India, the Philippines and Indonesia are studying soda taxes, reports Reuters, saying, “2016 may be the year of the sugar tax as several large nations consider levies on sweetened food and drinks to battle obesity and fatten government coffers.”
Mexico implemented a soda tax in 2014; France, Hungary, Denmark, and Finland have tried taxes on high-calorie foods, with mixed results. “The tax debate has focused on soda as health campaigners say they offer so-called ’empty calories’ with scant nutrition and that those who drink them do not feel as full as when they eat solid food like chocolate or candy and so do not eat less,” says Reuters. Beverage companies say the tax in Mexico had little impact on the number of calories that people consumed daily.
The consumer group Center for Science in the Public Interest said soda giants Coca-Cola and PepsiCo are “investing heavily to boost consumption in low- and middle-income countries.” A CSPI report, “Carbonating the World,” says soft drink companies are spending billions of dollars a year in Brazil, China, India, Mexico and other countries to build bottling plants, set up distribution networks and advertise their goods. While U.S. per-capita soda consumption is down sharply, “soda sales in Latin America, Asia Pacific, and Middle Eastern and African countries are all projected to increase between now and 2018,” says CSPI. The report recommends that nations make good nutrition a priority and take steps such as levying an excise tax on sugary drinks with the revenue used to fund health and nutrition programs.