Professor Felicia Anumah, a renowned expert in Endocrinology and Diabetology and the Director of the Centre for Diabetes Studies at the University of Abuja, emphasized the potential benefits of increasing taxes on sugary drinks. According to her, such a move could help reduce consumption and save costs associated with obesity-related health challenges and other health conditions.
Anumah highlighted that evidence has shown that a 20% increase in taxes on sugary drinks can lead to a corresponding 20% reduction in consumption, effectively preventing obesity and diabetes. This makes a strong case for scaling up taxation on sugar-sweetened beverages in the country, as even small changes in individuals’ diets can translate into significant improvements in overall population health at a relatively low cost.
Studies have demonstrated that implementing a tax of one cent per ounce on sugary drinks in the United States over a decade resulted in over $17 billion in healthcare cost savings. Anumah further explained that excessive sugar consumption remains a major contributor to health issues such as obesity, diabetes, and tooth decay. Those who regularly consume sugary drinks face a 26% higher risk of developing type 2 diabetes compared to infrequent consumers.
The professor pointed out that obesity is a global epidemic and a significant risk factor for non-communicable diseases (NCDs) like diabetes, heart diseases, and certain cancers. Over the past three decades, the shift in food culture and consumption habits due to globalization and urbanization has led to increased consumption of foods high in fats, sugars, salt, and sweeteners, contributing to the rise of obesity and related chronic diseases worldwide.
Anumah expressed concern over the recent suspension of the Sugar-Sweetened Beverage (SSB) Tax Policy, which had imposed an N10 per litre tax on sugary drinks as part of the Finance Act, 2021. She stressed the importance of combining programs that target individual behavior change with fiscal policies like excise taxes on SSBs to effectively reduce unhealthy food consumption.
Citing studies from various countries, Anumah noted that higher prices on sugary drinks are associated with lower demand and a subsequent decrease in the prevalence of overweight and obesity. The World Health Organization (WHO) also supports the taxation of sugary drinks as a significant action to reduce sugar consumption, similar to how taxing tobacco has helped decrease tobacco use.
The revenue generated from SSB taxes could be utilized to improve healthcare systems, promote healthier diets, increase physical activity, and support health promotion organizations advocating for healthy eating and reduced SSB consumption. Additionally, the funds could contribute to ensuring universal access to clean water, especially in areas where people rely on SSBs due to a lack of clean water.
In conclusion, Anumah stressed that implementing SSB taxes can be a win-win-win strategy, benefiting population health, government revenue, and health equity. It presents an opportunity to address public health challenges, improve health outcomes, and allocate resources for essential healthcare initiatives.
