INL Country Programs - Peru Archive Site for State Department information prior to January 20, 2001. This site is not updated. Problem Peru is the world's leading producer of coca leaf and cocaine base.
Peruvian traffickers transport the cocaine base to Colombia, where it is converted to cocaine.
As a consequence of air interdiction operations, traffickers reportedly rely more heavily on river transport to move cocaine base to airstrips in northern Peru or southern Colombia. These programs also include judicial reform projects to improve Peruvian judicial process and training, and economic assistance programs aimed at both economic restructuring and sustainable development in coca cultivation areas. All specific projects are aimed at institutionalizing Peruvian counternarcotics efforts to achieve the elimination of drug trafficking and production in Peru. The continuing U.S.-Peruvian program to intercept aircraft carrying cocaine base and money between Peru and Colombia and manual coca eradication were major factors in suppressing coca leaf and base prices to levels below the coca farmers' cost of production. Alternative development activities, such as technical assistance and training on alternative crop production, are provided as long as the community maintains the coca eradication schedule.