Inside a Syrian Captagon factory: evidence uncovered of Assad’s multi-billion-dollar narcotics trade


Nada Maucourant Atallah
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The Assad regime long denied involvement in the Captagon trade, but hundreds of thousands of pills discovered by Syrian rebels in a warehouse on a hill in Douma, near Damascus, tell another story.

Hidden inside fake fruits, electrical devices and copper coils, these highly addictive pills have been smuggled out of Syria and exported across the Middle East, notably to Gulf countries, where their use is widespread.

The Douma warehouse was seized by Hayat Tahrir Al Sham (HTS) after president Bashar Al Assad’s forces were ousted from the area, offering journalists access for the first time to a Captagon production site. HTS fighters placed a picture of Mr Al Assad at the building’s entrance during a tour of the facility, resulting in people stepping on his face as they entered.

From the outside, the factory looks like any other, with neatly stacked cartons and mundane administrative documents stored haphazardly in boxes.

But a quick search revealed unprecedented evidence of the massive illicit trade, which Washington has accused Mr Al Assad and his close circle of profiting hugely from. Captagon is said to have been Syria's main export during the country's 13-year civil war.

According to the New Lines Institute, a Washington-based think tank, the global Captagon market was worth about $10 billion a year, with 80 per cent produced in Syria.

Ian Larson, a Syria analyst at the Centre for Operational Analysis and Research, said the country's Captagon factories were an "open secret".

“The images emerging now confirm the conclusions of many analysts and investigators: Captagon production in Syria is an industrial enterprise. This evidence leaves us no doubt of that,” he told The National.

In another section of the warehouse, several large barrels were stacked together, labelled with chemical names including hydrochloric acid and sodium hydroxide. Some were numbered to indicate production stages.

Inside a dark garage beneath the warehouse, a rebel shook a plastic apple, revealing white pills stamped with two intertwined half moons, typical of Captagon pills. “That’s how they were hiding them,” he said as they spilt out.

A Syrian rebel fighter stands near raw materials at the Captagon factory in Douma. EPA
A Syrian rebel fighter stands near raw materials at the Captagon factory in Douma. EPA

Small pieces of metal were placed inside the fake fruits so the weight would match that of real fruit. A pill presser was also found.

Mr Larson said the Douma warehouse was most likely "used for receiving and storing chemical inputs and also for packaging and concealing the manufactured pills".

“For years, there has been debate over the scale and systems involved in drug production in Syria. Now, we’re finally beginning to see behind closed doors," he said.

An owner under sanctions

According to locals and rebels interviewed by The National, the warehouse's owner is Amer Al Khiti, a former MP sanctioned in 2023 by the British government for controlling “multiple businesses in Syria that facilitate the production and smuggling of drugs”.

The garage was filled with campaign materials for his election run, including electoral cards and ballot papers. He was not available for comment.

Rebel fighters say the site is one of many warehouses they have discovered across the country and pledged to destroy. Videos posted online show them burning the pills.

Locals said they would never have thought Captagon was produced there. “They said it was a soap factory,” one neighbour said, pointing at the building from afar.

But analysts are not surprised. Caroline Rose, who studies the Captagon trade for the New Lines Institute, told The National on Sunday that the evidence uncovered at the Douma site was expected.

“We already had evidence of regime-operated industrial-scale production of Captagon, particularly in Douma, Latakia and Damascus,” she told The National. “I expect that residents and this new transitional government will uncover more sites.”

Enormous regional market

The cross-border flow of the drug has long been viewed as a major national security threat in the Middle East. Billions of dollars a year in Captagon have crossed from Syria into other Arab countries since 2018. In 2021, the Syrian government is estimated to have made more than $5 billion from the sale of the drug. Dealers often targeted the wealthy cities of the Gulf states, leading to drug busts in Saudi Arabia, the UAE and elsewhere.

The flow of the drug was one of the main reasons that Arab countries ended hostilities with Mr Al Assad three years ago and normalised ties with his government, as they were seeking co-operation in combating the smuggling operations.

One pill costs as little as a few US cents to produce, but high-quality pills have sold for as much as $20 each in Arab countries.

This week a European official told The National that Syria's production of the drug had come to a near halt since the ousting of Mr Al Assad.

A Syrian rebel shows pills hidden inside a melon. AP
A Syrian rebel shows pills hidden inside a melon. AP

“It is at least 90 per cent down,” said the official, who toured the border area between Jordan and Syria.

Over the past two weeks, Syrian militants have overrun the main Captagon factories in Syria's coastal areas. Members of cartels linked to the former regime and the Lebanese militant group Hezbollah have abandoned the production compounds, the official said.

“What is left are small, scattered workshops, and small players on the border,” he added.

However, Ms Rose said that the halt may be short lived.

“While Captagon supply will contract, at least in the short term, we should not expect the trade to disappear,” she said. “Rather, we’ll see a balloon effect into other transit sites like Iraq, Lebanon, and potentially Turkey.”

Mr Larson added that as long as demand for the drug persists, production will simply move abroad.

