World Health Organization calls for tax increases
A statement from the WHO reports new findings showing that most countries are not using taxes to encourage healthier behaviors.
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The World Health Organization (WHO) has released new data showing that the global tax rate applied to unhealthy products such as alcohol and sugar-sweetened beverages is low.
The statement, which draws attention to the fact that 2.6 million people die annually from alcohol and more than 8 million people die from unhealthy diets globally, emphasized that applying taxes to alcohol and non-alcoholic beverages would reduce these deaths.
The statement noted that half of the countries that tax such beverages also tax drinking water, which the WHO advises against.
EXEMPT FROM EXCISE TAX
The statement pointed out that 108 countries apply taxes to these beverages, but noted that the average excise tax worldwide accounts for only 6.6 percent of the price of the drinks.
It was stated that at least 148 countries apply a national excise tax on alcoholic beverages, while on the other hand, at least 22 countries, mostly in Europe, provide exemptions from excise tax for wine.
The statement included comments from WHO Director Dr. Rudiger Krech, who said, "Taxing unhealthy products creates healthier populations.
It has a positive ripple effect across society, with benefits such as less disease and revenue for governments to provide public services. In the case of alcohol, taxes also help prevent violence and traffic accidents."
The statement shared information that in countries like Lithuania, which increased alcohol taxes in 2017 to reduce alcohol consumption, deaths from alcohol-related diseases have decreased.
Recommending that excise taxes be applied to all sugar-sweetened and alcoholic beverages, the WHO has published a technical manual on alcohol tax policies to support countries.