Up to 50pc sales tax on sugary beverages demanded
KARACHI: Senior health experts, nutritionists, activists, and people from different walks of life unanimously demanded the authorities increase taxes and duties on sugary drinks and beverages up to 50 per cent, referring to evidence from different countries around the world that indicated that by making them expensive, people could be prevented from getting obese and becoming diabetic.
Addressing a consultative meeting at a local hotel, they said that at a time when the prevalence of diabetes in Pakistan is the highest in the world, increasing taxes and duties on sugar-sweetened beverages (SSBs) would not only prevent diabetes, cardiovascular disease, and several other non-communicable diseases (NCDs), but it would also result in generating millions of dollars in revenue that can be used for health promotion, healthcare professionals and experts said on Wednesday.
“In Pakistan, the prevalence of diabetes is around 30.8pc which is the highest in the world,” said Prof Abdul Basit, Secretary General of the Diabetic Association of Pakistan (DAP), while addressing the meeting. “One of the leading causes of diabetes and other NCDs is the high consumption of sugary drinks. We strongly believe that if taxes and duties on SSBs are increased up to 50pc, incidence of obesity and type-2 diabetes can be brought down significantly.”
The meeting was organised by the DAP in association with the Pakistan National Heart Association (PANAH) and the Pakistan Nutrition and Dietetic Society (PNDS). Prof Basit said that the authorities should increase the federal excise duty on sugary drinks from 20 to 50pc. Sugary drinks are, unfortunately, becoming an increasingly essential part of household food consumption, with a 10pc increase in the last few years along with a gradual increase in production and decrease in price, he deplored.
Sanaullah Ghumman, Secretary General PANAH, said that sugary drinks were not a necessity and their increased cost would not impact the common population. However, the increasing cost of fuels, energy, and agricultural commodities will directly impact everyone.
He said the finance ministry should prioritise public health over corporate interest and increase tax on all sweetened drinks, including sodas, energy drinks, juices, including fruit juices, flavoured milk, iced tea, squashes, syrups, and sweetened powders used to make drinks.
“Increasing tax on sugary drinks is a triple win for the government, as the policy intervention does not cost anything to the government but helps reduce disease burden and hospital expenditure and increase revenue,” he added.
Published in Dawn, May 20th, 2023