Prices of Coca-Cola, Pepsi, Fanta, others may go up as Nigerian govt mulls 20% sugar tax

The Federal Ministry of Health has committed to raising the tax on beverages with added sugar from the existing 10 percent rate to 20 percent.

This is in efforts to fight growing public health issues linked to consuming too much sugar.

The tax, the ministry continued, would discourage people from buying SSBs and push them to switch to healthier beverages.

Popular SSBs amongst Nigerians include Coca-Cola, Pepsi and Fanta.

The Director/Head, Public Health Department, Federal Ministry of Health, Dr. Chukwuma Anyaike, disclosed this at the Pro-Health Tax Policy Campaign on SSB, held at the Federal Ministries of Finance and Health respectively on Tuesday, in Abuja.

She said, “Taxation on SSBs has been successfully implemented in countries like Saudi Arabia, South Africa, Spain, Portugal, and so many others to reduce the consumption of sugar-sweetened drinks.

Read Also: SEC shuts down Stockmatch Investments

“The introduction and sustenance of the tax in Nigeria will also reduce excess consumption of SSBS and thus reduce the burden of NCDs. We are committed to attaining the global best practice of at least 20% of the final retail price on all SSBS as the current 10 naira per liter price fails to achieve that. This campaign aligns with other government efforts in improving the public health of the Nigerian populace to meet up with the global priority of significantly reducing NCDs”, she said.

SSBs are non-alcoholic beverages containing sugars. The drinks are known as the main sources of added sugars in diets, which increase the risks of diabetes.

According to the National Action on Sugar Reduction (NASR), a coalition of health organisations, “Nigeria is the 4th highest ranking soft drink consuming country in the world. As at 2019, Nigeria was ranked 7th highest per capita consumption of carbonated soft drinks globally with 498 ounce servings consumed annually.

“38.7 million litres of soft drinks are sold yearly, contributing to the prevalence of NCD related diseases. $4.5 million Is spent yearly by Nigerians on the treatment of Diabetes – only one of a number of NCDs. 29 per cent Of deaths in Nigerians are NCDs related (diabetes, obesity, cardiovascular diseases).”

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now