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    HomeBusinessNGOs Call for 20% Increase in Sugar-Sweetened Beverages Tax by Federal Government

    NGOs Call for 20% Increase in Sugar-Sweetened Beverages Tax by Federal Government

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    By Milcah Tanimu

    A coalition of Non-Governmental Organizations (NGOs) has appealed to the Federal Government to implement a 20% tax on Sugar-Sweetened Beverages (SSBs) based on the final retail price. The aim of this tax increase is to curb sugar consumption and reduce the prevalence of Non-Communicable Diseases (NCDs).

    The Sugar-Sweetened Beverages Tax Coalition and Corporate and Public Participation Africa (CAPPA) jointly presented this recommendation during a press conference held in Abuja on Wednesday.

    Mr. Akinbode Oluwafemi, the Executive Director of CAPPA, noted that in 2021, the Federal Government introduced an Excise Duty of N10 per liter on SSBs. However, he expressed that the current N10/liter rate was insufficient and needed to be revised upward.

    Oluwafemi emphasized that the tax should be promptly raised to a minimum of 20% of the final retail price of SSBs to achieve the desired effect of reducing consumption and diminishing the prevalence of NCDs.

    He stated, “Sugar-Sweetened Beverages, commonly known as Soft Drinks, have been confirmed by the World Health Organization (WHO) and other national and international health authorities to have a significant impact on the health, social well-being, economic status, and environmental balance of consumers and communities.”

    The tax encompasses various categories of sugar-sweetened non-alcoholic beverages and was implemented starting from June 2022. Oluwafemi pointed out that taxation has proven effective in reducing SSB consumption in countries worldwide where it has been successfully introduced and managed. This has also led to improvements in public health indicators and a reduction in the environmental issues stemming from the indiscriminate disposal of SSB packaging.

    “While we emphasize that the goal is to reduce excessive consumption, we must reiterate that these beverages lack nutritional value and provide no benefit to the body. Therefore, they can be completely avoided for the betterment of everyone,” he asserted.

    Furthermore, Oluwafemi highlighted that manufacturers of these unhealthy products, through various fronts and alliances, have been pressuring the government using extensive media campaigns containing misinformation and threats. They have also consistently criticized civil society groups that work towards implementing effective food policies aimed at reducing diet-related diseases in Nigeria.

    Dr. Francis Fagbule, a Public Consultant from the University College Hospital, University of Ibadan, added that excessive sugar consumption, particularly from SSBs, has been consistently linked to the upward trajectory of non-communicable diseases. These diseases encompass heart conditions, diabetes, and cancers, which serve as key risk factors for morbidity and mortality.

    The health consultant described taxation as a strategic tool that could elevate the price of SSBs and subsequently reduce their demand. He argued that Sugar-Sweetened Beverages such as sodas, soft drinks, energy drinks, and sweetened water offer no nutritional value. Implementing an effective SSB tax has the potential to encourage a shift towards the consumption of safe drinking water and prompt non-price responses from the industry.

    Fagbule highlighted that the human body requires the consumption of between five and nine sugar cubes, but a 50CL serving of a soft drink contains 14 cubes, which is detrimental to health.

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