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Health
29 July 2024

WHO Demands Higher Taxes On Alcohol And Sugary Drinks

Rising health concerns drive call for increased taxes to combat alcohol and unhealthy diet-related deaths

In a significant announcement, the World Health Organization (WHO) has called upon governments worldwide to implement higher taxes on alcohol and sugary beverages. This move aims to address the alarming rates of diseases and deaths associated with excessive alcohol consumption and unhealthy diets. According to WHO data, 2.6 million people die from alcohol-related causes each year, while over 8 million lose their lives due to unhealthy eating habits.

The WHO's push for increased taxes is part of a broader public health initiative aimed at promoting healthier behaviors among consumers. The organization’s health promotion director, Rüdiger Krech, emphasized that taxing unhealthy products creates healthier populations and generates revenue for governments, which can be directed toward public services. "It has a positive ripple effect across society, less disease and debilitation, and revenue for governments to provide public services. In the case of alcohol, taxes also help prevent violence and road traffic injuries," Krech stated.

An alarming trend highlighted by WHO is that many countries are not leveraging taxation as a tool for public health. The average tax on sugary drinks and alcoholic beverages remains relatively low globally, failing to deter consumption effectively. In fact, the average excise tax on sugar-sweetened beverages represents only about 6.6% of their price. Moreover, wine is completely exempt from excise taxes in at least 22 countries, primarily across Europe, which undermines efforts to curb excessive drinking.

Recent analyses indicate a clear correlation between increased taxes on tobacco products and reduced smoking rates, particularly among young people. For instance, research carried out in New York state demonstrated that the highest tobacco taxes in the U.S. have led to a more than 90% drop in youth smoking rates since 2000. This model raises hopes that increased taxation on alcohol could similarly decrease drinking rates.

Nonetheless, critics point out that tax hikes on alcohol can disproportionately affect lower-income consumers, a concern echoed by the beverage industry. The WHO, however, asserts that this perspective overlooks the greater harm that alcohol consumption inflicts on lower socioeconomic groups, suggesting that carefully designed tax and pricing strategies can alleviate this issue.

Beyond taxation, the WHO advocates for minimum pricing alongside excise taxes. Research indicates that individuals who tend to engage in heavy episodic drinking often opt for the cheapest available alcoholic beverages. By increasing the costs of these products, it can potentially reduce alcohol-related hospitalizations and fatalities.

While many countries have implemented some form of taxation on sugary beverages—108 countries, to be exact—half of those countries also tax water, which the WHO does not recommend. The organization is urging nations to reconsider their tax strategies to ensure they are targeting unhealthy products effectively.

The increase in health problems tied to alcohol consumption and poor diets has become a pressing issue that requires immediate action. Dr. Hans Kluge, WHO’s Director for Europe and Dr. Elisabete Weiderpass of the International Agency for Research on Cancer, have emphasized the significant link between alcohol consumption and various types of cancer. In a joint statement to the European Parliament, they called for greater awareness about the health risks of alcohol, particularly regarding its link to cancers such as breast cancer.

In recent years, awareness surrounding the negative health impacts of alcohol has gained traction, challenging long-held beliefs that moderate drinking might be beneficial. Many health professionals argue that even small amounts of alcohol increase the risk of numerous health problems, including various cancers, liver diseases, and cardiovascular complications.

In line with this trend, the WHO is also encouraging countries to introduce health warning labels on alcoholic beverage containers. Such measures aim to inform consumers about the health consequences of alcohol consumption—a concept that remains relatively under-communicated in public discourse.

Public health advocates have long recognized the need for a paradigm shift in how alcohol consumption is perceived. Many initiatives, such as the RESET Alcohol program initiated by Vital Strategies, aim to address this issue by focusing on harm reduction rather than prohibition. This program seeks to change societal norms surrounding alcohol consumption and promote public policies that support healthier choices.

In addition to taxes, WHO's recommendations encapsulate the need for a comprehensive approach to alcohol use and its regulation. This includes coordinated governmental actions that facilitate public awareness campaigns, community engagement, and adequate healthcare provision to tackle the diverse issues stemming from alcohol consumption.

Moving forward, as nations grapple with the growing burden of non-communicable diseases, it has become increasingly clear that proactive measures like enhancing taxation on unhealthy products could play an influential role in shaping a healthier future for all. These recommendations, if adopted widely, could mark a turning point in global health strategies aimed at combating the detrimental effects of alcohol and unhealthy diets.

The next phase involves engaging with various stakeholders, including policymakers, health professionals, and the public, to underscore the importance of these tax initiatives. By rallying support and implementing the WHO's guidelines, countries can pave the way toward reducing the incidence of alcohol-related health risks and promoting a healthier, more informed society.