Advertisement

Health group attacks brewery companies for trying to compromise Carbonated Drinks Tax

Beverage companies are opposed to taxes [Bevsource]
Beverage companies are opposed to taxes [Bevsource]
A group of health organisations, the <strong>NGO Alliance on Health Financing, </strong>has released a statement directly condemning the beverage industry’s attempts to dissuade the government from raising taxes on carbonated drinks.
Advertisement

The industry has previously argued that taxes would collapse the industry and affect jobs, even contending that revenue gains from the taxes are “penny wise and pound foolish.”

Advertisement

The NGO Alliance, in the statement, said that the beverage industry has continually tried to block efforts at implementing carbonated drinks taxes, all in the interest of profit. “The beverage manufacturers don’t really care about employment or the economy,” one NGO Alliance representative said, speaking on the condition of anonymity, “they only care about amassing profits and getting more people hooked on their products.” The statement further condemned the marketing of sugary beverages to young children and encouraging unhealthy dietary habits early in life.

Members of the NGO Alliance expressed their frustration at the Senate’s disposition to side with the industry: “Nigerians are dying; poor people cannot afford nutritious food; health care costs are crushing. We are disappointed that the Senate would shun measures to relieve the burden of the masses while the insatiable industry piles up profits. We are calling on the Senate to prioritise citizens. The industry has profited enough at the expense of our health.”

The NGO Alliance cited that if pharmaceutical companies pay 20% tax for products that benefit health, then Coca-Cola, Pepsi and others should willingly pay taxes for products that damage health. “The beverage industry needs to stop trying to derail the sugary drinks tax,” the Alliance representative said.

The statement referred to other “sin taxes,” such as those placed on tobacco and alcohol. Soft drinks are not typically associated with rebellious behaviour as alcohol consumption and tobacco use are. Sugary beverages are sold to children and marketed as a source of “happiness,” as in Coca-Cola’s famous tagline. However, this insidious marketing masks negative health effects that are just as damaging as smoking and alcohol use.

Advertisement

Responding to the industry’s statement that tax revenue gains will be negligible and the taxes will bring hardship on the people, the group expressed that “the beverage industry fails to realise that its products only provide short-term satisfaction. In the long run, beverage consumers will suffer from diseases that come at a high cost. Ongoing treatment expenses can leave them on the brink of poverty and the country’s health system will suffer for it. We are sure that this is not what our government wants. For this reason,” the Alliance representative said, “we will continue to call on the government to increase carbonated drink taxes and stop putting the beverage industry’s profits over Nigerians' health.”

Advertisement