VZCZCXRO6965
RR RUEHCHI RUEHCN RUEHDT RUEHGH RUEHHM RUEHNH RUEHVC
DE RUEHHK #2025/01 3070908
ZNR UUUUU ZZH
R 030908Z NOV 09
FM AMCONSUL HONG KONG
TO RUEHC/SECSTATE WASHDC 8861
INFO RUCNASE/ASEAN MEMBER COLLECTIVE
RUEHOO/CHINA POSTS COLLECTIVE

UNCLAS SECTION 01 OF 04 HONG KONG 002025 
 
SIPDIS 
 
STATE FOR EAP/CM 
STATE ALSO FOR INL/AEE FOR JOHN LYLE 
 
E.O. 12958: N/A 
TAGS: SNAR HK
SUBJECT: HONG KONG 2009-2010 INTERNATIONAL NARCOTICS CONTROL 
STRATEGY REPORT (INCSR) PART I, DRUG AND CHEMICAL CONTROL 
 
¶1. Summary: The Hong Kong Special Administrative Region (HKSAR) is 
not a major transshipment point for illicit drugs destined for the 
international market. Some narcotics shipments do transit Hong 
Kong's high volume port, but its efficient law enforcement efforts, 
the availability of alternate routes, and the development of port 
facilities elsewhere in southern China prevent the HKSAR from 
becoming a major transshipment point. Some traffickers continue to 
operate out of Hong Kong, arranging shipments from nearby 
drug-producing countries via Hong Kong to other international 
markets, including to the United States. The HKSAR Government 
actively combats drug trafficking and abuse through legislation and 
law enforcement, preventive education and publicity, treatment and 
rehabilitation, as well as research and external cooperation. The 
1988 UN Drug Convention, to which the People's Republic of China 
(PRC) is a party, also applies to Hong Kong. 
 
¶2. Status: Hong Kong's position as a key port city in close 
proximity to the Golden Triangle and mainland China historically 
made it a natural transit/transshipment point for drugs moving from 
Southeast Asia to the international market, including to the United 
States. In recent years, Hong Kong's role as a drug transshipment 
point has diminished due to law enforcement efforts and the 
availability of alternate routes in southern China. Despite this 
diminished role, some drugs continue to transit Hong Kong to other 
international markets. Some drug traffickers continue to use Hong 
Kong as their financial base of operations, including investors 
involved in international drug trafficking activity who reside in 
Hong Kong. Drug trafficking groups operating in Hong Kong are 
primarily transnational in nature. 
 
Hong Kong law enforcement officials maintain very cooperative 
liaison relationships with their U.S. counterparts in the fight 
against drugs. According to HKSAR authorities, drugs seized in Hong 
Kong are smuggled mostly for local consumption and to a lesser 
extent for further distribution in the international market. 
Statistics released by the Hong Kong Central Registry of Drug Abuse 
(HKCRDA) for 2008 indicate the number of reported drug abusers 
declined from 14,115 in 2005 to 13,252 in 2006.  In 2007 this figure 
increased slightly to 13,591, whereas 2008 saw a marked increase to 
14,175.   Newly-reported drug users age 30 and under account for the 
largest increases since 2007. 
 
Though heroin was once the most commonly abused drug in Hong Kong, 
the number of heroin abusers continued its steady decline in 2008 
with 7,243 heroin abusers reported, compared to the 7,419 reported 
in 2007.  For the second year in a row, HKCRDA also reported a 
larger number of psychotropic substance abusers than heroin abusers. 
 In 2008, 8,306 psychotropic abusers were reported, an increase from 
the 7,908 psychotropic abusers reported in 2007. Ketamine is the 
most commonly abused psychotropic substance with over 5,000 abusers, 
approximately 1,000 more since 2007. Triazolam/midazolam/zopiclone, 
methamphetamine, MDMA, cannabis, cocaine, and cough medicine are 
also regularly abused. 
 
In 2009, the Hong Kong Government continued its efforts to combat 
psychotropic substance abuse, particularly among Hong Kong's youth. 
Beginning in December 2009, approximately 22,000 students in 23 Hong 
Kong secondary schools will take part in a voluntary drug testing 
pilot program through the remainder of school year 2009/2010. 
Although public opposition to student drug testing on grounds of 
privacy concerns initially stalled this project, the Hong Kong 
Government stepped up its drug prevention public outreach against a 
backdrop of widely reported psychotropic substance abuse cases 
involving children. The goals of the school drug testing pilot 
program are to deter youth substance abuse, to facilitate early 
intervention for identified abusers, and to gain empirical data 
applicable to further substance abuse prevention programs. 
 
¶3. Actions Against Drugs in 2009 
Policy Initiatives: The Hong Kong Government continued to employ 
existing counternarcotics policies and strategies in drug prevention 
efforts. As previously discussed, the formerly stalled plan for 
voluntary drug testing in Hong Kong schools is moving forward with a 
pilot program commencing December 2009, despite some public 
opposition. 
 
