle exchange programs.  According to 
health officials, ongoing challenges in demand reduction are 
the need for psychological care for drug victims and greater 
attention to older victims and to immigrants. 
 
¶24.  Primary prevention starts at the pre-school level and 
continues through secondary school, apprenticeship 
institutions, and out-of-school youth programs.  The 
government and local authorities routinely sponsor 
educational campaigns both within and outside of educational 
fora.  Overall, youths in danger of addiction are primary 
 
targets of new treatmnt and care policies.  Austria has 
syringe exchage programs in place for HIV prevention.  HIV 
prevalence rate among drug-related deaths slightly increased 
to 8 percent in 2004, while hepatitis prevalence rates 
declined.  Policies to work toward greater diversification in 
substitution treatment for drug addiction (using, for 
example, methadone, prolonged-action morphine, and 
buprenorphine) continued.  Although no official data is 
available, both drug policy and treatment experts in Austria 
note an increase in the abuse of substitution medications and 
an increase in the availability of these medications on the 
local black market.  Public debate continues in Austria on 
methods to further tighten controls on this medication and to 
provide training to general practioners and pharmacists, who 
prescribe or dispense this medication.  (Comment: Post is 
waiting for updated figures on HIV from the Ministry of 
Health.  End Comment.) 
 
¶25.  Austrian health officials are also looking for new 
measures to increase secondary prevention awareness, 
especially concerning re-integration of recovering addicts 
into the labor market. 
 
--------------------------------------------- 
Part IV: U.S. Policy Initiatives and Programs 
--------------------------------------------- 
 
¶26.  Bilateral Cooperation.  Cooperation between Austrian and 
U.S. authorities continued to be excellent in 2006.  Although 
Austria has no specific bilateral narcotics agreement in 
place with the U.S., several bilateral efforts exemplified 
this cooperation.  These include continuing joint DEA and BKA 
(Criminal Intelligence Service) training at the International 
Law Enforcement Academy; the drafting of a criminal asset 
sharing agreement between the U.S. and Austria; and 
continuing DEA support of BKA investigative efforts across 
Europe and in the Western Balkans to combat the flow of 
Afghan heroin.  Austrian Interior Ministry officials 
continued to consult the FBI, DEA, and Department of Homeland 
Security to gain know-how on updating criminal investigation 
structures and techniques and to share investigative 
information.  In June 2006, an FBI Special Agent Supervisor 
shared his experiences on fighting drug trafficking along the 
Balkan route with Austrian and EU law enforcement officials 
during a workshop in Vienna.  The U.S. Embassy also sponsors 
speaking tours of U.S. counternarcotics and drug treatment 
experts in Austria. 
 
¶27.  In May, the Austrian EU Presidency hosted U.S. Attorney 
 
General Alberto Gonzales and Department of Homeland Security 
Deputy Secretary Michael P. Jackson at a meeting of Justice 
and Interior Ministers from the EU and Russia.  In June, 
Austria hosted President Bush, Secretary of State Condoleezza 
Rice, and other senior U.S. officials for the U.S.-EU Summit. 
 Increasing cooperation in the fight against terrorism, 
corruption, and organized crime, including drug trafficking, 
were central themes of these meetings. 
 
¶28.  The Road Ahead. The U.S. will continue to support 
Austrian efforts, both bilaterally and within the UN and the 
OSCE, to create more effective tools for law enforcement. 
This includes working closely with Austrian authorities 
against drug trafficking rings in Austria and collaborating 
with Austria to improve border controls and security efforts 
in the Western Balkans and Central Asia.  The U.S. will 
continue to facilitate workshops or other meetings between 
U.S. and Austrian police, drug policy and treatment experts, 
and senior government officials.  The U.S. will work closely 
with Austria to implement U.S.-EU initiatives and to deepen 
the level of law enforcement cooperation gained during the 
Austria EU Presidency in the fight against drug trafficking 
and other organized crime.  Promoting a better understanding 
of U.S. drug policy among Austrian officials and the public 
remains a top priority. 
MCCAW