Open secrets: Corruption in Free Trade and Special Economic Zones as an enabler for illegal wildlife trade

The document argues that while FTZs and SEZs are not the sole cause of illegal wildlife trade (IWT), their inherent characteristics—such as simplified customs, limited oversight, and legal opaqueness—act as facilitators for both IWT and corruption. Through case studies of the Golden Triangle SEZ (Laos), Suifenhe FTZ (China), and Las Palmas FTZ (Spain), the author demonstrates that corruption in these zones often mirrors national patterns but is amplified by the zones' complexity. Key drivers include social and cultural norms, such as the desire to 'lose face' or the acceptance of corruption as a business norm. The report also highlights the risk of 'displacement,' where strict regulations in one country push illicit activities to less regulated jurisdictions. It concludes with recommendations for governments and multilateral organizations to implement clearer oversight, regional coordination, and certification schemes to mitigate these risks.

• FTZs and SEZs facilitate illegal wildlife trade (IWT) and corruption by providing an additional layer of opaqueness and complexity, characterized by simplified customs, limited inspections, and reduced oversight.
• In the Golden Triangle SEZ in Laos, corruption manifests as the omission of duties by officials, including providing advance notice of 'emergency' inspections to allow illegal wildlife products to be hidden.
• The Suifenhe FTZ in China illustrates how national-level customs harmonization and the social acceptance of corruption as a business norm facilitate the illegal timber trade from Russia.
• The Las Palmas FTZ in Spain historically enabled illegal, unreported, and unregulated (IUU) fishing due to a permissive legal regime, poor inspections, and a lack of sufficient customs personnel.
• Social and cultural norms, such as the desire of Lao officials to avoid 'losing face' internationally or the loyalty to in-groups, act as significant drivers for corruption and IWT.
• Strict environmental regulations in one country can lead to the 'displacement' of illicit activities to countries with weaker institutional frameworks, creating a 'race to the bottom'.
• Large-scale infrastructure projects associated with FTZs/SEZs can facilitate IWT by providing cheaper access to remote areas and creating opportunities for grand corruption in procurement.

APA

Cassolis, N. M. (2022). Open secrets: Corruption in Free Trade and Special Economic Zones as an enabler for illegal wildlife trade. WWF International. https://www.worldwildlife.org/documents/152/6pghxs9zpy_Corruption_in_FTZ_SEZ_as_an_enabler_for_IWT.pdf

Chicago

Cassolis, Natalia Muñoz. Open secrets: Corruption in Free Trade and Special Economic Zones as an enabler for illegal wildlife trade. WWF International, 2022. https://www.worldwildlife.org/documents/152/6pghxs9zpy_Corruption_in_FTZ_SEZ_as_an_enabler_for_IWT.pdf.

Wikipedia

{{cite report |last1=Cassolis |first1=Natalia Muñoz |title=Open secrets: Corruption in Free Trade and Special Economic Zones as an enabler for illegal wildlife trade |publisher=WWF International |date=May 2022 |url=https://www.worldwildlife.org/documents/152/6pghxs9zpy_Corruption_in_FTZ_SEZ_as_an_enabler_for_IWT.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{cassolis2022open, author = {Cassolis, Natalia Muñoz}, title = {{Open secrets: Corruption in Free Trade and Special Economic Zones as an enabler for illegal wildlife trade}}, institution = {WWF International}, year = {2022}, month = may, url = {https://www.worldwildlife.org/documents/152/6pghxs9zpy_Corruption_in_FTZ_SEZ_as_an_enabler_for_IWT.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }