Concern over the trafficking and domestic consumption of Captagon is mounting in Egypt, where authorities have seized millions of the pills over the past five years or so.
A US official with the Drug Enforcement Administration told The National that most of the Captagon pills being consumed in Egypt now come from Lebanon, while trafficking of the synthetic drug has become the primary concern for customs agencies on the country's borders as military campaigns against drug growers in Sinai continue to bear fruit.
"Drugs primarily come from Lebanon, which is considered a production source country,” the official said. “Likewise, Syria is a source for Captagon pill manufacturing.”
Captagon in the Middle East
Since being established in the 1980s, the DEA Cairo office has provided information and support for efforts to counteract drug smuggling in Egypt.
Egypt's customs authorities made several high-profile interceptions of Captagon shipments in recent years as they move to crack down on traffickers aiming to supply growing markets from Cairo to the Gulf.
In January, the Egyptian Ministry of Interior said authorities seized eight million Captagon pills and eight tonnes of hashish worth $39 million in a shipping container at Port Said. The container’s port of origin was Beirut and it was en route to Libya, according to the 2021 World Drug Report from the United Nations Office on Drug and Crime).
In November, Egypt confiscated two separate shipments of Captagon pills and hashish at Damietta port coming from Syria en route to another Arab country. The first shipment included over 3.2 million pills smuggled in a container of canned corn, while the second included 11 million pills hidden inside packages containing water filters.
And in December 2015, large quantities of Captagon pills concealed in school desks bound for Egypt were seized at Beirut airport.
Historically, drug cultivation farms in Sinai grew poppy plants and hashish, mainly used for local consumption.
But the DEA official said the Egyptian military’s campaigns against drug farms in the Sinai “have been very successful, thanks to a joint force including the Anti-Narcotics General Administration, the National Security Sector, air forces and frontier guards”.
Along with the military campaigns targeting drug cultivation, influential religious groups have mobilised against the local producers.
Al Azhar, the highest centre of religious scholarship in Egypt, has co-ordinated with the army and police to organise advocacy missions to South Sinai, to persuade people that drug cultivation is against Islam.
“Al Azhar is a vital institution playing a large role in raising awareness and working with other agencies and local offices,” the official said.
Drug smuggling in the Sinai is “currently at a low level as most of the smuggling is now tobacco and basic food products going through tunnels to enter Gaza”.
The greater concern now is Captagon and other narcotics coming from Lebanon and Syria, he said, “as all borders and points of entry deal with potential smuggling issues”.
Western Clubs Champions League:
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Company Profile
Company name: NutriCal
Started: 2019
Founder: Soniya Ashar
Based: Dubai
Industry: Food Technology
Initial investment: Self-funded undisclosed amount
Future plan: Looking to raise fresh capital and expand in Saudi Arabia
Total Clients: Over 50
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6.30pm: Maiden Dh 165,000 1,600m
7.05pm: Handicap Dh 185,000 2,000m
7.40pm: Maiden Dh 165,000 1,600m
8.15pm: Handicap Dh 190,000 1,400m
8.50pm: Handicap Dh 175,000 1,600m
9.25pm: Handicap Dh 175,000 1,200m
10pm: Handicap Dh 165,000 1,600m
The specs
- Engine: 3.9-litre twin-turbo V8
- Power: 640hp
- Torque: 760nm
- On sale: 2026
- Price: Not announced yet
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The specs
Engine: 2.5-litre, turbocharged 5-cylinder
Transmission: seven-speed auto
Power: 400hp
Torque: 500Nm
Price: Dh300,000 (estimate)
On sale: 2022
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
Who's who in Yemen conflict
Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government
Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council
Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south
Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory
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Specs
Engine: 3.0L twin-turbo V6
Gearbox: 10-speed automatic
Power: 405hp at 5,500rpm
Torque: 562Nm at 3,000rpm
Fuel economy, combined: 11.2L/100km
Price: From Dh292,845 (Reserve); from Dh320,145 (Presidential)
On sale: Now
The Sand Castle
Director: Matty Brown
Stars: Nadine Labaki, Ziad Bakri, Zain Al Rafeea, Riman Al Rafeea
Rating: 2.5/5
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