TAXING HIGH FAT SUGAR SALT (HFSS) FOODS
Issue in focus:
Negative Impact of HFSS food-
- HFSS foods contribute to health issues like obesity, diabetes, and high blood pressure.
- Global statistics show 70% of overweight and obese individuals are in Low- and Middle-Income Countries.
- Non-Communicable Diseases (NCDs) burden in India has surged from 38% in 1990 to 65% in 2019, causing 1.2 million deaths annually.
Advantages of High HFSS Tax:
- Taxes can address societal costs in health care and consumer-driven harms.
- HFSS taxation aims to incentivize industry reformulation and promote healthier alternatives.
- Differentiated tax rates based on nutritional quality can create a level playing field, making healthier choices affordable.
- HFSS taxation, can deter unhealthy consumption, encourage reformulation, and contribute to a sustainable and equitable food system.
India’s Dietary Shift and Need for Taxation:
· India, a major sugar producer, witnesses a 13.4% CAGR in ultra-processed food consumption. · Sales of snacks and soft drinks exceed $30 billion, indicating concerning dietary trends. · Global trend suggests taxing HFSS foods as an effective approach; 16 countries, including the UK and Mexico, have implemented dedicated taxes. · Kerala introduced a ‘fat tax’ in 2016, serving as an early example in India. |