Impact Of Taxing Sugary Drinks And Its Consequences

Sugary drinks have increasingly become a common part of people’s daily lives, with consumption rates reaching alarming levels. These beverages are often featured at nearly every social gathering, but their growing presence is raising concerns about the health risks associated with them, prompting a need to reassess their widespread consumption.

Harvard Health opined that “Common sources of added sugar include soft drinks, fruit drinks, flavored yogurts, cereals, cookies, cakes, and candy”. Taxing sugary drinks can lower consumption and reduce obesity, type 2 diabetes, and tooth decay, says a new WHO report. Fiscal policies that lead to at least a 20 per cent increase in the retail price of sugary drinks would result in proportional reductions in consumption of such products, according to the report titled “Fiscal Policies for Diet and Prevention of Non communicable Diseases (NCDs)”.

Reduced consumption of sugary drinks means lower intake of “free sugars” and calories overall, improved nutrition, and fewer people suffering from obesity, obesity, diabetes, and tooth decay.

What is Soda tax? “A tax on sugary drinks, also known as a soda tax, is a surcharge on sweetened beverages to reduce consumption. The goal is to improve public health by reducing obesity, diabetes, and cardiovascular disease”.  How do taxes on sugary drinks work? Raise prices: Taxes make sugary drinks more expensive, which discourages people from buying them. Encourage reformulation: Companies reformulate drinks to have less or no sugar to avoid the tax. Raise revenue: Taxes can be used to fund preventative health programs. “As of July 2022, at least 108 countries worldwide apply national-level excise taxes to at least one type of sugar-sweetened beverage. However, most are not leveraged as a public health policy” WHO.

The benefits of cutting down on sugar are enormous, let us take a trip to the reasons for choosing to:

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Weight Loss: One significant sign you see when you cut down on sugar is weight loss. “A weight loss journey involves making healthy lifestyle changes to your diet and exercise habits. The best way to lose weight is slowly and sustainably” Medical News Today. Mayo Clinic gives us basic guides to weight loss by “eating more fruits, vegetables, and whole grains, eat fewer refined grains, like white bread and rice, choose healthy fats, like olive oil, avocados, and nuts, limit foods and drinks with added sugar, choose low-fat or fat-free dairy, eat fresh foods instead of processed food, exercise.

Heart Health: “Consuming too much sugar can increase your risk of heart disease, stroke, and type 2 diabetes. Sugar can lead to weight gain, high blood pressure, inflammation, and fatty liver disease” Harvard Health.  Cutting down on sugar can lower your blood pressure and risk of heart attack.

Diabetes: Cutting down on sugar can reduce your risk of developing type 2 diabetes. It can also help improve insulin sensitivity. Eating too much sugar can contribute to diabetes and worsen it if you already have it. “To diagnose diabetes, a healthcare provider can check your blood glucose level. They can do this with a fasting blood glucose test, or a random blood glucose test” Cleveland Clinic.

Skin: A good skincare routine involves reducing your sugar intake. “Cutting down on sugar can help improve the appearance of your skin by reducing acne and increasing collagen production,” says Spire Healthcare.

Imposing a tax on sugary drinks is more than just a financial policy—it’s a proactive step toward improving public health. With rising obesity rates, increasing cases of type 2 diabetes, and growing concerns over heart disease, regulating sugar intake through taxation can serve as an effective deterrent to overconsumption.

According to the World Health Organisation, countries that have implemented sugar taxes have seen a decline in the purchase of sugary beverages, leading to better overall nutrition and lower obesity rates. Additionally, revenue generated from these taxes can be reinvested into public health initiatives, making it a win-win strategy.

Beyond taxation, the personal benefits of reducing sugar intake—such as weight loss, better heart health, diabetes prevention, and improved skin—are undeniable. A healthier society starts with conscious choices, and implementing policies like sugar taxes ensures that those choices become easier to make.