How much did sugary drinks reduce in 2014?
What difference did the tax make?
Does Mexico have sugar?
Is tax a part of obesity?
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Is there sugar tax in Mexico?
To reduce consumption of the beverages, effective January 1, 2014, the Mexican government implemented an excise tax of 1 peso per liter on all nonalcoholic beverages with added sugar (including powdered sugar-sweetened beverages based on their reconstitution and flavored or sweetened dairy products that are not milk).
Why did Mexico implement sugar tax?
Mexico's high mortality and morbidity rates related to sugar-sweetened beverages led lawmakers to implement a tax of 1 peso per liter on all non-alcoholic drinks with added sugar starting in January 2014 — with the goal of improving health outcomes .
Which countries have a tax on sugar?
Among nations in the Middle East and Africa, sugar taxes are in play in countries including Saudi Arabia, the United Arab Emirates, Oman and South Africa. In Asia Pacific, several long-standing sugar taxes are in effect and more recent legislation has been applied in Thailand and Malaysia.
Does Mexico have a soda tax?
In 2014, Mexico imposed an excise tax of 1 peso per liter on sugar-sweetened beverages.
Is food taxed in Mexico?
Since January 2014, Mexico has levied an eight percent tax on nonessential foods with an energy density greater than or equal to 275 kilocalories per 100 grams; examples include salty snacks, chips, cakes, pastries and frozen desserts.
Is there sugar tax on Diet Coke?
It does not apply to any drink where no sugar is added, which includes some of our most popular drinks, including Coca‑Cola Zero Sugar and Diet Coke, amongst others. The vast majority of our 20 drinks brands have not been subject to the tax.
Is there sugar tax in USA?
The tax is levied on distributors, who pay 1.75 cents per ounce. Data included all sales from the available sample of food stores inclusive of supermarkets and mass merchandise stores, as well as grocery, drug, convenience and dollar stores — covering about 45% of all food store sales.
What country passed taxes on drinking sodas?
In 2014, The Navajo Nation passed the Healthy Diné Nation Act (HDNA) to place a 2 percent tax on sugar-sweetened beverages and high-salt, high-fat, and high-sugar snacks.
When did Mexico introduce the sugar tax?
1 January 2014From 1 January 2014, Mexico implemented an excise tax of 1 peso per litre (approximately 10% increase in price) on sugar sweetened drinks aimed at reducing consumption.
How would a sugar tax improve obesity rates?
Taxation on sugary drinks is an effective intervention to reduce sugar consumption (8). Evidence shows that a tax on sugary drinks that rises prices by 20% can lead to a reduction in consumption of around 20%, thus preventing obesity and diabetes(9).
How much soda do Mexicans drink?
Mexicans are the thirstiest consumers of sugary drinks in the world. Each gets through an estimated 163 litres (36 imperial gallons) on average per person every year - 40% more than an average American (who drinks 118 litres, or 26 gallons).
Should government tax sugary drinks?
A tax on sugary drinks can help: Raises revenue for important programs like healthier food in schools, increasing access to healthy food for low income people, initiatives to prevent diabetes and other chronic diseases, education campaigns about sugary drinks and healthy eating, and universal pre-k.
Mexico's sugar tax leads to fall in consumption for second year running
Mexico has high rates of obesity – more than 70% of the population is overweight or obese – and sugar consumption. More than 70% of the added sugar in the diet comes from sugar-sweetened drinks.
Sugar Taxes Back on the Menu | Soda Taxes | Tax Foundation
After a few years without much attention, taxes on sugar-sweetened beverages (SSBs) are back in the headlines, with at least four states—Connecticut, Hawaii, New York, and Washington—considering such statewide taxes. Today, only localities (10 at the time of writing) levy excise taxes on sugary drinks in the U.S., but that could change this year.
Mexico’s sugary drinks tax has helped cut consumption after just ...
Findings suggest “health taxes” are an effective means of deterring consumption Introducing a sugary drinks tax in Mexico seems to have helped reduce consumption of soft drinks after just three years, finds a study published by The BMJ today. Mexico has some of the highest levels of diabetes, overweight, and obesity in the world. From 1 January […]
How much did sugary drinks drop in Mexico in 2014?
