European eel smuggling: profits, crime links, and global impact

Hong Kong gangs, often referred to as triads, are involved in various illicit activities such as sex work, gambling, and drug trafficking. However, the most profitable and largest-scale operation they engage in is smuggling, particularly the smuggling of European eels. This trade offers high profits with relatively low risks compared to drug smuggling, which can lead to life imprisonment or execution. Smuggling eels, considered food, typically results in a few years in jail and confiscation of goods, allowing individuals to return to the trade after release.

The Allure of European Eels

European eels are highly sought after due to their superior quality and yield. An export ban on European eels further increases their value, making them a lucrative commodity for smugglers.

The Perspective of a Smuggler

One individual, known as "Elder Brother," describes himself as average, not inherently bad but not entirely good. He avoids extreme crimes like killing or arson, believing in karma but noting he hasn't experienced its negative effects yet. He acknowledges that the eel trade is a significant part of his life and that he might have to take responsibility for his actions someday.

The Eel's Plight and Conservation Efforts

Peter Wood, CEO of Glass Eel Company, has been trading baby eels globally for over 50 years. Despite being a commercial operation, he emphasizes his company's commitment to the eel's survival, viewing it as their future. He is the last glass eel trader in the UK, and his business is an important part of local heritage.

His core business involves "stocking," which means relocating glass eels from areas where they are abundant to habitats with low eel populations. Post-Brexit, trade restrictions mean that eels can only be moved within EU member states, making it impossible to transport them from the UK to places like Bavaria, a customer location.

The Business of Eel Trading

Peter Wood's manager in France, Benoir, handles the European operations, buying glass eels directly from fishermen and distributing them across Europe. They ship large quantities, with one shipment totaling 255 kilograms, or about 650,000 individual eels. The business relies on natural resources, and Benoir stresses the importance of not abusing them.

Glass eels can be shipped without water as long as they are kept moist and cool, surviving for at least 24 hours. Exporting fish requires proper authorization, including a "trace" document detailing the origin, destination, weight, and quantity of fish, and whether they are for restocking or consumption. There's a quota: 60% for restocking and 40% for consumption.

Wood acknowledges the perception that profiting from the environment is wrong but argues that everyone needs to make a profit to survive. He also mentions being frequently scrutinized by authorities, including border force and the Ministry of Defense, and was once arrested in France, leading to a two-year investigation before being cleared.

The Russian Connection and War Financing Allegations

Investigative journalist Pavl Jajinski uncovered a story about an English eel trader officially delivering eels to Kaliningrad, Russia, for a conservation project. Jajinski investigated whether this project could be indirectly financing Russia's war in Ukraine.

Peter Wood operates a company in France, allowing him to legally transport eels within the EU, including to Poland. Informants revealed that glass eels were previously smuggled from Poland to Kaliningrad. While documents show eels arriving in Poland, Jajinski observed suspicious activities, such as quick loading of eels into a van and immediate departure of the plane, raising questions about the final destination. He suspected the van might be heading to Kaliningrad, but his direct observation revealed nothing overtly criminal, describing it as "ordinary, mundane, and normal."

The Global Eel Trade and Illicit Activities

Export documents for eels often state they are for "release into the natural environment," meaning they cannot be sold or consumed. However, Jajinski witnessed protected eels being sold for private ponds. He also noted a suspicious change in recipient for one of Peter Wood's French company deliveries, raising questions about forged documents and the loopholes in EU restocking rules.

Dr. Fanstein, a scientist advising law enforcement on eel smuggling, highlights the global nature of the trade. The world's largest eel farm in China, one of over 1,000, relies entirely on wild glass eels for fattening, producing 15,000 metric tons annually, three times Europe's total production. These eels are processed into products like unagi kabayaki fillets and shipped worldwide.

Since 2010, Europe has banned commercial export of European eels, leading to a surge in American eel fishing and trade. Currently, American eels have no trade restrictions and are primarily sourced from the Caribbean.

