Economy-wide implications of the proposed tax on suger sweetened beverages (SSBs)

It is expected that National Treasury will introduce a tax on sugar sweetened beverages (SSBs) from April 2017. Econex has considered the international evidence i.t.o. countries that have implemented a sugar tax. The evidence is at best mixed and in some countries the tax has already been withdrawn (e.g. Denmark). It is important to consider the potential effects that such a tax will have in South Africa, both in terms of health as well as the broader economic effects. Importantly, South Africa has a specific health and economic profile and the lessons from the international experience need to be considered in this context.