US Spends Billions As Drug War Fails: Cocaine Purity Rises, Prices Fall

The street price of cocaine fell in the United States last year as purity rose, the White House drug czar said in a private letter to a key senator, seemingly contradicting U.S. claims that US$4 billion (euro2.9 billion) in aid to Colombia is stemming the flow.

The drug czar, John Walters, wrote that retail cocaine prices fell by 11 percent from February 2005 to October 2006, to about US$135 (euro99) per gram of pure cocaine. That's way below the US$600 a gram pure cocaine fetched in 1981, when the U.S. government began collecting data, and near the level it has been at since the early 1990s.