The Dominican Republic and the "Cocaine of the Sea"

In the Dominican Republic, eel fishing has become a major industry, despite eels not being a traditional food source there. Photojournalist Marian del describes how the trade, driven by high profits, has led to clashes between rival fishing groups and even murders. The networks used for drug trafficking are often the same ones used for eels, with the large sums of money involved making it dangerous.

Fishermen can earn a month's minimum wage or more in a single day, attracting many to the trade. Prices for 1 kilo of eels range from 1,500 to 1,700 pesos on the beach. Sources indicate that Asian buyers are present in the Dominican Republic to purchase and transport eels.

Peter Wood recounts a difficult experience in the Dominican Republic where his team was attacked with knives, highlighting the dangers of the trade. He also mentions his company's historical role as the first to export eels to China, receiving an award for their contributions to UK exports. However, a 2008 restriction on exports to China inadvertently stimulated an illegal market, making it difficult for legal businesses to compete.

Organized Crime and the Eel Trade

Glass eel smuggling is largely controlled by organized crime, with profit margins similar to cocaine. The value of eels can increase from €300 for the fisherman to €30,000 for the final product in Asia. The illegal trade is estimated to be worth €2 to €3 billion annually, making it one of the biggest wildlife crimes globally.

Organized crime groups operate internationally, using methods similar to drug smuggling, including "mules" who transport eels in suitcases on flights. These suitcases are designed to look normal, with ice water bottles to keep the eels cool and dormant during transit. They are checked as luggage, as systematic scanning is less common for exported goods.

The Haitian Connection and Political Corruption

In Haiti, the eel trade has become highly politicized. Customs data shows a tenfold increase in eel exports from Haiti between 2021 and 2022, reaching 100 tons (600 million fish) with a value of several billion euros. This surge occurred a year after the assassination of Haiti's president, Jovenel Moïse, who was reportedly involved in the eel trade and attempting to regulate it.

The political and business elite in Haiti are believed to use the eel trade for money laundering, moving funds out of the country. The trade is controlled by a mafia-like group with armed enforcers, dictating who can fish and sell. The UN's drugs and crime office warns that gangs and criminal networks exploit the lucrative eel trade, further destabilizing Haiti.

Over half a million Haitian citizens depend on the eel industry for their livelihood. Fishermen protest for better prices, as they risk their lives for meager earnings while others make millions. The trade, while providing income, is rife with corruption and exploitation.

The Kaliningrad "Special Operation"

Peter Wood's company continued stocking eels in Europe, including Poland and Lithuania, but faced a ban on exports to Kaliningrad due to the Russian war against Ukraine. This ban had significant negative consequences for his business.

Despite the ban, Wood's company had previously engaged in a "stocking project" in Kaliningrad, which he described as a "brilliant project" for eel recovery. Russian media, however, referred to this as a "special eel operation," mirroring the term used by Vladimir Putin for the invasion of Ukraine.

Anton Alikhanov, then governor of Kaliningrad and now a cabinet minister, promoted commercial eel farming, aiming for independence from Chinese imports. Alikhanov is on international sanctions lists for supporting policies against Ukraine's sovereignty.

Jajinski's investigation revealed that money from Russia was directly transferred to Peter Wood, coinciding with eel deliveries to Poland and Lithuania. Payments from Russia, totaling hundreds of thousands of euros, were made on days when Wood's plane flew, raising questions about the true destination and purpose of these transactions.

The UK government eventually refused Wood's application for eel export to Kaliningrad due to "significant risks of illegal trading compounded by the current situation in Russia." This decision led to the closure of Wood's 50-year-old fishery and job losses.

The Enduring Challenge of Eel Smuggling

Despite efforts to regulate the eel trade, loopholes persist. It's difficult to distinguish between eels for consumption and those for restocking, making it easy to bypass rules. Law enforcement struggles to keep up with smugglers, who are often one step ahead. Individuals involved in eel trafficking often return to the trade after serving sentences, as they possess specialized knowledge.

The eel trade, while providing livelihoods for many, is deeply intertwined with organized crime, political corruption, and environmental concerns. The "slippery" nature of eels mirrors the elusive and complex nature of the illicit trade surrounding them.