The Economics of Taxes on Sugar-Sweetened Beverages: A Review of the Effects on Prices, Sales, Cross-Border Shopping, and Consumption

2019 ◽  
Vol 39 (1) ◽  
pp. 317-338 ◽  
Author(s):  
John Cawley ◽  
Anne Marie Thow ◽  
Katherine Wen ◽  
David Frisvold
Keyword(s):  
Future Research ◽  
Improve Population Health ◽  
Sugar Sweetened Beverages ◽  
Product Availability ◽  
The Past ◽  
Cross Border ◽  
Sweetened Beverages ◽  
Economic Rationale ◽  
Retail Prices ◽  
Pass Through

During the past decade, dozens of countries, regions, and cities have enacted taxes on sugar-sweetened beverages (SSBs). They have been primarily motivated by a desire to raise prices, reduce sales and consumption, improve population health, and raise revenue. This review outlines the economic rationale for SSB taxes and illustrates their predicted effects. It reviews the research on the effects of these taxes on retail prices, sales, cross-border shopping, consumption, and product availability. The evidence indicates that the amount by which taxes increase retail prices (also called the pass-through of the tax) varies by jurisdiction, ranging from less than 50% to 100% of the tax. Sales tend to decrease significantly in the taxing jurisdiction, although this seems to be partly offset by residents increasingly shopping outside of the taxing jurisdiction (i.e., engaging in cross-border shopping).Overall, taxes lower consumption of the taxed beverages by adults, although not for all types of beverages or all groups of consumers. We conclude with suggestions for improving the design of such taxes and directions for future research.

scholarly journals Assessment of adolescents’ diet at 14 years in the Danish National Birth Cohort: Development of questionnaire and perspectives for research

2020 ◽  
Vol 79 (OCE2) ◽  
Author(s):  
Sjurdur Olsen ◽  
Anne Bjerregaard
Keyword(s):  
Birth Cohort ◽  
Food Culture ◽  
Health Study ◽  
Future Research ◽  
Research Database ◽  
Considerable Variability ◽  
Sugar Sweetened Beverages ◽  
Sweetened Beverages ◽  
Danish National Birth Cohort ◽  
Long Term Follow Up

AbstractIntroduction:By October 2002, a little more than 100,000 women in their early pregnancies had been recruited in the Danish National Birth Cohort (DNBC), for long-term follow-up of themselves and their offspring. The overall purpose of DNBC is the establishment of a research database comprising information on exposures and other factors during pregnancy and early life that can be linked to health-related phenomena occurring throughout life. More than 90,000 live-born children are followed by questionnaires and registry linkages, and more than 500 peer-reviewed articles have so far been published from DNBC.The latest completed assessment in the children recorded diet and physical activity at age 14. Our group was responsible for the development and implementation of the questionnaire in DNBC. We report on its development; on selected data; and on their potential utility for research.Materials and methods:The questionnaire was an on-line food-frequency questionnaire (FFQ) comprising 158 food items. It was a substantially modified version of the questionnaire developed for the offspring of Nurses’ Health Study 2 participants (GUTS) adapted to the Danish food culture.Results:Mean BMI was 19, and 9.1% of boys and 8.3% of girls were overweight (n = the first 20,814 completed questionnaire). For boys and girls, respectively, estimated mean (SD) intakes were: Energy 9.3 (3.5) and 10.4 (3.9) MJ/d; Protein 15.7 (2.4) and 15.8 (2.5) E%; Fat 32.1 (4.6) and 32.6 (4.5) E%; Carbohydrate 52.2 (5.3) and 51.5 (5.3) E%; Sugar 7.8 (4.1) and 7.1 (3.8) E%; Fruits 213 (208) and 253 (222) g/d; Vegetables 201 (142) and 240 (163) g/d; Fish 96 (108) and 94 (107) g/w; Meat 792 (415) and 694 (381) g/week; and Sugar-sweetened beverages 1.2 (1.3) and 0.8 (1.1) L/week.Considerable variability was observed. E.g., for sugar-sweetened beverages, the highest quarter consumed more than 1.4 and the lowest less than 0.32 L/week; for fish, the corresponding figures were 120 and 30 g/week, respectively. We observed substantial gradients across sociodemographic groups.Discussion:Our data revealed a considerable variability in dietary intake in DNBC, with substantial sociodemographic gradients. These results point to an important and unique potential for prevention and future research. DNBC is the largest database worldwide of its kind with extensive information on dietary exposures in pregnancy (1) as well as during adolescence.

scholarly journals Higher Retail Prices of Sugar-Sweetened Beverages 3 Months After Implementation of an Excise Tax in Berkeley, California

2015 ◽  
Vol 105 (11) ◽  
pp. 2194-2201 ◽  
Author(s):  
Jennifer Falbe ◽  
Nadia Rojas ◽  
Anna H. Grummon ◽  
Kristine A. Madsen
Keyword(s):  
Sugar Sweetened Beverages ◽  
Excise Tax ◽  
Sweetened Beverages ◽  
Retail Prices

scholarly journals Pass-Through of a Tax on Sugar-Sweetened Beverages at the Philadelphia International Airport

JAMA ◽  
2018 ◽  
Vol 319 (3) ◽  
pp. 305 ◽  
Author(s):  
John Cawley ◽  
Barton Willage ◽  
David Frisvold
Keyword(s):  
Sugar Sweetened Beverages ◽  
International Airport ◽  
Sweetened Beverages ◽  
Pass Through

scholarly journals Taxing sugar-sweetened beverages: a survey of knowledge, attitudes and behaviours