The decline in sugary drink purchases grew over time, reaching a 12% drop in December 2014. To reach these numbers, the study authors looked at data on beverage purchases in Mexico from January 2012 to December 2014 (before and after the tax was put into place).
When did California add taxes on sugar?
Similar strategies have been debated in the U.S. as well, and Berkeley, California added a tax to sugar-sweetened beverages in March 2015. Still, there’s little research on the effects of taxes for beverages, like soda, over time.
Why is there a 10% tax increase in Mexico?
In January 2014, Mexico implemented an excise tax of 1 peso per liter for sugar-sweetened beverages as a way to cut down on the country’s growing obesity epidemic.
Can taxes be part of a public health strategy?
In a corresponding editorial, Franco Sassi, a senior health economist at the Organisation for Economic Co-operation and Development in Paris, writes that “taxes can be part of a public health strategy —and Mexico’s is a great example for other countries—but they cannot be viewed as a magic bullet in the fight against obesity.” He adds that more research is needed to understand how taxes can play a role, and that complementary policies like health education are also needed for a comprehensive anti-obesity initiative.
Which country introduced the sugar tax on soft drinks?
One of the first countries to introduce a sugar tax on soft drinks was Mexico in 2014. They added just one peso or around half a US cent per litre.
Is Mexico a sugar tax?
Mexico's sugar tax. On Health Report with Dr Norman Swan. Many public health experts including in Australia, argue that a tax on sugar sweetened beverages would reduce consumption and therefore potentially lower the risks of diabetes and obesity. One of the first countries to introduce a sugar tax on soft drinks was Mexico in 2014.
Is there a sugar tax on soft drinks?
One of the first countries to introduce a sugar tax on soft drinks was Mexico in 2014.
How much of Mexico is overweight?
Health experts are watching the progress of the tax to see if it will lower the rates of obesity-related diseases and type 2 diabetes. More than 70% of the population of Mexico is overweight or obese. Photograph: Alamy. More than 70% of the population of Mexico is overweight or obese. Photograph: Alamy.
How many countries have introduced sin taxes?
A new report from Euromonitor International said that 19 countries had so far introduced what it called “sin taxes” on food and drinks and more would do so in the near future, with the aim of reducing sugar consumption by 20% in line with guidance from the World Health Organisation.
What is Mexico famous for?
Mexico is a nation famous for its love of Coca-Cola. The study has been carried out by the University of North Carolina at Chapel Hill’s Gillings School of Global Public Health and the Mexican Instituto Nacional de Salud Pública (National Institute of Public Health).
Which countries exceed the fat intake recommendation?
Euromonitor’s Passport Nutrition data shows that 37 of the 54 (69%) researched countries exceed the fat intake recommendation, and 38 (70%) exceed the sugar recommendation. The top three sugar consumers are Chile, the Netherlands and Belgium, while the top three fat consumers are Germany, Sweden and Austria,” it said. Topics.
Is Mexico a sugar tax?
Mexico’s sugar tax appears to be having a significant impact for the second year running in changing the habits of a nation famous for its love of Coca-Cola, and will encourage countries troubled by obesity and contemplating a tax of their own. An analysis of sugary-drink purchases, carried out by academics in Mexico and the United States, ...
Why is sugar tax bad in Mexico?
A negative aspect of the sugary beverage tax in Mexico is that the revenue raised is not being directed to the prevention of obesity.
What countries tax sugary drinks?
Faced with overwhelming obesity rates, in January 2014 Mexico became one of the first countries in the world to impose a tax on sugary drinks. The tax was imposed on any beverages with added powder, syrup, flavour extract, sugar or caloric sweeteners. Fizzy drinks, energy drinks, bottled tea and coffee, fruit juice and any fruit-flavoured drink ...
How much did sugary drinks drop in 2014?
On average, a 6% drop in sugary drink purchases was achieved in 2014. By the end of 2014, a 12% fall had occurred. Among the poorest households, the annual average sale of sugary drinks dropped by 9% and by December 2014, sales had decreased by 17%. Sales of bottled water and beverages with no added sugar increased by 4%.
What is the bread that is made in Mexico?
