Guidance

Annex A: INCB definitions (accessible version)

Updated 21 December 2020

Extracts from the INCB’s 1961 Single Convention on narcotic drugs training material

Consumption as defined by the Single Convention

3. In accordance with article 1, paragraph 2, of the Single Convention, a drug shall be regarded as “consumed” when it has been supplied to any person or enterprise for retail distribution, medical use or scientific research. Consumption is therefore defined as the transfer from wholesale to retail distribution. Consequently, if narcotic drugs are imported into a country or territory directly by retailers (pharmacists, hospitals, etc.), all quantities so imported should be considered, from the Convention’s point of view, as consumed during the year of their entry into the country or territory. If, on the other hand, there is a manufacturer or wholesaler (whether a private enterprise or a government service) through which all narcotic drugs are imported, only that part of narcotic drugs distributed to the retail level (mainly pharmacies and hospitals) should be considered as consumed.

4. Below is a succinct explanation of what consumption means in different distribution circuits (please see the definition of these circuits below).

Category I: Countries where the retailers obtain their supplies solely from abroad In this case, all quantities imported should be regarded as consumed. This is the only case in which the equation “consumption equals import” is valid.

Category II: Countries where the retailers obtain their supplies solely from local manufacturers or wholesalers. In this case, quantities consumed refer to those quantities of narcotic drugs distributed by the manufacturers or wholesaler(s) to the retailers.

Category III: Countries where the retailers obtain their supplies mainly from local manufacturers or wholesalers, but where some retailers import narcotic drugs directly. In this case, quantities consumed refer to those quantities of narcotic drugs distributed by the manufacturers or wholesalers to the retailers, plus the quantities of narcotic drugs imported directly by retailers.

Stocks as defined by the Single Convention

12. “Stocks” under the provisions of the Single Convention are understood as the quantities of drugs held in a country or territory and intended for:

• 1. Consumption in the country or territory for medical and scientific purposes;
• 2. Utilization in the country or territory for the manufacture of other narcotic drugs, preparations included in Schedule III of the Single Convention and substances not controlled under the Single Convention, or
• 3. Export; but do not include the amounts of drugs held in the country or territory:
• 4. By retail pharmacists or other authorized retail distributors and by institutions or qualified persons in the duly authorized exercise of therapeutic or scientific functions, or
• 5. As “special stocks” (please refer to article 1, paragraph 1, subparagraph (w), of the Single Convention, or paragraph 68 below, for a definition of special stocks).

13. This definition implies that countries having a distribution circuit of the Category I type (see the part on the narcotic drugs distribution circuit) do not have stocks in accordance with the Single Convention.

14. Only quantities of narcotic drugs held in reserve by manufacturers and wholesalers at 31 December of the year to which the estimates relate, are regarded as stocks. However, they should also include stocks to be held in bonded warehouses, free ports or free zones. Stocks may be in the form of base drug, or in the form of preparations; however, preparations included in Schedule III of the Single Convention should not be included. It is understood that manufacturers or wholesalers may be private companies or State establishments. In the latter case, it is important not to confuse “special stocks“ intended for military purposes and to meet exceptional circumstances, with stocks held in reserve for the normal needs of the civilian population.

Production of narcotic drugs

7. The Single Convention uses the term “production” only when referring to the separation of opium, coca leaves, cannabis and cannabis resin from the plants from which they are obtained. Production should not be confused with “manufacture”, which is explained in the following paragraph.

Manufacture of narcotic drugs

8. The Single Convention defines “manufacture” as any process, other than production, by which drugs may be obtained, including refining and the transformation of drugs into other drugs. However, for the purpose of statistical returns submitted to INCB, only the quantities of base drug manufactured should be reported. In order to avoid double counting, the quantities of preparations and salts, isomers, esters and ethers of a drug manufactured from the same drug should not be reported. Similarly, the quantities of narcotic drugs obtained through refining should not be reported.

9. Governments do not have to and shall not report to INCB the quantities of narcotic drugs used for the manufacture of preparations which are not included in Schedule III, because these preparations are subject to the same measures of control as the narcotic drugs which they contain (with exceptions indicated in article 2, paragraph 3, of the Single Convention). Consequently, the monitoring by INCB of the licit movement of narcotic drugs contained in these preparations continues until their consumption, on which specific reports must be submitted to INCB.

Poppy straw and cannabis leaves

10. The separation of poppy straw from the opium poppy, and that of cannabis leaves not accompanied by the tops from the cannabis plant, are neither “production” nor “manufacture” because the straw and the leaves are not listed in Schedule I or II of the Single Convention and therefore are not considered as drugs. However, since poppy straw plays a role as an opiate raw material and may also be diverted, some measure of control over the cultivation of opium poppy for purposes other than the production of opium is needed and is thus provided for by article 25 of the Single Convention. In addition, article 25provides for the control of the poppy straw used for the manufacture of narcotic drugs, as well as its international trade.

Preparations in Schedule III (Commonly Misuse of Drugs Regulations 2001 Schedule 5 drugs)

11. As far as the manufacture of preparations is concerned, Governments are only required to report to INCB the quantity of narcotic drugs used for the manufacture of preparations included in Schedule III. This is because the preparations included in Schedule III are exempted from several control measures, including control of international trade, and reporting on quantities manufactured and their consumption. If a Government considers it useful, for national control or other purposes, to report statistical information on Schedule III preparations, it should specify such information in the cover page of the quarterly and annual forms sent to INCB

12. Due to the exemption of Schedule III preparations from certain control measures, it is not possible to monitor the movement of these preparations at the international level. Consequently, monitoring by INCB of the licit movement of narcotic drugs contained in Schedule III preparations finishes at the moment of their utilization for the manufacture of these preparations. It is important that the Board is informed of the quantities of narcotic drugs used for this purpose.