Reducing Sugary Drink Consumption: Taxation vs. Education and Labeling

2023-09-10 14:34:04

As jurisdictions try to find ways to reduce the consumption of sugary drinks, two solutions are on the table.

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In an interview on LCN, a food industry specialist indicates that the idea of ​​taxing sugary drinks is not the only solution to dissuade consumers.

Currently, two Canadian provinces tax “sugar”: British Columbia and Newfoundland and Labrador.

While the Western Canadian province requires a 7% tax on high-sugar drinks, Newfoundland and Labrador authorities are not targeting the consumer directly.

“This tax is upstream of the chain in terms of the cost of processing, and it is a tax which is still more important,” underlines Sylvain Charlebois.

AFP

Is the arrival of these sums in state coffers reinvested in the health system or in programs against obesity?

For example, in the case of Newfoundland and Labrador, $11 million was collected from manufacturers in the last year.

“When we look at academic research, it’s clear that education is an extremely effective tool,” he says, citing as an example the reduction in the consumption of sugary drinks in recent years.

“We went from 117 liters per person to 48 liters per person, it’s enormous. People know that soft drinks are okay, but drinking too much of them is really bad for your health. People are starting to understand that.”

AFP

By 2026, Health Canada will require a new tool to help consumers recognize a drink that is too sweet.

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“There will be a logo on the product indicating that this product has too much sugar. In my opinion, when you buy products at the grocery store, it is an extremely important and effective tool to make people aware of products that are good or less good for your health,” explains Mr. Charlebois.

This labeling will be imposed on the product depending on the proportion of sugar in the product.

“When we see something like 15, 18%, it starts to be a lot, it starts to be huge!” he recalls.

“In a few years, if there is no reformulation, you will see logos telling you that this product has a lot of sugar. In my opinion, this is probably something that will help people enormously. Taxing for the sake of taxing is probably a bad idea.”

*Watch the interview in the video above*

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