	Background

Mexico is the primary transit country for cocaine entering the United States from South America as well as a major source country for heroin, marijuana and, more recently, methamphetamine. In our June 1995 testimony on U.S. efforts to stop the flow of drugs from cocaine producing and transit countries, we highlighted problems in such areas as changes in the U.S. drug interdiction strategy; competing foreign policy objectives at some U.S. embassies; coordination of U.S. activities; management and oversight of U.S. assets; and willingness and ability of foreign governments to combat the drug trade. 1.) Problems in Mexico Impede Efforts to Curb the Flow of Drugs

Mexico eradicated substantial amounts of marijuana and opium poppy crops in 1995 but other counternarcotics activities, including cocaine seizures and arrests of traffickers, have declined since 1992. Economic and Political Problems Limit Mexico’s Counternarcotics Efforts

Since 1992, the Mexican government has confronted several major crises that have competed with drug control activities for government resources. These essential tools, according to DEA, have been used by U.S. law enforcement agencies to successfully combat organized crime within the United States. U.S. Counternarcotics Programs in Mexico Have Declined Since 1992

Relative to the threat posed by narcotics produced in and transported through Mexico and the pivotal role Mexico plays in the success of any U.S. drug control strategy, the size of the U.S. counternarcotics effort in Mexico is extremely small. U.S. Policy Decisions Affect Drug Control Efforts in the Transit Zone and Mexico

With the November 1993 issuance of Presidential Decision Directive Number 14, the United States changed the focus of its international drug control strategy from interdicting cocaine as it moved through the transit zone of Mexico and the Caribbean to stopping cocaine in the source countries of Bolivia, Colombia, and Peru, before the drug could reach the transit zone. The strategy focused on strengthening the political commitment and institutional capability of the Mexican government, targeting major drug-trafficking organizations, and developing operational initiatives, including the interdiction of drugs. Despite the virtual absence of a U.S. counternarcotics assistance program in Mexico during the past 3 years, the United States has provided some limited training and equipment to the Mexican government. In Mexico, U.S. assistance and DEA activities have focused primarily on interdicting trafficking aircraft as they deliver their drug cargoes. However, as discussed previously, traffickers are increasingly using commercial and noncommercial maritime conveyances to move drugs into Mexico. Recent Efforts to Address Bilateral Drug Control Issues

Since our June 1995 testimony, a number of events have occurred that could affect future drug control efforts by the United States and Mexico. First, the importance of drug control issues at the U.S. Embassy in Mexico City has been elevated, and the embassy has developed a drug control plan that focuses the efforts of all U.S. agencies in Mexico on specific goals and objectives. Fourth, the United States and Mexico have created a framework for increased cooperation and the development of a joint counternarcotics strategy. U.S. officials view this as an indication that the Mexican government and its military components are committed to stopping the flow of drugs through Mexico. GAO’s Comments

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Why GAO Did This Study

Pursuant to a congressional request, GAO reviewed counternarcotics activities in Mexico, focusing on: (1) the nature of the drug-trafficking threat from Mexico; (2) Mexican government efforts to counter drug-trafficking activities; (3) the U.S. strategy and programs intended to stem the flow of illegal drugs through Mexico; and (4) recent initiatives by the United States and Mexico to increase counternarcotics activities.

What GAO Found

GAO found that: (1) Mexico continues to be a major transit point for cocaine, heroin, marijuana, and methamphetamine entering the United States; (2) drug traffickers have changed their preferred mode of transportation for moving cocaine into Mexico, decreasing the use of aircraft and increasing the use of maritime vessels, which are currently used to move an estimated two-thirds of the cocaine entering Mexico; (3) Mexico eradicated substantial amounts of marijuana and opium poppy crops in 1995; (4) however, U.S. and Mexican interdiction efforts have had little, if any, impact on the overall flow of drugs through Mexico to the United States; (5) the current Mexican government appears committed to fighting drug trafficking, but, according to U.S. officials, is hampered by pervasive corruption of key institutions, economic and political problems, and limited counternarcotics and law enforcement capabilities; (6) the current U.S. strategy in Mexico focuses on strengthening the Mexican government's political commitment and institutional capability, targeting major drug-trafficking organizations, and developing operational initiatives; (7) in late 1993, the United States revised its international cocaine strategy from focusing on intercepting drugs as they move through the transit region of Central America, Mexico, and the Caribbean to stopping cocaine at its production source in South America; (8) U.S. counternarcotics activities in Mexico and the transit zone have declined since 1992; (9) multiple-agency drug interdiction funding for the transit zone, including Mexico, declined from about $1 billion in fiscal year (FY) 1992 to about $570 million in FY 1995; (10) the U.S. assistance program in Mexico has been negligible since Mexico initiated its policy of refusing nearly all U.S. counternarcotics assistance in early 1993; (11) staffing cutbacks have limited U.S. capabilities to monitor previously funded U.S. assistance; and (12) since GAO's June 1995 testimony, several events have occurred that could greatly affect future drug control efforts by the United States and Mexico: (a) drug control issues have been elevated in importance at the U.S. embassy and a drug control operating plan with measurable goals has been developed for U.S. agencies in Mexico; (b) the Mexican government has recently signaled a willingness to develop a mutual counternarcotics assistance program; (c) the Mexican government has taken some action on important law enforcement and money laundering legislation; and (d) the United States and Mexico have created a framework for increased cooperation and are currently developing a new binational strategy.