Law Enforcement Efforts: Hong Kong's law enforcement agencies, 
including the Hong Kong Police and Hong Kong Customs and Excise 
Department (HKCE), place high priority on meeting the objectives of 
the 1988 UN Drug Convention. Their counternarcotics efforts focus on 
the suppression of drug trafficking and the control of precursor 
chemicals. The Hong Kong Police have adopted a three-level approach 
to combat narcotics distribution: headquarters level focus is on 
high-level traffickers and international trafficking; the regional 
police force focuses on trafficking across police district 
boundaries; and the district-level police force has responsibility 
for eradicating street-level distribution. 
 
 
HONG KONG 00002025  002 OF 004 
 
 
The HKCE's Chemical Control Group, in cooperation with the U.S. Drug 
Enforcement Administration (DEA) office in Hong Kong, continues to 
closely monitor the usage of precursor chemicals and tracks the 
export of suspicious precursor chemical shipments to worldwide 
destinations with significant results impacting on several regions, 
including the United States. 
 
Corruption: The Government of Hong Kong SAR does not encourage or 
facilitate illicit production or distribution of narcotic or 
psychotropic drugs or other controlled substances, or the laundering 
of proceeds from illegal drug transactions. No senior government 
official is alleged to have participated in such activities. Hong 
Kong has a comprehensive anticorruption ordinance that is 
effectively enforced by the Independent Commission Against 
Corruption (ICAC), which reports directly to the Chief Executive. In 
addition, the UN Convention Against Corruption, which the PRC 
ratified on January 13, 2006, is applicable to Hong Kong. 
 
Agreements and Treaties/International Cooperation: Upon resuming the 
exercise of sovereignty over Hong Kong, the PRC advised the UN 
Secretary General that the 1961 Single Convention, as amended by the 
1972 Protocol, the 1971 Convention on Psychotropic Substances, and 
the 1988 UN Drug Convention apply to Hong Kong. The UN Convention 
against Transnational Organized Crime and the UN Convention against 
Corruption also apply to Hong Kong. Hong Kong has Mutual Legal 
Assistance in Criminal Matters Agreements (MLAA) with the United 
States and many other countries. Hong Kong currently has signed 
Surrender of Fugitive Offenders Agreements with Australia, Canada, 
Finland, Germany, India, Indonesia, Ireland, Korea, Malaysia, the 
Netherlands, New Zealand, Philippines, Portugal, Singapore, Sri 
Lanka, the United Kingdom, and the United States.  Hong Kong has 
also signed Transfer of Sentenced Persons Agreements with eight 
countries, including the United States.  Hong Kong law enforcement 
agencies enjoy a close and cooperative working relationship with 
their mainland counterparts and those in many other countries. 
 
Hong Kong participates in Project Prism and Operation Cohesion, both 
managed by the International Narcotics Control Board, to control the 
illegal diversion of chemical precursors. Hong Kong also 
participates in joint tracking programs, which allow HKCE and the 
U.S. DEA to target the movement of precursor chemical shipments 
exported from, transshipped or transiting via Hong Kong to high-risk 
countries. In addition to the monitoring of controlled chemical 
precursors, Hong Kong monitors the movement of ephedra, a raw 
material for the manufacture of ephedrine. 
 
Cultivation and Production: Hong Kong is generally not considered a 
significant producer of illicit drugs.  However, Hong Kong law 
enforcement authorities dismantled an indoor cannabis cultivation 
operation and six small-scale crack cocaine production labs in 2009. 
 
 
Drug Flow/Transit: Some drugs continue to transit Hong Kong for 
destinations in overseas markets, including Australia, China, Japan, 
Taiwan, Europe, and the United States. In September 2009, HKCE 
officials seized two DHL packages destined for Sacramento, 
California, containing approximately 46 kilograms of opium concealed 
in wooden carvings and drums. On July 2009, Hong Kong law 
enforcement officials were alerted to a shipment of 196 one-kilogram 
bags of sugar and rice originated in India and destined for Taiwan, 
seizing a one-kilogram bag of ketamine.  Cocaine, amphetamine-type 
stimulants (ATS; such as methamphetamine and MDMA), and ketamine 
continue to be smuggled into Hong Kong. Although local cocaine 
consumption is often sourced out of Southern China (Guangdong 
Province), cocaine was transported directly into Hong Kong from 
locations other than mainland China during 2009. In August 2009, 
HKCE arrested at the Hong Kong International Airport an arriving 
passenger possessing approximately six kilograms of cocaine hidden 
within checked luggage clothing articles. The suspect had traveled 
to Hong Kong from Lima, Peru, by way of Sao Paulo, Brazil and 
Johannesburg, South Africa.  On another occasion, a female courier 
was arrested at Sao Paulo, Brazil's Guarulhos International Airport 
also bound for Hong Kong with approximately 3.87 kilograms of 
cocaine concealed in shampoo bottles.  The female courier's 
itinerary was: Lima, Peru; Sao Paulo, Brazil; Amsterdam, the 
Netherlands; Hong Kong. 
 