“There is an enormous regional market. If anything, the elimination of production in Syria will increase the relative value of production elsewhere," he said. "Demand still exists, and years of co-ordinated anti-narcotics campaigns in the region have not crushed it.

"The pressure for production to move to other countries is now far, far greater.”

Iraq negotiating over Iran sanctions impact
  • US sanctions on Iran’s energy industry and exports took effect on Monday, November 5.
  • Washington issued formal waivers to eight buyers of Iranian oil, allowing them to continue limited imports. Iraq did not receive a waiver.
  • Iraq’s government is cooperating with the US to contain Iranian influence in the country, and increased Iraqi oil production is helping to make up for Iranian crude that sanctions are blocking from markets, US officials say.
  • Iraq, the second-biggest producer in the Organization of Petroleum Exporting Countries, pumped last month at a record 4.78 million barrels a day, former Oil Minister Jabbar Al-Luaibi said on Oct. 20. Iraq exported 3.83 million barrels a day last month, according to tanker tracking and data from port agents.
  • Iraq has been working to restore production at its northern Kirkuk oil field. Kirkuk could add 200,000 barrels a day of oil to Iraq’s total output, Hook said.
  • The country stopped trucking Kirkuk oil to Iran about three weeks ago, in line with U.S. sanctions, according to four people with knowledge of the matter who asked not to be identified because they aren’t allowed to speak to media.
  • Oil exports from Iran, OPEC’s third-largest supplier, have slumped since President Donald Trump announced in May that he’d reimpose sanctions. Iran shipped about 1.76 million barrels a day in October out of 3.42 million in total production, data compiled by Bloomberg show.
  • Benchmark Brent crude fell 47 cents to $72.70 a barrel in London trading at 7:26 a.m. local time. U.S. West Texas Intermediate was 25 cents lower at $62.85 a barrel in New York. WTI held near the lowest level in seven months as concerns of a tightening market eased after the U.S. granted its waivers to buyers of Iranian crude.
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Asia Cup 2018 final

Who: India v Bangladesh

When: Friday, 3.30pm, Dubai International Stadium

Watch: Live on OSN Cricket HD

Why it pays to compare

A comparison of sending Dh20,000 from the UAE using two different routes at the same time - the first direct from a UAE bank to a bank in Germany, and the second from the same UAE bank via an online platform to Germany - found key differences in cost and speed. The transfers were both initiated on January 30.

Route 1: bank transfer

The UAE bank charged Dh152.25 for the Dh20,000 transfer. On top of that, their exchange rate margin added a difference of around Dh415, compared with the mid-market rate.

Total cost: Dh567.25 - around 2.9 per cent of the total amount

Total received: €4,670.30 

Route 2: online platform

The UAE bank’s charge for sending Dh20,000 to a UK dirham-denominated account was Dh2.10. The exchange rate margin cost was Dh60, plus a Dh12 fee.

Total cost: Dh74.10, around 0.4 per cent of the transaction

Total received: €4,756

The UAE bank transfer was far quicker – around two to three working days, while the online platform took around four to five days, but was considerably cheaper. In the online platform transfer, the funds were also exposed to currency risk during the period it took for them to arrive.

MATCH INFO

Uefa Champions League quarter-final, second leg (first-leg score)

Porto (0) v Liverpool (2), Wednesday, 11pm UAE

Match is on BeIN Sports

RESULT

Leeds United 1 Manchester City 1
Leeds:
 Rodrigo (59')
Man City: Sterling (17')

Man of the Match: Rodrigo Moreno (Leeds)

New schools in Dubai
Classification of skills

A worker is categorised as skilled by the MOHRE based on nine levels given in the International Standard Classification of Occupations (ISCO) issued by the International Labour Organisation. 

A skilled worker would be someone at a professional level (levels 1 – 5) which includes managers, professionals, technicians and associate professionals, clerical support workers, and service and sales workers.

The worker must also have an attested educational certificate higher than secondary or an equivalent certification, and earn a monthly salary of at least Dh4,000. 

Our family matters legal consultant

Name: Dr Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

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Your rights as an employee

The government has taken an increasingly tough line against companies that fail to pay employees on time. Three years ago, the Cabinet passed a decree allowing the government to halt the granting of work permits to companies with wage backlogs.

The new measures passed by the Cabinet in 2016 were an update to the Wage Protection System, which is in place to track whether a company pays its employees on time or not.

If wages are 10 days late, the new measures kick in and the company is alerted it is in breach of labour rules. If wages remain unpaid for a total of 16 days, the authorities can cancel work permits, effectively shutting off operations. Fines of up to Dh5,000 per unpaid employee follow after 60 days.

Despite those measures, late payments remain an issue, particularly in the construction sector. Smaller contractors, such as electrical, plumbing and fit-out businesses, often blame the bigger companies that hire them for wages being late.

The authorities have urged employees to report their companies at the labour ministry or Tawafuq service centres — there are 15 in Abu Dhabi.

