This site provides an information resource on food and drink taxation. It is designed to be a one-stop destination for those looking for factual information on the impact of food and drink taxes on populations and economies. The site is sponsored by UNESDA, representing the non-alcoholic beverages industry in Europe.
U.S. study shows that a 10% subsidy for fruits and vegetables would be more efficient than a soft drinks tax
A American study published in June 2017 in PLOS Medicine, Reducing US cardiovascular disease burden and disparities through national and targeted dietary policies: A modelling study, compared differen......Read more
Unintended Consequences: The Economic Impact of the Sugar Tax on Small Stores and Bakeries in Mexico
(originally published on 4 January 2017, The Diplomatic Courier) The Diplomatic Courier published an article on economic impacts of the sugar tax on small businesses in Mexico on 4 January 2017.......Read more
Why food and drink taxes don’t work
Don’t taxes reduce consumption?
Studies have shown that taxation can have the effect of reducing consumption in some product categories. However, it is also observed that those people who consume the most are likely to be the most resistant to price rises. Hence the people who perhaps should be encouraged to consume a certain food or drink more moderately are the very ones who continue to consume them despite the tax.
In addition, in the soft drinks category, even if people do stop purchasing products because of tax, they are likely to switch to other drinks and hence their actual calorie reduction is minimal.