Organised-Crime-in-NZ-2010-Public-Version

ILLEGAL MARKETS
Illicit drugs
Methamphetamine, precursor chemicals and clandestine laboratories
• Oceania is recognised internationally as having one of the highest amphetamine-type substance user rates
per capita in the world.
• The New Zealand methamphetamine market is estimated to be worth approximately NZ$1.2 billion per
year at street level prices.
• The recently published Tackling Methamphetamine: Action Plan aims to reduce methamphetamine use in
New Zealand and the subsequent harm it causes.
• Asian organised crime groups are a key threat due to their involvement in the importation of
methamphetamine and pseudoephedrine, as well as domestic manufacture of the drug.
• Reporting indicates domestically sourced pseudoephedrine is commonly used in clandestine laboratories.
• Organised crime group involvement is noted at every stage of the methamphetamine supply chain in
New Zealand.
Oceania is recognised internationally as having one of the highest amphetamine type substance 2 user rates in the world
‘per capita’. Methamphetamine, commonly referred to as ‘P’, is supplied to the New Zealand market via importations
and domestic manufacture. It is estimated that the methamphetamine market is worth NZ$1.2 billion per year at street
level prices and is the most significant driver of profit for organised crime in New Zealand.
The recent publication Tackling Methamphetamine:
An Action Plan 3 released by the New Zealand
Government demonstrates a commitment to
reducing methamphetamine use in New Zealand
and the subsequent harm it causes. The Action Plan
outlines the aim to implement stronger controls over
methamphetamine precursors, provide better routes
into treatment for problematic users, increase community
support, and ensure that agencies are working together to
reduce the use of, and harm associated with, the drug in
New Zealand.
The global demand for methamphetamine that
emerged in the 1990s, has driven the demand for
precursor 4 substances, namely pseudoephedrine and
ephedrine, typically used as the primary ingredients in the manufacturing process. Manufacturing methods that use
pseudoephedrine are often preferred, because it is (relatively) easily converted to make methamphetamine. China is
currently the primary source country for both pseudoephedrine and ephedrine predominantly in the form of ContacNT 5 .
ContacNT granules concealed within a bicycle frame.
New Zealand continues to be targeted by Asian organised crime groups who dominate the supply of overseas sourced
pseudoephedrine, however, these groups are also linked to importations of methamphetamine, and more recently its
domestic manufacture. It is likely their involvement in the methamphetamine market in New Zealand will continue.
2 For the purposes of this report, ATS includes amphetamine, methamphetamine and MDMA.
3 Refer link: http://www.beehive.govt.nz/sites/all/files/ActionPlan.pdf
4 Precursor substances are those used in the manufacture of illicit drugs.
5 ContacNT is a medicine widely available in China.
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