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Match info

Manchester City 3 (Jesus 22', 50', Sterling 69')
Everton 1 (Calvert-Lewin 65')

ARABIAN GULF LEAGUE FIXTURES

Thursday, September 21
Al Dahfra v Sharjah (kick-off 5.35pm)
Al Wasl v Emirates (8.30pm)

Friday, September 22
Dibba v Al Jazira (5.25pm)
Al Nasr v Al Wahda (8.30pm)

Saturday, September 23
Hatta v Al Ain (5.25pm)
Ajman v Shabab Al Ahli (8.30pm)

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Q&A with Dash Berlin

Welcome back. What was it like to return to RAK and to play for fans out here again?
It’s an amazing feeling to be back in the passionate UAE again. Seeing the fans having a great time that is what it’s all about.

You're currently touring the globe as part of your Legends of the Feels Tour. How important is it to you to include the Middle East in the schedule?
The tour is doing really well and is extensive and intensive at the same time travelling all over the globe. My Middle Eastern fans are very dear to me, it’s good to be back.

You mix tracks that people know and love, but you also have a visually impressive set too (graphics etc). Is that the secret recipe to Dash Berlin's live gigs?
People enjoying the combination of the music and visuals are the key factor in the success of the Legends Of The Feel tour 2018.

Have you had some time to explore Ras al Khaimah too? If so, what have you been up to?
Coming fresh out of Las Vegas where I continue my 7th annual year DJ residency at Marquee, I decided it was a perfect moment to catch some sun rays and enjoy the warm hospitality of Bab Al Bahr.

 

Venom

Director: Ruben Fleischer

Cast: Tom Hardy, Michelle Williams, Riz Ahmed

Rating: 1.5/5

Our family matters legal consultant

Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

The specs
Engine: 77.4kW all-wheel-drive dual motor
Power: 320bhp
Torque: 605Nm
Transmission: Single-speed automatic
Price: From Dh219,000
On sale: Now
Pari

Produced by: Clean Slate Films (Anushka Sharma, Karnesh Sharma) & KriArj Entertainment

Director: Prosit Roy

Starring: Anushka Sharma, Parambrata Chattopadhyay, Ritabhari Chakraborty, Rajat Kapoor, Mansi Multani

Three stars

Company profile

Name: Tratok Portal

Founded: 2017

Based: UAE

Sector: Travel & tourism

Size: 36 employees

Funding: Privately funded

KEY%20DATES%20IN%20AMAZON'S%20HISTORY
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if you go

The flights

Etihad, Emirates and Singapore Airlines fly direct from the UAE to Singapore from Dh2,265 return including taxes. The flight takes about 7 hours.

The hotel

Rooms at the M Social Singapore cost from SG $179 (Dh488) per night including taxes.

The tour

Makan Makan Walking group tours costs from SG $90 (Dh245) per person for about three hours. Tailor-made tours can be arranged. For details go to www.woknstroll.com.sg

UAE currency: the story behind the money in your pockets

A Cat, A Man, and Two Women
Junichiro
Tamizaki
Translated by Paul McCarthy
Daunt Books 

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.”

Barbie
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Abu Dhabi World Pro 2019 remaining schedule:

Wednesday April 24: Abu Dhabi World Professional Jiu-Jitsu Championship, 11am-6pm

Thursday April 25:  Abu Dhabi World Professional Jiu-Jitsu Championship, 11am-5pm

Friday April 26: Finals, 3-6pm

Saturday April 27: Awards ceremony, 4pm and 8pm

Results
%3Cp%3E%3Cstrong%3EStage%207%3A%3C%2Fstrong%3E%3Cbr%3E1.%20Adam%20Yates%20(GBR)%20UAE%20Team%20Emirates%20%E2%80%93%203hrs%2029min%2042ses%3Cbr%3E2.%20Remco%20Evenepoel%20(BEL)%20Soudal%20Quick-Step%20%E2%80%93%2010sec%3Cbr%3E3.%20Geoffrey%20Bouchard%20(FRA)%20AG2R%20Citroen%20Team%20%E2%80%93%2042sec%3Cbr%3E%3Cstrong%3EGeneral%20Classification%3A%3C%2Fstrong%3E%3Cbr%3E1.%20Remco%20Evenepoel%20(BEL)%20Soudal%20Quick-Step%3Cbr%3E2.%20Lucas%20Plapp%20(AUS)%20Ineos%20Grenaders%20%E2%80%93%2059se%3Cbr%3E3.%20Adam%20Yates%20(GBR)%20UAE%20Team%20Emirates%20%E2%80%9360sec%3Cbr%3ERed%20Jersey%20(General%20Classification)%3A%20Remco%20Evenepoel%20(BEL)%20Soudal%20Quick-Step%3Cbr%3EGreen%20Jersey%20(Points%20Classification)%3A%20Tim%20Merlier%20(BEL)%20Soudal%20Quick-Step%3Cbr%3EWhite%20Jersey%20(Young%20Rider%20Classification)%3A%20Remco%20Evenepoel%20(BEL)%20Soudal%20Quick-Step%3Cbr%3EBlack%20Jersey%20(Intermediate%20Sprint%20Classification)%3A%20Edward%20Planckaert%20(FRA)%20Alpecin-Deceuninck%3C%2Fp%3E%0A
Updated: December 16, 2024, 10:59 AM