A few things:
First, I'd wager that picture was from mid-2003.
Second, many AKs were warehoused and later re-issued to ING and IP forces. Many, however, were in such a sad state that they didn't warrant being re-issued. I know a few that my unit wound up with for "training purposes" (read fun) were some pretty sad examples with missing parts, corrosion, and spotty performance. The type 56 I got to play with exhibited some of the worst trigger slap I've ever felt. We "acquired" a tabuk AKM as a truck gun, and though it didn't hurt to shoot, it rarely made it through a magazine without a mishap, and definately wasn't in any condition to re-issue as a first line defense weapon.
As far as the Dragunov, Al-Kaideshe (sp?), PSL as war trophys are concerned, I concur. Soldiers should be allowed to take home low cap semi autos as war trophys. Hell, I think they should be able to bring back AKMs as well, and allowed to register one per tour tax free with the BATFE, but I ain't king so it's not going to happen. Concerning the whole import / funding thing, the military isn't into the import and profit game. It would be nice if they just allowed an importer to contract it out over there, but the focus has always been elsewhere, and will continue to be. We see treasures we'd love to fill our safes with, they see obsolete equipment that is of no use to them in theater.
Saleen