Even After the 'Tax,' High Profits Remain... Korea Emerges as a Premium Market [ChwiYakGukga]②

■ Chapter 1. Drugs Have Swept Through Our Society


Drugs Costing Only a Few Thousand Won in Southeast Asia Sell for Hundreds of Thousands in Korea

Rising Economic Power and Robust IT Infrastructure... Korea Becomes a Final Consumer Market

National Reputation Exploited... Concerns Over Emergence as a 'Distribution Hub'

There are growing concerns that South Korea has emerged as a "premium market" that guarantees high profits for global drug cartels. This is because drugs imported at low prices from Southeast Asia can yield profits dozens of times higher once they enter Korea. Increasingly, criminal organizations are exploiting South Korea’s high national credibility by using ports and other facilities as intermediate points in drug distribution. Experts say that international cooperation must be further strengthened in order to reduce drug-related crime.

According to interviews on May 18 with drug traffickers and law enforcement authorities, the price gap experienced in the actual drug distribution market is staggering. Drugs produced in Southeast Asia at a cost of just a few thousand to tens of thousands of won per gram can command prices of several hundred thousand won as soon as they cross the border. The most common drug, methamphetamine, sells for 500,000 won per gram, while cocaine goes for over 400,000 won. LSD, a highly potent hallucinogen effective in extremely small amounts, is sold at 100,000 won per dose (called 1 tab, which is 100 micrograms; 1 microgram = one millionth of a gram). When converted to a per-gram basis, this amounts to as much as 1 billion won per gram.

How Did 'Drug-Free' South Korea Become a Target?

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The United Nations Office on Drugs and Crime (UNODC) also identifies South Korea as one of the most profitable markets. According to UNODC’s compilation of wholesale and retail drug prices, based on data submitted by governments, the retail price of methamphetamine in Southeast Asian countries is about $10 (approximately 14,000 won) per gram. In Western countries such as the US and Europe, where drug trafficking is widespread, the price is around $40 (about 60,000 won). In Korea, it is nearly ten times higher.

The sharp spike in drug prices in Korea is attributed to "purity" and a "premium." A former drug trafficker explained, "Many of the drugs entering Korea are high-purity products from the Golden Triangle region (the border area of Thailand, Myanmar, and Laos). Because Korea is essentially an island, all shipments must pass through air or sea customs, so the risk of detection means higher fees for couriers."

South Korea has maintained a strict stance against drug-related crimes, which means the risks associated with smuggling are significant. As crackdowns by customs and other agencies have intensified, smuggling methods such as international mail (EMS) and human couriers are increasingly being detected. However, among drug traffickers, these risks and costs are sometimes referred to as a "tax." Despite the risks, the profits they can make once the drugs enter Korea are still substantial.

South Korea’s growing affluence is another factor. Professor Kwak Daekyung of Dongguk University’s College of Police and Criminal Justice commented, "South Korea’s share in the global drug market is rising, and the increase in national income may be a contributing factor. There are now more consumers with the economic means to purchase drugs, and the risk premium attached to trafficking makes Korea an attractive premium market for criminal organizations."

Korea’s convenient IT infrastructure is also providing new tools for criminal organizations. Since the COVID-19 pandemic, drug crimes in Korea have surged, centered around non-face-to-face distribution channels such as Telegram, the dark web, and virtual assets. The widespread use of social networking services (SNS) and active trading of virtual assets mean that criminal organizations now have more ways to evade law enforcement tracking.

Authorities Monitor Potential Rise as a 'Major Distribution Hub'

Cargo is piled up on a container ship docked at Busan Port. Photo by Jin-Hyung Kang

Law enforcement agencies are concerned that Korea could even develop into a "major hub." The idea is to leverage Korea’s reputation for being sensitive to drug crime, and use its national credibility to facilitate distribution to third countries. Criminals take advantage of the fact that inspections of aircraft and ships passing through Korea are relatively relaxed.

In the case of ports, loopholes in the transshipment system are exploited. Major targets include Busan Port, one of the world’s leading logistics hubs. A private security expert explained, "If cargo goes directly from a drug-producing country to its destination, a 'red flag' warning is raised. But if it passes through Korea, the origin of the goods can be laundered as coming from a safe country."

Jung Heesun, distinguished professor at Sungkyunkwan University’s Department of Forensic Science and former director of the National Forensic Service and UNODC advisory board member, stated, "There is indeed a trend of using Korea as a transit point in drug distribution. Other countries exploit the perception that 'Korea enforces strict controls, so anything coming from there must be safe.'"

Kim Daekyu, special professor of police administration at Youngsan University (former head of the Drug Crime Investigation Unit at Gyeongnam Provincial Police Agency), who investigated Park Wangyeol (47), known as the "Telegram Worldwide" distributor, also pointed out, "About 70-80% of cargo coming from Central and South America passes through Busan Port. Criminal organizations are taking advantage of the perception that ships that have passed through Korea are safe."

Last month, the National Police Agency strongly advocated for hosting the "Interpol Drug Response Center" in Korea at a meeting of the International Criminal Police Organization (INTERPOL) National Central Bureau. A police official stated, "We plan to strengthen our capacity to respond to drug crimes by bringing the core of international cooperation required for drug crime investigations to Korea."

Special Reporting Team | Jang Heejun, Oh Jieun, Park Hosu, Lee Jiye, Park Jaehyun

This content was produced with the assistance of AI translation services.