2012 ◽  
Vol 15 (8) ◽  
pp. 1355-1361 ◽  
Author(s):  
Cheryl Rivard ◽  
Danielle Smith ◽  
Susan E McCann ◽  
Andrew Hyland
Keyword(s):  
Telephone Interview ◽  
Sugar Sweetened Beverages ◽  
Sugar Sweetened Beverage ◽  
Beverage Consumption ◽  
Sweetened Beverage ◽  
The Past ◽  
Sweetened Beverages ◽  
Random Digit ◽  
The Usa ◽  
Frequent Consumption

AbstractObjectiveTo assess current beverage consumption patterns and anticipated reaction to an added 20 % tax on these products.DesignA random-digit dialled telephone interview lasting 20 min was administered to assess demographics, beverage consumption behaviours and intentions regarding consumption of sugar-sweetened beverages in the event of an additional tax on these beverages.SettingRespondents were recruited throughout the USA.SubjectsThe study included 592 adults.ResultsSixty-nine per cent of respondents reported consuming at least one pre-packaged sugar-sweetened beverage in the past week; those who consumed sugar-sweetened beverages averaged seven pre-packaged beverages per week. Ninety-one per cent knew that frequent consumption of soft drinks increases risk of obesity. Thirty-six per cent supported a tax on sugar-sweetened beverages with greatest support among those aged 18–24 years, those with BMI < 30 kg/m2 and those with higher levels of education (P < 0·05). Over one-third of respondents said that they would cut back on their sweetened beverage consumption in the event of an added 20 % tax on these beverages.ConclusionsOur findings suggest that an added tax on these beverages could influence some to cut down on their consumption, reducing their risk of obesity and related illnesses.

scholarly journals Excise taxes on sugar-sweetened beverages in Latin America and the Caribbean

2021 ◽  
Vol 45 ◽  
pp. 1
Author(s):  
Rosa Carolina Sandoval ◽  
Maxime Roche ◽  
Itziar Belausteguigoitia ◽  
Miriam Alvarado ◽  
Luis Galicia ◽  
...  
Keyword(s):  
Latin America ◽  
Bottled Water ◽  
Sugar Concentration ◽  
World Health ◽  
Future Research ◽  
Sugar Sweetened Beverages ◽  
Excise Taxes ◽  
Sweetened Beverages ◽  
The Caribbean ◽  
Health Organization

Objective. To characterize the design of excise taxes on sugar-sweetened beverages (SSBs) in Latin America and the Caribbean and assess opportunities to increase their impact on SSB consumption and health. Methods. A comprehensive search and review of the legislation in effect as of March 2019, collected through existing Pan American Health Organization and World Health Organization monitoring tools, secondary sources, and surveying ministries of finance. The analysis focused on the type of products taxed, and the structure and base of these excise taxes. Results. Out of the 33 countries analyzed, 21 apply excise taxes on SSBs. Seven countries also apply excise taxes on bottled water and at least four include sugar-sweetened milk drinks. Ten of these excise taxes are ad valorem with some tax bases set early in the value chain, seven are amount-specific, and four have either a combined or mixed structure. Three countries apply excise taxes based on sugar concentration. Conclusions. While the number of countries applying excise taxes on SSBs is promising, there is great heterogeneity in design in terms of structure, tax base, and products taxed. Existing excise taxes could be further leveraged to improve their impact on SSB consumption and health by including all categories of SSBs, excluding bottled water, and relying more on amount-specific taxes regularly adjusted for inflation and possibly based on sugar concentration. All countries would benefit from additional guidance. Future research should aim to address this gap.

Are Sugar-Sweetened Beverage Taxes Effective? Reviewing the Evidence Through a Marketing Systems Lens

2020 ◽  
pp. 074391562096515
Author(s):  
Marius Claudy ◽  
Gerardine Doyle ◽  
Lisa Marriott ◽  
Norah Campbell ◽  
Grace O’Malley
Keyword(s):  
Noncommunicable Diseases ◽  
Future Research ◽  
Sugar Sweetened Beverage ◽  
Marketing Environment ◽  
Psychological Mechanisms ◽  
Sweetened Beverages ◽  
Marketing Systems ◽  
Health Promoting ◽  
Pass Through

The overconsumption of sugar-sweetened beverages (SSBs) is associated with noncommunicable diseases such as obesity, type 2 diabetes, and cancer. Voluntary industry codes have largely failed to curb the overconsumption of sugar, and governments globally are increasingly willing to impose taxes on SSBs. However, the effectiveness of SSB taxation varies significantly. Drawing on a systematic review of the most recent literature (N = 79), the authors find that heterogeneity in outcomes is likely to result from idiosyncratic conditions within marketing systems. Building on marketing systems theory, they identify and critically evaluate (omitted) factors within the marketing environment that have an impact on the effectiveness of SSB taxation. Findings reveal that most studies to date focus on demand-side issues, often omitting supply-side responses such as reformulation or pass-through rates. Furthermore, studies largely disregard evidence from marketing and behavioral sciences, which show that taxation works through psychological mechanisms other than price. Finally, the authors find that few studies have systematically evaluated the complementary effects of SSB taxation and other health-promoting policies. By highlighting these blind spots in the current SSB taxation knowledge, the authors provide fruitful avenues for future research at the nexus of marketing and public policy.

Learning from the Mexican Experience with Taxes on Sugar-Sweetened Beverages and Energy-Dense Foods of Low Nutritional Value

10.1596/24701 ◽  
2016 ◽  
Author(s):  
Maria Eugenia Bonilla-Chacin ◽  
Roberto Iglesias ◽  
Agustina Suaya ◽  
Claudia Trezza ◽  
Claudia Macías
Keyword(s):  
Nutritional Value ◽  
Sugar Sweetened Beverages ◽  
Sweetened Beverages
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