Some of the Captagon pills seized in Jeddah port. Photo: Saudi Customs Authority
Some of the Captagon pills seized in Jeddah port. Photo: Saudi Customs Authority
Some of the Captagon pills seized in Jeddah port. Photo: Saudi Customs Authority
Some of the Captagon pills seized in Jeddah port. Photo: Saudi Customs Authority

Saudi Arabia seizes 2.2 million Captagon pills hidden in baklava shipment


Khaled Yacoub Oweis
  • English
  • Arabic

Saudi officials have seized a huge haul of Captagon, the synthetic drug made in covert laboratories, hidden inside a shipment of baklava, the Saudi Customs Authority said.

The seizure at Jeddah port on Sunday is the latest interception in a campaign by security forces in the kingdom to stamp out smuggling of the drug, which Arab officials say originates in Syrian areas under the control of President Bashar Al Assad.

The Saudi Customs Authority did not reveal from where the baklava arrived, nor the nationality of two men it said were the intended recipients. They were both arrested.

“The pills were found under the baklava layers,” the authority said.

In the past five years, Captagon has come to be regarded as national security threat to Saudi Arabia and Jordan, the main conduit for the drug into inner Arabia. Jordan has been also a growing market for Captagon, several Arab officials who are tracking the flows say.

The issue has been a key point of diplomatic talks amid a regional drive to re-establish Arab ties with Mr Al Assad, who was ostracised by most Middle Eastern countries as his security forces violently suppressed the 2011 revolt against his rule. By the end of that year, Syria was in civil war, after the revolt became militarised.

In May, the Syrian President was invited to an Arab League summit in Riyadh, partly in the hope of securing his co-operation in reducing Captagon flows. An Arab committee was formed to follow up on the normalisation and last month Syrian and Arab security officials held a meeting in Amman to discuss counter-narcotics.

Drug-smuggling drone

In Amman, a military official said a drone carrying a crystal meth shipment was intercepted on Sunday as it crossed into Jordanian territory from Syria.

He said Jordanian border forces "followed, controlled and brought down" the small aircraft.

Last week, Jordan's police said a security committee destroyed 12.5 million Captagon pills seized in hundreds of drugs cases in the kingdom.

The announcements indicate that Captagon remains an unresolved issue, despite the drive with Mr Assad. The border areas between Jordan and Syria, and Jordan and Saudi Arabia, are mainly inhabited by tribes that have traditionally underpinned the security forces in Jordan. They have played a main role in the founding of Jordan as a British protectorate in 1921.

The volume of Captagon flowing into Jordan, and then to Saudi Arabia, rose sharply after a deal between Russia, Mr Assad's main backer, and Israel and the US.

Under the deal, the Syrian military and militias supported by Iran recaptured most of southern Syria from rebels who were fighting the regime in Damascus, with support from western and Arab countries.

Mr Al Assad said in an interview with Sky News Arabia, which was broadcast last Wednesday, that countries he did not name had "contributed to creating chaos in Syria", including Captagon trafficking.

The same day, an article in the official Syrian Baath party newspaper said Syria attended the Arab summit based on “a spirit and promises that were different to what we are hearing today”.

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Group A: Palmeiras, Porto, Al Ahly, Inter Miami.

Group B: Paris Saint-Germain, Atletico Madrid, Botafogo, Seattle.

Group C: Bayern Munich, Auckland City, Boca Juniors, Benfica.

Group D: Flamengo, ES Tunis, Chelsea, Leon.

Group E: River Plate, Urawa, Monterrey, Inter Milan.

Group F: Fluminense, Borussia Dortmund, Ulsan, Mamelodi Sundowns.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Europe wide
Some of French groups are threatening Friday to continue their journey to Brussels, the capital of Belgium and the European Union, and to meet up with drivers from other countries on Monday.

Belgian authorities joined French police in banning the threatened blockade. A similar lorry cavalcade was planned for Friday in Vienna but cancelled after authorities prohibited it.

Updated: August 14, 2023, 12:23 PM