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The Indicator

How cocaine smuggling through Latin America really works

9 min episode · 2 min read
·
Jan Grillo

Episode

9 min

Read time

2 min

Topics

Science & Discovery, Economics & Policy

AI-Generated Summary

Key Takeaways

  • Price markup economics: A kilogram cocaine brick costs $2,000 in South America, sells for $10,000 at US border, then $60,000 plus retail after cutting and distribution through multiple trafficking layers.
  • Route evolution pattern: US enforcement shifted trafficking from direct Colombia-US routes to Colombia-Venezuela-Honduras-Mexico pathways, with Venezuela becoming major transit hub after Mexican cartels built infrastructure from existing marijuana and heroin operations.
  • Government involvement evidence: Multiple sources including traffickers, former Honduran drug czar, and airplane operators confirm Venezuelan military facilitated cocaine flights through airports, supporting US indictment claims against Maduro's cartel de los soles.

What It Covers

Journalist Jan Grillo traces cocaine's journey from Andean coca farms through Venezuela and Mexico to US streets, examining Venezuelan government complicity and Trump administration military strikes.

Key Questions Answered

  • Price markup economics: A kilogram cocaine brick costs $2,000 in South America, sells for $10,000 at US border, then $60,000 plus retail after cutting and distribution through multiple trafficking layers.
  • Route evolution pattern: US enforcement shifted trafficking from direct Colombia-US routes to Colombia-Venezuela-Honduras-Mexico pathways, with Venezuela becoming major transit hub after Mexican cartels built infrastructure from existing marijuana and heroin operations.
  • Government involvement evidence: Multiple sources including traffickers, former Honduran drug czar, and airplane operators confirm Venezuelan military facilitated cocaine flights through airports, supporting US indictment claims against Maduro's cartel de los soles.

Notable Moment

Mexican general at military base offered journalist cocaine from seized pile to taste, demonstrating numbness effect while casually testing reporter's willingness to participate in drug examination firsthand.

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Episode Transcript

NPR. Former Venezuelan leader Nicolas Maduro appeared in a New York court yesterday. He pleaded not guilty to drug trafficking and weapons charges. This is after an explosive abduction by US forces in Caracas and is the culmination of months of American attacks on vessels in the Caribbean and Pacific alleged to be carrying cocaine. The attacks have killed at least 115 people. The stated motivation for the Trump administration to depose Venezuela's leader extends far beyond cocaine. Trump has mentioned oil many times and also the migration of alleged Venezuelan criminals into The US. But the drug trafficking accusations against Maduro go back many years under both Republican and Democratic administrations. So we wanted to learn more about what cocaine trafficking looks like right now. This is The Indicator from Planet Money. I'm Darien Woods. And I'm Stephen Messaha. Today on the show, the cocaine supply chain. We trace a drug from leaf to nose and ask how the Venezuelan government might have been involved. This message comes from Dell Technologies. Every great idea deserves the power to bring it to life. Meet the all new Dell XPS laptop, where style, power, and performance come together to elevate everything you do. With its ultra thin design and all day battery life, it's built to keep up from your morning coffee to late night inspiration. Powered by series three Intel Core Ultra processors, the XPS is made for editing photos, mixing tracks, and more. Check out the all new Dell XPS at dell.com/xps. This message comes from NPR sponsor, Capella University. Learning doesn't have to get in the way of life. With Capella's game changing FlexPath learning format, you can set your own deadlines and learn on your own schedule. That means you don't have to put your life on hold to earn your degree. Instead, enjoy learning your way and pursue your educational and career goals without missing a beat. A different future is closer than you think with Capella University. Learn more at capella.edu. Hey there. How are you doing? Good. Glad to could join. Jan Grillo is a journalist based in Mexico City and the author of the El Narco trilogy of his journalistic work. He's been on the drug trafficking beat for twenty five years, and yet he's got a bit of firsthand experience from a military base in Mexico. A general once showed him a pile of seized cocaine. He held the cocaine to me and he said, go on. Have a taste. I didn't know if he was joking, So I put my finger, in the in the cocaine and and licked it like that. And he said, oh, yeah. You can feel your tongue going numb, can't you? Yeah. I don't know what I would do in that situation, Steven. Like, is he testing me? Yeah. I you're you're about to get arrested the second you you try. I got you. Anyway, Jan says the cocaine trade starts in the high altitudes of …

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