Taliban make small profits from drugs

The US now estimates that the Taliban make about $70 million from the drug trade in Afghanistan, a lower figure than they previously thought (some reports had put the figure as high as $400 million).

The gross income generated in Afghanistan from the drug trade is estimated to be about $3.4 billion (this is the total income that is generated by the export of opium from Afghanistan).

Out of this $3.4 billion, Afghan farmers take about $0.7 billion (or 21% of the total revenue); and traffickers take $2.7 billion (79%). A substantial portion of this $2.7 billion ends up in the pockets of warlords, insurgents, etc. who tax the industry and ask for protection money. (those numbers are from UNODC's latest opium survey of Afghanistan).

So that means that the Taliban capture only about 2% of the total income from drugs. But, the mainstream media line that we hear is that "drugs fund the Taliban"--yes it does, but it funds to a much greater extent warlords and government officials, many of whom are supported by the US.

The Senate report which made the above claims contains other interesting points:

-The conflict between the DEA vs. the CIA/military: historically, the DEA has sought to eliminate drugs, but the CIA has often given protection to drug traffickers to use them as local allies in fulfilling US foreign policy goals. The same situation is happening in Afghanistan, as the report states:
"congressional committees received reports that U.S. forces were refusing to disrupt drug sales
and shipments and rebuffing requests from the Drug Enforcement Administration for reinforcements to go after major drug kingpins."

-Al Qaeda does not get money from drugs:
"Surprisingly, there is no evidence that any significant amount of
the drug proceeds go to Al Qaeda. Contrary to conventional wisdom,
numerous money laundering and counter-narcotics experts
with the United States Government in Afghanistan and Washington
said flatly that they have seen no indication of the Taliban
or traffickers paying off Al Qaeda forces left inside the country. ‘‘A
lot of people have been looking for an Al Qaeda role in drug trafficking
and it’s not really there,’’ said a senior State Department
official involved in the region."

-Big fish are not arrested:
"In the year
that ended in March, the court convicted 259 people on drug
charges, which carry a minimum sentence of 10 years in prison.
But those convicted were low-level to medium-level figures; no
major traffickers have even been arrested in Afghanistan since
2006."

-The US is targeting drug traffickers who have links with the Taliban. (Those with links with the government only are not targeted, which shows that what the US cares about is not drug elimination, but the elimination of those who oppose its policies).

I would say that the shift under Obama to commit the US military to fighting drugs in Afghanistan, to the extent that it is real, has to do with the need for the US to build a client state that is functioning. Drugs undermines the working of the state if it is controlled by warlords and druglords who pursue their own interests. So it might be a reason why Obama cares somewhat about dealing with the drug problem, if he actually does.