sporadic conflict with Thailand over
alignment of border

world's second largest producer of illicit opium, after
Afghanistan (potential production in 1999 - 1,090 metric tons, down
38% due to drought; cultivation in 1999 - 89,500 hectares, a 31%
decline from 1998); surrender of drug warlord KHUN SA's Mong Tai Army
in January 1996 was hailed by Rangoon as a major counternarcotics
success, but lack of government will and ability to take on major
narcotrafficking groups and lack of serious commitment against money
laundering continues to hinder the overall antidrug effort; becoming a
major source of methamphetamines for regional consumption