The everyday bread in Mexico has always been the tortilla. Traditionally produced from corn grown in “milpas” – an environmentally sustainable agricultural system in which corn, beans and squash grow symbiotically – the tortilla now has a great rival: fizzy drinks.
What is the Mexican diet?
Cherished for its rich nutritional value, the traditional Mexican diet is composed of abundant fruit and vegetables, whole grains, pulses and spices. The everyday bread in Mexico has always been the tortilla.
Does Mexico have free fridges?
The beverage industry provided shops in Mexico with free fridges. Takamex/Shutterstock.com
Does sugar tax reduce inequalities?
Although it’s too early to know if overall sugar consumption has gone down, the results so far show that the tax could potentially reduce inequalities if it improves health behaviour s among poorer communities and encourages spending on healthier – or less unhealthy – products.
How many countries have taxes on sugar sweetened beverages?
Countries that have taxes on sugar-sweetened beverages (SSBs) About 40 countries have implemented taxes on sugar-sweetened beverages to date. These countries are listed below, with details including the implementation date and type of tax used. More countries are adopting a tiered tax design, which applies different tax rates depending on sugar ...
Which countries have import tariffs on SSB?
In addition to the countries in the table, Micronesia, Palau, Papua New Guinea and the Solomon Islands have import tariffs for SSB. However, these tariffs are the same rate as for water, so were not included in the table. 3
What is a tiered excise tax?
Tiered. A tiered excise tax applies different rates depending on sugar content – for example, the Soft Drinks Industry Levy (SDIL) in the United Kingdom (UK) has different rates for drinks containing more than 8 grams of sugar per 100 millilitres, and for drinks containing 5 to 8 grams of sugar per 100 millilitres.
What is SSB tax?
Many Pacific Island countries have introduced SSB taxes. The table below uses the following definitions: Type of tax. Excise tax – a tax levied on a particular product at point of manufacture. An excise tax can be either: Specific – based on quantity (e.g. volume or sugar content) OR. Ad valorem – calculated on a percentage ...
What is the study of awareness of the Mexican SSB tax?
Despite these limitations, the study has several strengths. Foremost, it provides the first analysis of awareness of the Mexican SSB tax and opinion about its effectiveness in reducing purchases of SSBs in addition to its relationships with a self-reported change in SSB consumption and with current consumption among Mexican adults. It is also the first to assess the association of self-efficacy, taste preference, and health beliefs with SSB consumption in Mexico on a national scale. Findings are generalizable nationally because the ENSANUT 2016 survey uses a probabilistic representative sample.
How much did SSBs decrease in Mexico?
Studies conducted since the implementation of the tax indicate that SSB purchases by Mexican households declined by 7.6% on average in 2014 and 2015, even more than trends predicted [ 19, 20 ]. The decrease in purchases suggests a corresponding reduction in SSB consumption and therefore of caloric intake. The decrease in purchases and consumption may not be fully explained by the (economic) elastic nature of SSBs [ 19 ], but may be the result of an increased awareness of the detrimental health effects of SSBs. One study conducted prior to the implementation of the tax had already found declines in sales of SSBs in Mexico which, the authors hypothesize may have been due to “ [a very] visible and well-funded media campaign linking [SSBs] with diabetes” [ 21 ].
What is the effect of being aware of SSB tax?
Compared with adults not aware, adults who were aware of the SSB tax were more likely ( OR = 1.30) to report a decrease in SSB consumption ( p = .012). In urban areas, adults aware of the tax drank a significantly lower amount of taxed SSBs (-15.7%; p = .023) than those not aware. Self-efficacy and liking of SSBs were significantly associated with a reported decrease in consumption and with current consumption ( p < .001), while health beliefs and availability of potable water were not significantly associated with either reported change in SSB consumption or current consumption of taxed SSBs.
How many people are aware of the SSB tax?
At national level, 65.2% of the respondents reported being aware of the existence of the SSB tax, however, only 20.3% indicated that they thought the SSB tax was helping to decrease the purchase of the SSBs ( Fig 1 ); the majority of those who reported being aware of the tax (53.1%) indicated that they thought it was not reducing purchases of SSBs. The percentage of respondents who thought that the SSB tax was reducing purchases of SSBs was significantly greater among individuals aware of the SSB tax (12.1%) than among those not aware of the SSB tax (8.2%).
