UNCLAS SECTION 01 OF 02 BELGRADE 001916

SIPDIS

INL FOR J LYLE, EUR/SCE FOR D SCHROEDER
SIPDIS

E.O. 12958:N/A
TAGS: SNAR MW
SUBJECT: Serbia: 2006-2007 International Narcotics Control Strategy
Report (INCSR) Part I: Drugs and Chemical Control


I. Summary

Organized crime groups use Serbia, a center point on the Balkan
smuggling route, as a transit point for the transfer of heroin,
cocaine, marijuana and other synthetic drugs. A small portion of
smuggled narcotics remain in Serbia for domestic consumption. As the
legal successor to the state union of Serbia and Montenegro, Serbia
is party to the 1988 UN Drug Convention. Serbia is developing and
enacting new laws and law enforcement initiatives, including the
National Strategy for the Fight Against Drugs, but a weak legal
infrastructure and endemic corruption will make the fight against
narcotics and drug smuggling a long process.

II. Status of Country

Serbia is primarily used as a transit country for the movement of
narcotics, but the ability of organized crime groups to exploit the
porous borders and weak infrastructure threatens political stability
and economic development of this developing country. The Ministry of
Interior notes that the Sandzak portion of Serbia, with its capital
of Novi Pazar, is most problematic because of its geographical
position near the Montenegrin and Kosovo border on the smuggling
route and the storage of large quantities of drugs in the region.
The Serbian government estimates that a small proportion of
narcotics--heroin is the most prevalent--remain in country for
domestic consumption.

III. Country Actions Against Drugs in 2006

Policy Initiatives. Articles 246 and 247 of the General Crime law
regulate countermeasures against drug crimes in Serbia, both for
production, trafficking and usage of narcotics. A newly implemented
law on Chemical Substance and Production for synthetic drugs, based
on European standards, requires the Ministry of Health to monitor
the substances acquired and used by foreign and domestic companies
operating in Serbia. The law also allows the Ministry of Interior to
get approval from the Ministry of Health to investigate certain
companies or individuals in possession of chemical substances. A new
law on criminal procedures has also been completed that stipulates
that narcotics seized should be destroyed except for a small sample
to be used in court, instead of stored in often less than secure
warehouses by the Ministry of Interior or the Ministry of Justice.

Serbia in the meantime is continuing to establish and promote
relations with neighboring countries, including Bulgaria, Romania,
Croatia, Hungary and Bosnia and Herzegovina on the transport of
narcotics across their common borders.

Law Enforcement Efforts. The Drug Unit in the Ministry of Interior
is the central unit that polices narcotics smuggling and usage of
heroin, cocaine, marijuana, and synthetic drugs throughout the
entire territory of Serbia. The Drug unit is responsible for
coordinating cooperation and information exchanges with smaller
police units located throughout Serbia as well as with Customs
officials, the Ministry of Justice and Interpol. The Drug Unit is
currently trying to create one database with all narcotics-related
crimes, arrests and seizures, but a shortage of financial and
technological assistance is hampering its implementation. Officers
in the Ministry of Interior participate in workshops organized by
the OSCE and other international organizations and intends on
continuing training exercises with regional neighbors, including
Bulgaria and Romania. The Ministry hopes to have these officers who
are trained in combating narcotic-related crimes train their fellow
officers in the police force and drug unit. The Drug Unit reports
that so far in 2006 they have seized around 6.5 kilograms of
cocaine, 150 kilograms of heroin, 5 kilograms of hash and 989 grams
of Marijuana. This data excludes any information from local police
branches. The unit estimates that by the end of 2006, they will
probably seize around 1/2 ton of heroin and more marijuana. The
Customs Administration of Serbia reports that year to date, they
have seized 228 kilograms of heroin, 36 kilograms of ephedrin, 18
kilograms of ecstasy, and fractional quantities of cocaine HCL,
hashish and marijuana.

Corruption. Corruption is endemic in Serbia and is prevalent
throughout the legal infrastructure of the country. The Serbian
government does attempt to prosecute instances of corruption, but
because it is so accepted by society, is often hard to identify.
There are no reports that senior government officials engage in,
encourage, or facilitate the production and distribution of narcotic
and psychotropic drugs and there is also no evidence that Serbia, as
a matter of government policy, encourages or facilitates illicit
production or distribution of narcotic or psychotropic drugs or
actively launder proceeds from illegal drug transactions.

Agreements and Treaties. Serbia became the legal successor state to
the state union of Serbia and Montenegro on June 3, 2006 and
therefore all treaties continue in force, including the 1988 UN Drug
Convention, which was signed on March 12, 2001. Serbia currently has

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a bilateral agreement with Romania for the training of Serbian
officers, and has cooperation agreements with Slovenia, Croatia and
Bosnia and Herzegovina on border control issues meant to stop
cross-border narcotics transfers.

Drug Flow/Transit. Serbia is located in the center of the smuggling
and transit route along the Balkan road. Heroin is smuggled from
Turkey and moves through Bulgaria into Serbia and then onward into
Western Europe. Small amounts of heroin stay in the country, but
Serbia mostly serves as a transit point. Cocaine usually comes from
South America into Serbia via Spain, Italy and Greece, while
synthetic drugs typically originate in the Netherlands and are
generally used for trading for other narcotics, including heroin.

Domestic Programs (Demand Reduction). Experts from the Belgrade
Institute on Drug Abuse estimates that there are currently
60,000-80,000 drug users in Serbia. A task force of government
ministries, including the Ministry of Health, the Ministry of
Interior the Ministry of Justice and the Ministry of Education and
Sport is developing a National Strategy for the Fight Against Drugs,
which incorporates anti-narcotics programs used by neighboring
countries, and adheres to EU-regulated standards.

IV. U.S. Policy Initiatives

The Serbian Government works closely with the United States and EU
countries in reforming and improving its law enforcement and
judicial capacity. The United States has provided extensive
technical assistance, equipment donations and training to the
police, customs services, and judiciary. Several U.S. Departments
have programs that directly or indirectly support counter-narcotics
activities in Serbia, including the Department of Justice (ICITAP),
Department of Homeland Security, Department of Defense, Department
of the Treasury, and Department of State. The Department of Justice
has also been instrumental in supporting the new Organized Crime
Court. The Department of Justice has also been instrumental in
supporting the new Special Court for Organized Crime and War Crimes.
The programs are aimed at professionalizing the police and customs
services, improving the ability of Serbia to prosecute corruption
and organized crime, including money laundering and illicit
trafficking, and increasing the ability of the judiciary to
effectively address serious crime.

POLT