Commodity News

Soda taxes might increase to result healthier life

Two new studies published by researchers at the University of Illinois at Chicago (UIC) found that taxing sugar-sweetened beverages is an “effective and sustainable” way to curb consumption.

According to these studies, soda taxes that beverage companies have been lobbying against for decades can lead to healthier choices.

Starting January 1, 2019, Seattle, Washington, will impose an additional tax of $0.0175 per ounce of sugar-sweetened beverages on soda distributors. According to researchers, almost all the costs are passed on. Therefore, it promotes consumers to reduce their intake of sugary sodas, fruit juices, energy, and sports drinks.

The study compared sales in two years with sales in Portland, Oregon. It is a city of similar size and population that does not impose a sugar-sweetened beverage tax.

Public Health Policy journal’s study showed that the price of taxed beverages increased by $0.0104 per ounce. Hence, sales of taxed beverages fell by 22%.

Related Post

According to medical experts, the excess calories in sugar-sweetened beverages are one of the biggest contributors to the obesity epidemic in the United States. They can also exacerbate related comorbidities such as diabetes and heart disease.

Public health experts supporting soda taxes think they provide customers with financial incentives to choose healthier beverages. Moreover, they help fund public health programs.

For example, in Philadelphia, soda sales dropped by 38% within one year after the implementation of the sugar tax in 2017. In South Africa, within one year after the 2018 soda tax, the sales of high-sugar beverages fell by 28%.

Because of these laws, companies have also improved their products. In the United Kingdom and Spain, beverage companies have drastically reduced the sugar content in beverages. They did this to avoid residual taxes on beverages with higher than a certain calorie level.

 

User Review
0 (0 votes)

Recent Posts

  • Commodity News

Oil Mixed as Traders Anticipate the US to Replenish Its SPR

On Thursday, oil prices were mixed amid speculation that the US would soon restock its…

5 hours ago
  • Technology News

Microsoft Signs Deal to Power AI Ambitions with Renewables

Microsoft has inked a renewable energy deal with Brookfield Asset Management with hopes of powering…

5 hours ago
  • Stock News

Asian Stocks Gain on Tech Surge Ahead of US Nonfarm Payrolls

Asian stocks traded higher on Friday, with the tech sector taking the lead following better-than-expected…

7 hours ago
  • Technology News

Tesla Withdraws Next-Gen Gigacasting Manufacturing Process

Tesla has reportedly retreated from its ambitious plan for innovations in gigacasting its developing manufacturing…

1 day ago
  • Broker News

Dukascopy Sees Dip in 2023 Profits, Netting CHF 1.3 Million

Dukascopy Bank SA noted a net profit of CHF 1.3 million last year amidst market…

1 day ago
  • Commodity News

Cocoa Crashes as Traders Delay Purchases from West Africa

On Wednesday, cocoa prices plunged after a liquidity crunch forced traders and speculators to postpone…

1 day ago

This website uses cookies.