America 's drug war in Afghanistan is failing badly , a U.S. government watchdog says in a new report . Afghan farmers are growing bumper crops of opium poppies -- an unprecedented 209,000 hectares in 2013 -- even though U.S. agencies spent $ 7.6 billion to stop narcotics production in the nation . Afghanistan is the source of 80 % of the world 's illegal opium , the U.S. government says , yielding $ 3 billion in sales in 2013 , up from $ 2 billion from the previous year . U.S. authorities say a big chunk of that money funds Afghanistan 's insurgency and terrorism . As NATO winds down its war effort in the nation , the trend would appear to bode ill . Since 2002 , the chief factors that appear to have caused temporary drops in poppy production were crop disease and high prices for wheat , an alternative crop for farmers , according to the report by the Office of the Special Inspector General for Afghanistan Reconstruction . `` The recent record-high level of poppy cultivation calls into question the long-term effectiveness and sustainability of those prior efforts , '' the report says . `` Given the severity of the opium problem and its potential to undermine U.S. objectives in Afghanistan , I strongly suggest that your departments consider the trends in opium cultivation and the effectiveness of past counternarcotics efforts when planning future initiatives . '' The report says last year 's 209,000-hectare record surpasses the previous high of 193,000 hectares of opium poppies grown in 2007 . The report relies on figures from the United Nations Office on Drugs on Crime . The report says that areas that were once models for successful counterinsurgency and counternarcotics efforts are now booming poppy producers . The report cites Nangarhar province in eastern Afghanistan , which the United Nations declared `` poppy-free '' in 2008 but saw a fourfold increase in opium poppy production between 2012 and 2013 . The inspector general sent the report to the State , Defense and Justice departments , which fund anti-drug efforts in Afghanistan . The State Department called the findings `` disappointing '' and blamed the increase in opium poppy production on shifts in the Afghan government 's own security efforts . The Pentagon asked the inspector general to remove Defense Secretary Chuck Hagel from receiving the report because the military plays a secondary role to other U.S. government agencies in thwarting drug production in Afghanistan . `` In our opinion , the failure to reduce poppy cultivation and increase eradication is due to the lack of Afghan government support for the effort , '' Michael Lumpkin , assistant secretary of defense , wrote to the inspector general . `` Poverty , corruption , the terrorism nexus to the narcotics trade , and access to alternative livelihood opportunities that provide an equal or greater profit than poppy cultivation are all contributors to the Afghan drug problem . ''
It says Afghan farmers are growing bumper crops of opium poppies . Opium brought in $ 3 billion in 2013 , and much of it funded terrorism , authorities say . The report says U.S. agencies spent $ 7.6 billion to stop nation 's narcotics production . Afghanistan is the source of 80 % of the world 's illegal opium , the U.S. government says .