What is Ensanut in Mexico?
The ENSANUT is a nationally representative probabilistic multistage stratified cluster survey constructed with sufficient sampling power to make distinctions between urban (≥ 2,500 inhabitants) and rural (< 2,500 inhabitants) areas , and among four geographic regions (categorized as North, Central, Mexico City, and South). Sampling weights are used to estimate nationally representative values. (A detailed description of the sampling procedures and survey methodology has been described elsewhere [ 31 ].) The ENSANUT 2016 was approved by the Research, Ethics and Biosafety Committees at the National Institute of Public Health. Written informed consent was obtained from all study participants. Trained personnel administered all questionnaires and measures face-to-face.
What is logistic regression in Mexican health?
Logistic regression was used to evaluate the probability of a person reporting a decrease in SSB consumption, given their awareness of the tax, opinion about its effectiveness, psychosocial (SSB health-related beliefs, self-efficacy, and liking of SSBs) and environmental (availability of potable water) determinants. Multiple linear regression analysis was utilized to examine the association between the aforementioned factors and current consumption of taxed SSBs.
Where is the SSB tax most prevalent?
In the current study, the largest percentage of respondents aware of the SSB tax was again found among people living in Mexico City and in urban areas, and of high SES. This finding is congruent with our hypothesis and can be explained by the fact that Mexico City was the stage of most of the advocacy and opposition campaigns, and that people of high SES living in urban areas might have had increased exposure and attentiveness to all the health messaging (print media, television, radio debates, etc.) about SSBs that went with the tax.
What is corporate tax in Mexico?
Corporate Taxation in Mexico. The corporate income tax is a tax on the profits of corporations. All OECD countries levy a tax on corporate profits, but the rates and bases vary widely from country to country. Corporate income taxes are the most harmful tax for economic growth, but countries can mitigate those harms with lower corporate tax rates ...
Why do countries need to define tax rules?
As a result, countries need to define rules determining how, or if, corporate income earned in foreign countries is taxed. International tax rules deal with the systems and regulations that countries apply to those business activities.
What is the International Tax Competitiveness Index?
The Tax Foundation’ s International Tax Competitiveness Index (ITCI) measures the degree to which the 36 OECD countries’ tax systems promote competitiveness through low tax burdens on business investment and neutrality through a well-structured tax code. The ITCI considers more than 40 variables across five categories: Corporate Taxes, Individual Taxes, Consumption Taxes, Property Taxes, and International Tax Rules.
How do countries raise taxes?
Countries raise tax revenue through a mix of individual income taxes, corporate income taxes, social insurance taxes, taxes on goods and services, and property taxes. The mix of tax policies can influence how distortionary or neutral a tax system is. Taxes on income can create more economic harm than taxes on consumption and property.
What is the impact of marginal income tax on social security?
High marginal income tax rates impact decisions to work and reduce the efficiency with which governments can raise revenue from their individual tax systems.
What is individual tax?
Individual taxes are one of the most prevalent means of raising revenue to fund government across the OECD. Individual income taxes are levied on an individual’s or household’s income to fund general government operations. These taxes are typically progressive, meaning that the rate at which an individual’s income is taxed increases as the individual earns more income.
Is Mexico a multifaceted country?
Each country’s tax code is a multifaceted system with many moving parts, and Mexico is no exception. The first step towards understanding the Mexico tax code is knowing the basics.
How much did sugar sweetened beverages drop in Mexico in 2014?
Since 2014, the sales of sugar-sweetened beverages have dropped throughout Mexico. Sales dropped by 5.5 percent the first year. By the second year, sales were down by 9.7 percent. The sales of untaxed beverages increased by about 2 percent. However, the calorie intake of the average person has remained unchanged.
Why is soda tax in Mexico?
In response to the growing health concerns associated with obesity and diabetes, the soda tax in Mexico has been implemented to reduce liquid sugar consumption and promote healthier lifestyle choices.
How many liters of soda did Mexico drink in 2012?
