The cocaine market since the late nineteenth century

¶ … Cocaine Market

Since the late 19th century, cocaine has played a major role in the financing of the world's drug market. Even before the drug became illegal many people understood its potency and addictive nature and made many attempts to capitalize on it. As the years passed by and more people including the government learned and understood more about the drug, they then moved to restrict its sale and use due to its popularity and potential earning power. Over the past 2 centuries the cocaine business has grown and evolved immensely. It started out for medicinal use and a way for scientists and entrepreneurs to profit and developed all the way to an illegal underworld that has affected the lives of many and also fattened the pockets of people who recognized and understood the drugs' effect on people and the earning power it meant for them as a result. The cocaine business has remained a profitable business over the years. However as the drug market changed and more people understood the drug, many began profiting uncontrollably from it causing the government to do more to control and outright restrict the cocaine trade.

Cocaine's Early History on the Drug Market

During the late 19th century people began to understand and realize the potential marketability and profitability of cocaine as a result of its potent side effects and addictive nature. Natives of Peru and Bolivia had been chewing on cocoa leaves for thousands of years as a way of stimulating their bodies and helping with digestion. (Business Heroes, 1998) However, a man by the name of John Smith Pemberton was the first person to recognize the true value of the cocoa plant and its potential for profit. Pemberton became the original inventor of Coca Cola based on his desire to create a medicine and a satisfying drink together as one single beverage. (Business Heroes, 1998) Pemberton had created many medicines and cures before, however the things he was learning about the cocoa plant excited him immensely. At the time, many people doubted coca's addictive nature and market potential; however Pemberton took the advice of people like Sigmund Freud who believed their was something special about the plant. Freud even studied it and wrote an essay about it in which he wrote about his, "praise to the magical substance." (Freud, 1886)

In 1885, Pemberton released a product called, "Pemberton's French Wine Coca" and advertised it as an "intellectual beverage that would invigorate the brain." He also marketed it as a product that could help people to overcome morphine addiction. (Business Heroes, 1998) a few years later the first signs of cocaine's illegality came about due to the fact that the original beverage was an alcohol-based drink. This forced Pemberton to recreate the drink and remarket it as a different product. This is where Pemberton came up with the idea of mixing the drink with the Cola nut and selling it as the nonalcoholic beverage that came to be known as "Coca Cola." (cocaine.org, 2002) at this time, Pemberton's health deteriorated and two business men by the names of Lowndes and Venable bought the beverage because they too recognized its marketable and addictive nature. Although the beverage is no longer made with the coca plant in its ingredients it has still remained a multi-million dollar business throughout the world.

Very Sellable, but Illegal Drug

Realizing cocaine's addictive nature and growing market value, the United States Government made its manufacturing and distribution illegal with the Controlled Substances Act of 1970. It was also in this decade that the cocaine trade took off as the drug became a very popular part of the culture in the United States.

Understanding the drug's growing popularity, cocaine once again became a huge business beginning in South American countries, especially Columbia, and finding its way to the drug market in the United States. (cocaine.org)

Cocaine and the Brain

Another reason for the growth of cocaine's popularity on the drug market was because of the effect many artists, writers, and entertainers believed it had on their brain. Many artists were also turning to cocaine for creative reasons, because many of them believed it would help them in the creative process. Many artists believed there was a direct relation between their quality and amount of work and their cocaine intake. This is what Farrenkopf refers to as an individuals "compulsion to seek and take the drug." (Farrenkopf, 1) in other words, cocaine affects a part of the brain that seeks rewards and expects more of something of which it has gotten used to. As a result, cocaine's addictive nature among this community created a huge market for the drug. Even today, we constantly hear stories about the drug being used amongst artists and entertainers who have access to it and a desire to use it because of the benefits they may believe it has throughout the creative process.

Since the late 19th century there has been a huge market for cocaine because of its potency and addictive nature. These are two of the biggest contributing factors to the drug's popularity from the time it was used for medical purposes and in the soft drink that came to be known as Coca Cola until today, where it is still used by millions of Americans a year. Part of the reason for cocaine's rise in popularity was due to the fact that early on, many people didn't understand that the drug could have harmful side effects for those who use it. It wasn't until the early 1970's that the drug was made illegal and by that time there was already millions of Americans who were using cocaine. This allowed drug dealers such as those in Colombia to set up cartels that operated out of Colombia and made huge profits from the drug trade throughout the 70's and 80's and even continuing in to the present. Although the United States Government has done a lot in the past few decades to educate the public and restrict cocaine's distribution, I believe it's popularity and marketability before that time has made it a major player in the financing of the nation's overall drug market throughout the years.

COCAINE USE FACTS

Percent of Students Reporting Cocaine Use, 2005-2006

8th Grade

10th Grade

12th Grade

Past month

Past year

Lifetime

Percent of Students Reporting Cocaine Use, 2001-2005

Current use

Lifetime use

Source: White House Drug Policy