AUSTRALIAN CONSUMERS CONTINUE TREND AWAY FROM FULL SUGAR DRINKS WITHOUT RECESSIONARY SUGAR TAX

SYDNEY – Renewed calls for a sugar tax on non-alcoholic drinks will add a strain to family finances without providing a concrete, wholistic solution to a decades old problem. The non-alcoholic beverages industry is leading the way in supporting healthier consumer choices with initiatives like our Sugar Reduction Pledge and prioritising low-and-no sugar beverages in our drinks portfolios.

The Australian Beverages Council (ABCL) CEO, Geoff Parker says the non-alcoholic beverages industry has for some years been making tangible, proactive changes to help support healthy consumer choices – including, through the Pledge, to reduce sugar consumption. “The industry’s Sugar Reduction Pledge is a commitment to reduce sugar across signatory portfolios by 2025”, said Mr Parker, “as at end of 2022 we have already achieved an 18% reduction in sugar”.

The latest Sugar Reduction Pledge report shows that for the first time, more than half of all drink sales are low and no-sugar beverages and plain bottled water, showing that Australians continue the two-decade trend away from full sugar drink consumption. This has occurred without the need for regressive taxes.
While the consumption of sugar-sweetened drinks has decreased, obesity rates have continued to rise. “The reality is that obesity is a multifaceted problem and simply adding cost to a beverage isn’t going to solve it. This is why a number of countries around the world have removed these taxes.”

While there has been research that shows some purchasing decisions can be influenced by additional taxes, it’s mostly at the lower end of the income spectrum – the same people already being hit hardest by higher prices for everything from rent to food to energy. “Adding another tax – even if well-meaning – is going to hurt working families.”

ABOUT

The Australian Beverages Council Ltd (ABCL) is the peak body representing the non-alcoholic beverage industry. Our Membership comprises of small, medium-sized and large companies. Collectively these companies produce over 95% of the industry’s volume. Our members make a substantial $7+ billion contribution to the Australian economy each year, and nationally employ over 46,000 people. Every one job in the industry supports 4.9 jobs in the supply chain.