The survival of black rhino is threatened by poachers who target them for their horn. Courtesy Zoological Society of London
The survival of black rhino is threatened by poachers who target them for their horn. Courtesy Zoological Society of London
The survival of black rhino is threatened by poachers who target them for their horn. Courtesy Zoological Society of London
The survival of black rhino is threatened by poachers who target them for their horn. Courtesy Zoological Society of London

How animal traffickers behind the $72bn industry elude capture


Paul Peachey
  • English
  • Arabic

Police investigations into the $72 billion-a-year trade in animal parts rarely snag the key players behind multinational operations, according to a new study based on interviews with dozens of convicted smugglers.

Researchers spoke to 73 people convicted of wildlife crimes in South Africa over a decade from 2009 and discovered that most were minor players within sophisticated organisations responsible for poaching, processing and moving animal parts.

Nearly three quarters of them were jailed for rhino-related crimes while the rest were in prison for trafficking abalone and cycads, one of the world’s oldest and most rare plant species, said wildlife trade monitoring group Traffic.

Some of those employed to dig up cycad plants – which are prized by collectors – were not told what they were doing and did not know it was illegal, the report found. Poachers were often from communities with few other employment options.

"The study found that most offenders either participated in the initial activity of the illicit wildlife chain – the poaching of the wildlife – or participated in supporting roles such as the transport or the storage," said the Insights from the Incarcerated report.

“These roles often carry the highest risk of detection by law enforcement, whereas their subsequent arrest and prosecution does little to disrupt the overall illicit trade in these commodities.

“Senior members... knowingly allow these people to take the most risk for the illicit enterprise, safe in the knowledge that if they are arrested, they are easy to replace.”

Researchers said the arrest of the “ground level” offenders could snare some of the masterminds through tracking phone data, pursuing money trails and anti-corruption tactics to target officials who are paid to ignore the trade.

South Africa is a key player in efforts to tackle rhino smuggling because it is home to more than two thirds of the world population.

The international trade in rhino horn has been banned since 1977, but poaching has surged over the past decade through demand for traditional cures in China and the Far East, despite the debunking of their supposed medicinal benefits.

The National reported in October how elephant poaching for valuable tusks was a source of income for ISIS in central Africa.

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.”

The specs: 2019 Mercedes-Benz C200 Coupe


Price, base: Dh201,153
Engine: 2.0-litre turbocharged four-cylinder
Transmission: Nine-speed automatic
Power: 204hp @ 5,800rpm
Torque: 300Nm @ 1,600rpm
Fuel economy, combined: 6.7L / 100km

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Roger Federer's 2018 record

Australian Open Champion

Rotterdam Champion

Indian Wells Runner-up

Miami Second round

Stuttgart Champion

Halle Runner-up

Wimbledon Quarter-finals

Cincinnati Runner-up

US Open Fourth round

Shanghai Semi-finals

Basel Champion

Paris Masters Semi-finals