wn 40% from 2003
due to eradication efforts and drought; cultivation in 2004 - 30,900
hectares, a 34% decline from 2003); lack of government will to take
on major narcotrafficking groups and lack of serious commitment
against money laundering continues to hinder the overall antidrug
effort; major source of methamphetamine and heroin for regional
consumption; currently under Financial Action Task Force
countermeasures due to continued failure to address its inadequate
money-laundering controls (2005)

Cambodia
narcotics-related corruption reportedly involving some in
the government, military, and police; possible small-scale heroin
and methamphetamine production; vulnerable to money laundering due
to its cash-based economy and porous borders

Canada
illicit producer of cannabis for the domestic drug market and
export to US; use of hydroponics technology permits growers to plant
large quantities of high-quality marijuana indoors; transit point
for ecstasy entering the US market; vulnerable to narcotics money
laundering because of its mature financial services sector

Cape Verde
used as a transshipment point for illicit drugs moving
from Latin America and Asia destined for Western Europe; the lack of
a well-developed financial system limits the country's utility as a
money-laundering center

Cayman Islands
offshore financial center; vulnerable to drug
transshipment to the US and Europe

Chile
important transshipment country for cocaine destined for
Europe; economic prosperity and increasing trade have made Chile
more attractive to traffickers seeking to launder drug profits,
especially through the Iquique Free Trade Zone, but a new
anti-money-laundering law improves controls; imported precursors
passed on to Bolivia; domestic cocaine consumption is rising

China
major transshipment point for heroin produced in the Golden
Triangle; growing domestic drug abuse problem; source country for
chemical precursors and methamphetamine

Colombia
illicit producer of coca, opium poppy, and cannabis;
world's leading coca cultivator (cultivation of coca in 2004 was
114,100 hectares, virtually unchanged from 2003, but down one-third
from its peak of 169,800 ha); producing a potential of 430 mt of
pure cocaine; the world's largest producer of coca derivatives;
supplying most of the US market and the great majority of cocaine to
other international