HomeNewsBriefDemand From China Fueling Nicaragua's Wood Trafficking Trade
BRIEF

Demand From China Fueling Nicaragua's Wood Trafficking Trade

CHINA AND CRIME / 11 DEC 2012 BY ELYSSA PACHICO EN

Demand from Chinese buyers has contributed to the growth of an illicit trafficking network that is moving record amounts of granadillo wood out of Nicaragua, according to a new report by investigative website Confidencial.

The Confidencial report finds that exports of granadillo have grown exponentially in Nicaragua since 2008. The wood is traditionally used to make musical instruments like marimbas, but is also in demand by furniture producers and makers of luxury items like Rolls Royces and yachts.

(Watch a video of the Confidencial report below).

In 2008 just over $127,000 of granadillo were exported from Nicaragua to six countries. In 2011, that number grew to $6 million worth of exports. The explosion in demand was driven by an influx of Chinese buyers, the Confidencial report states. Chinese buyers began to use Nicaragua as a primary source of granadillo after facing stricter controls on wood exports in other Central American countries like Panama, Nicaragua's second-largest wood exporter told Confidencial.

The inceased demand has fed the growth of a "wood mafia" that illegally harvests granadillo from forest reserves and moves it out of Nicaragua. In one sign of the burgeoning trade, in January 2012 the military seized a $1.35 million shipment of granadillo in a single operation.

InSight Crime Analysis

As the Confidencial report highlights, wildlife trafficking can be a very lucrative business, depending on the product. Granadillo sells for $11 per board-foot (a unit of measurement for lumber). And with over 570,000 board-feet seized in Nicaragua seized so far in 2011, this represents some $6.2 million in profits.

Nicaragua's wood trafficking "mafia" works similiarly to the drug trade, in the sense that both businesses are dependent on a network of transporters to move the product, and a network of complicit officials who turn a blind eye. Confidencial notes that while some truck drivers who move illicit granadillo shipments have been arrested, this hasn't brought authorities any closer to building a case against the real "kingpins" behind the trade.

The illegal timber industry is a significant problem elsewhere in the region, including Colombia and Peru. Peru's illegal timber exports are thought to bring in up to $72 million in profits per year.

share icon icon icon

Was this content helpful?

We want to sustain Latin America’s largest organized crime database, but in order to do so, we need resources.

DONATE

What are your thoughts? Click here to send InSight Crime your comments.

We encourage readers to copy and distribute our work for non-commercial purposes, with attribution to InSight Crime in the byline and links to the original at both the top and bottom of the article. Check the Creative Commons website for more details of how to share our work, and please send us an email if you use an article.

Was this content helpful?

We want to sustain Latin America’s largest organized crime database, but in order to do so, we need resources.

DONATE

Related Content

COLOMBIA / 6 DEC 2012

Nicaraguan President Daniel Ortega has invited Colombia to collaborate on joint anti-trafficking sea patrols in parts of the…

COLOMBIA / 27 NOV 2014

The kidnapping of a military general by FARC rebels operating in Colombia's Pacific state of Choco -- which led to…

INFOGRAPHICS / 10 APR 2012

Drug policy will not officially be discussed during this week's Summit of the Americas, making it the proverbial "gorilla in…

About InSight Crime

THE ORGANIZATION

Venezuela Drug Trafficking Investigation and InDepth Gender Coverage

29 APR 2022

On May 4, InSight Crime will be publishing The Cocaine Revolution in Venezuela, a groundbreaking investigation into how the Venezuelan government regulates the cocaine trade in the country. An accompanying event,…

THE ORGANIZATION

InDepth Coverage of Juan Orlando Hernández

22 APR 2022

Ever since Juan Orlando Hernández was elected president of Honduras in 2014, InSight Crime has provided coverage of every twist and turn during his rollercoaster time in office, amid growing…

THE ORGANIZATION

Venezuela's Cocaine Revolution

15 APR 2022

On May 4th, InSight Crime will publish a groundbreaking investigation on drug trafficking in Venezuela. A product of three years of field research across the country, the study uncovers cocaine production in…

LA ORGANIZACIÓN

Widespread Coverage of InSight Crime MS13 Investigation

8 APR 2022

In a joint investigation with La Prensa Gráfica, InSight Crime recently revealed that four of the MS13’s foremost leaders had been quietly released from…

THE ORGANIZATION

Informing US State Department and European Union

1 APR 2022

InSight Crime Co-director McDermott briefed the US State Department and other international players on the presence of Colombian guerrillas in Venezuela and the implication this has for both nations.  McDermott…