The heavy volume of vehicle and passenger traffic at the land 
boundary between mainland China and Hong Kong poses difficulties in 
the fight against the trafficking of drugs into and out of Hong 
Kong. In an effort to curb Hong Kong's role as a 
transit/transshipment point for illicit drugs, the HKSAR maintains a 
database of information on all cargo, cross-border vehicles, and 
shipping. The air cargo clearance system, the land border system, 
and the customs control system are all capable of quickly processing 
information on all import and export cargoes, cross-border vehicles 
and vessels. The local Chinese population dominates the Hong Kong 
drug trade. Contrary to common belief, a significant and direct 
 
HONG KONG 00002025  003 OF 004 
 
 
connection between Hong Kong narcotics activity and Hong Kong triads 
at the wholesale and manufacturing level does not exist. Therefore, 
drug investigations are not focused on known triad societies, but 
rather on the particular trafficking syndicates or individuals 
involved. Trafficking destined for mainland China by Southeast 
Asians remains prominent. 
 
Domestic Programs/Demand Reduction: The Hong Kong Government uses a 
five-pronged approach to confront domestic drug problems, including 
legislation and law enforcement, preventive education and publicity, 
treatment and rehabilitation, research, and external cooperation. In 
2009, the Hong Kong Government's preventative education policy 
efforts continued to focus on youth and parents. The Hong Kong 
Government provides a comprehensive drug prevention program 
throughout Hong Kong's education system. 
 
In 2009, the Hong Kong Narcotics Division continued efforts to 
educate Hong Kong adolescents about the detrimental effects of 
commonly abused drugs by using public interest announcements through 
TV and radio broadcasts, short internet films, and wide 
dissemination of posters and printed materials. The Narcotics 
Division also partners with youth organizations and groups such as 
Junior Police Call, the Hong Kong Red Cross, and the Scout 
Association of Hong Kong to promote its youth anti-drug message. The 
Hong Kong Government continued its comprehensive public awareness 
campaign to educate the public about the harmful effects of ketamine 
and ecstasy, the two most commonly abused drugs among youth. 
 
Since June 2004, the Hong Kong Narcotics Division has also 
disseminated its anti-drug message through multimedia exhibits at 
the Hong Kong Jockey Club Charities Trust-funded Drug Information 
Centre (DIC). The Government also continued to commission 
nongovernmental organizations to assist in educating primary and 
secondary school children by sponsoring counternarcotics education 
programs in local schools and conducting counternarcotics seminars 
with parents, teachers, social workers and persons from various 
uniformed groups. 
 
The Hong Kong Government continued to implement its comprehensive 
drug treatment and rehabilitation program in 2009. The Government's 
fifth Three-year Plan on Drug Treatment and Rehabilitation Services, 
released in April 2009, sets out the overall direction for enhancing 
Hong Kong's treatment and rehabilitation services and increases 
focus on early intervention efforts and programs that reach out to 
substance abusers. The Department of Health and the Social Welfare 
Department operate seven residential drug treatment centers and 
several counseling centers for psychotropic substance abusers. The 
Correctional Services Department continued to provide compulsory 
treatment for convicted persons with drug abuse problems. While 
these programs are welcomed in principle, Hong Kong residents are 
averse to having treatment and rehabilitation programs in their 
neighborhoods. 
 
¶4. U.S. Policy Initiatives and Programs 
Bilateral Cooperation: The U.S. Government and the HKSAR continue to 
promote sharing of proceeds from joint counternarcotics 
investigations. In May 2003, Hong Kong began participating in the 
U.S. Container Security Initiative (CSI), which U.S. law enforcement 
believes increases the potential for identifying shipments of 
narcotics, even though its focus is on terrorism and weapons of mass 
destruction. Hong Kong is also an active participant in the 
International Law Enforcement Academy (ILEA) in Bangkok, Thailand. 
From 2003 to October 2005, HKCE, Hong Kong Department of Health, and 
the U.S. DEA launched a joint operation to monitor the movement of 
precursor chemicals used in the production of methamphetamine and 
other drugs from Hong Kong to high-risk countries. The operation 
effectively decreased the frequency of these shipments and, through 
the high level of information exchange and timely international 
tracking, was indicative of the strong cooperation between Hong Kong 
Government officials and their U.S. counterparts. 
 
To further strengthen international cooperation against illicit drug 
precursor trafficking, Hong Kong secured an agreement with the U.S., 
Mexico and Panama to impose stringent shipment controls in April 
¶2005. Since the agreement's implementation, no large-scale shipments 
of such products to Mexico or other high-risk countries have been 
detected. Another cooperative chemical initiative was implemented in 
February 2006 between the Hong Kong Government and the U.S. DEA to 
monitor and track precursor chemical shipments sourced from 
countries or territories in Asia, which transit through Hong Kong, 
and are destined for high-risk countries. 
 
The Road Ahead: The Hong Kong Government continues to be a valuable 
partner in the fight against drug trafficking and abuse. Hong Kong 
law enforcement agencies, among the most effective in the region, 
continue to cooperate closely with U.S. counterparts. The U.S. 
Government will continue to encourage Hong Kong to maintain its 
active role in counternarcotics efforts. 
 
HONG KONG 00002025  004 OF 004 
 
 
 
MARUT