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U.S. Department of State
1996 International Narcotics Control Strategy Report, March 1997

United States Department of State

Bureau for International Narcotics and Law Enforcement Affairs


HUNGARY

I. Summary

Hungary is an important transit country for illicit drug smuggling to Western Europe. Drug seizures leveled off after increasing dramatically earlier in the decade. However, Government of Hungary (GOH) officials are concerned that although domestic drug use has not reached West European levels, there is a steady increase in domestic consumption of illegal drugs overall, and a sharp increase in the use of amphetamines and psychotropic substances, particularly ecstasy and LSD. The GOH developed a National Drug Policy and is currently reviewing demand reduction programs in the US and European Union. In February 1996, the Hungarian Parliament ratified the 1988 UN Convention. The GOH plans to exchange instruments of ratification for the recently signed Mutual Legal Assistance Treat (MLAT) and Extradition Treaty, both of which were ratified by the US in January 1997.

II. Status of Country

Hungary is an important conduit for drug traffickers smuggling heroin from Southwest Asia to Western Europe. This role reflects a shift in smuggling patterns from the former Yugoslavia in response to continued instability in the Balkans. Seizures of heroin dropped to 319 kgs in 1996. Cocaine seizures at Budapest's Ferihegy airport totalled 5 kgs in 1996. Nigerian traffickers are believed to be using Hungary as a transit point for drugs.

Although GOH officials believe that most of the drugs entering Hungary are destined for transit and consumption in the more lucrative Western European markets, there is evidence of a worsening domestic drug problem. Use of the designer drug ecstasy, LSD and marijuana increased in the last year. Some Hungarian officials believe that the use of cocaine and heroin has declined due to the high retail costs of these drugs. Domestic production of marijuana is a minor problem.

According to GOH officials, despite its well-developed chemical industry, Hungary is not a significant source of precursor and essential chemicals. The GOH has begun to establish a regulatory regime to control trade of precursor/essential chemicals.

Hungary is also vulnerable to money laundering by drug traffickers. Although money laundering was made a crime in Hungary in 1994, it is difficult for authorities to determine its extent because of poor controls in the banking system.

III. Country Actions Against Drugs in 1996

Policy Initiatives. Hungary is taking steps to develop a more effective national drug policy. In February 1996, Hungary ratified the 1988 UN Convention and passed legislation to further harmonize Hungarian narcotics efforts with the European Union and individual European countries. GOH narcotics policy is coordinated by the Inter-ministerial Drug Committee (IDC) through the Ministry of Welfare. The IDC policy developed in 1995 focuses on establishing controls over precursor chemicals, developing effective drug treatment programs, and combatting money laundering and drug trafficking. The IDC manages the Hungarian demand reduction program, which focus on drug treatment programs.

Corruption. While the GOH does not have specific laws to address narcotics-related corruption, there is little evidence that it is currently a significant problem in Hungary. Moreover, the USG is unaware of cases of narcotics-related corruption.

Agreements and Treaties. As noted, the GOH ratified the 1988 UN Convention in February 1996. Hungary is also a party to the 1961 UN Single Convention as amended by the 1972 Protocol, and the 1971 UN Convention on Psychotropic Substances. The USG and GOH are exchanging instruments of ratification for the Mutual Legal Assistance and Extradition treaties in 1997.
There is also a US-Hungary customs agreements which has been in force since 1993.

Cultivation/Production. There is relatively small-scale illicit cultivation of low-grade marijuana, and legal cultivation of opium poppy (approximately 5,500 hectares of licensed farms) in Hungary. The GOH made no significant eradication efforts in 1996. Hungarian authorities believe that amphetamines, ecstasy, and LSD are produced in limited amounts for sale in domestic markets.

IV. US Policy Initiatives and Programs

Policy Initiatives. USG policy in Hungary focused on supporting Hungarian counternarcotics efforts through training and cooperation. The USG worked closely with the GOH to develop and finance the International Law Enforcement Academy (ILEA), which opened in Budapest in 1995. The curriculum includes a significant component on counternarcotics. In 1996, 65 Hungarians were trained at ILEA. INL also provided a community demand reduction assistance program.

The Road Ahead. The US will encourage Hungary to expand its drug control activities and to implement the 1988 UN Convention. The USG will also encourage support for law enforcement and demand reduction assistance for the GOH, primarily from Western European nations which are most directly affected by the drug problems in this region. In 1997, the US will provide limited law enforcement equipment and other antidrug-related assistance to Hungary.

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