In 2012, the average person consumed 176 liters per year. Mexico made the world’s top consumer of soda per capita. The popularity of sugary drinks has come with negative consequences. As soda consumption rose, the number of people suffering from obesity and diabetes in Mexico also increased. While sugar-sweetened beverages were not ...
What is the purpose of soda tax?
The purpose behind the soda tax was twofold: Reduce the consumption of liquid sugar that contributed to high obesity and diabetes rates. Increase funding for public health-based programs to promote healthy lifestyle choices.
Why do diabetics need soda tax?
The “Soda Tax” sought to help with the lifestyle change by saving people who avoided sugary drinks money.
Why is soda tax important in Mexico?
The most common form diagnosed was Type 2 diabetes, which causes blood glucose (sugar) levels to be higher than normal. The exact cause remains unclear, but obesity was strongly linked to the development of Type 2 diabetes.
What is the Mexican diet?
Consequently, the average Mexican diet has higher carbs and fats than recommended. The poor have been the most vulnerable to obesity.
When did Hungary put a 4 cent tax on sugar?
In 2011, Hungary put a 4-cent tax on packaged foods and drinks that contain high levels of sugar and salt in certain product categories, including soft drinks, candy, salty snacks, condiments, and fruit jams.
Which countries have junk food taxes?
Only Hungary and Mexico have junk food taxes so far. Health researchers and officials have long contemplated junk food taxes, but have focused most of their energy on soda taxes to date. Sugary drinks were a natural starting place to experiment with government intervention in the food environment since there’s a lot of evidence linking sugary ...
Why are there junk food taxes?
Junk food taxes seem to curb junk food consumption among the people who eat more of it. Researchers who have studied the impact of junk food taxes found they’ve changed people’s eating habits for the better. In a recent evaluation of the Mexico junk food tax, people bought 7 percent less junk food than they would have if the tax hadn’t been imposed.
Why did junk food consumption decrease in Hungary?
The World Health Organization has looked at the Hungary tax, and found that junk food consumption decreased both because of the price increase and also the educational campaigns around the tax — an effect also seen with soda taxes.
What is the counter to unhealthy food taxes?
One of the most popular counters to unhealthy food taxes is the “nanny state” argument — that they infringe on people’s freedom of choice.
When was the first soda tax passed?
People in places like Berkeley, where the first soda tax passed in 2013, are very minimal consumers of soda. “I hesitate to imagine that [a junk food tax] is something that would be very popular outside of just a few cities that are already leaning in this direction,” Just said.
Which study found that the junk food tax had the greatest effect among low-income groups?
Another key finding from the Mexico studies and Hungary studies was that the junk food tax seemed to have the greatest effect among low-income groups and people who were big consumers of junk food prior to the tax.
How much did sugary drinks reduce in 2014?
On average they reduced their purchases by nine per cent during 2014, which by December 2014 reached a 17% reduction.
What difference did the tax make?
In 2014 the sugary drinks tax was introduced. In order to understand whether this actually made a difference and encouraged people to buy less sugary drinks we analysed information from households in 53 cities in Mexico. Our evaluation, published in the British Medical Journal (BMJ), showed that the tax had an effect. The good news – on average there was a six per cent decline in the amount (ml) of taxed drinks bought during 2014 compared to pre-tax trends, and the downward trend reached 12% by December 2014. All socioeconomic groups reduced the amount of taxed drinks they bought. One of the major findings was that those from lower socio-economic households actually reduced the amount of taxed sugary drinks they bought more than any other group. On average they reduced their purchases by nine per cent during 2014, which by December 2014 reached a 17% reduction. Our findings also showed a four per cent increase in purchases of untaxed beverages, mainly bottled water, during 2014.
Does Mexico have sugar?
Mexico faces an epidemic of obesity and has one of the highest intakes of sugary drinks in the world. In 2013, the Mexican Congress approved a $1 peso excise tax, (approximately 10%), to non-dairy and non-alcoholic drinks with added sugar. The question now on everyone’s mind is – did it have an impact?
Is tax a part of obesity?
Tax is only a part of a comprehensive obesity strategy. A modest tax of only about 10% was associated with a decline in purchases of taxed drinks and an increase in sales in healthier drinks that were untaxed, indicating that the tax was effective.
