Publication: Learning from the Mexican Experience with Taxes on Sugar-Sweetened Beverages and Energy-Dense Foods of Low Nutritional Value: Poverty and Social Impact Analysis
Date
2016-06
ISSN
Published
2016-06
Author(s)
Abstract
Faced with a large and increasing
obesity epidemic, the Mexican Government in the last years
has increased efforts to prevent and control it. In October
2013, Mexico’s Congress passed legislation imposing taxes on
sugar-sweetened beverages (SSBs) and calorie-dense foods of
low nutritional value. These taxes were part of a
comprehensive strategy to prevent and control obesity,
overweight and diabetes. In addition to fiscal policy and
regulation, this strategy included other health promotion
and prevention interventions as well as measures to ensure
better access to effective health care services. The
decision to implement this fiscal policy was the result of a
long advocacy process in which different actors
participated, including civil society organizations and
government agencies, which provided needed evidence on the
status of the epidemic and options to fight against it. The
taxes were designed to avoid, as much as possible, the
substitution of consumption of the taxed goods for other
unhealthy foods and beverages not subject to taxation. These
taxes have been successful in increasing both the fiscal
revenues and the price of the products taxed. There is also
evidence that they have reduced consumption, particularly of
SSBs. The taxes seem to have the highest impact among people
in the poorest quintiles of the income distribution, who had
experienced the highest increase in consumption of the goods
under taxation in the last years. A debate remains on the
actual impact of the taxes, particularly on health outcomes.
Thus it is important to continue monitoring the impact of
the taxes through the development of price and volume
indicators, based on publicly available data, as well as
health outcome indicators.
Citation
“Bonilla-Chacin, Maria Eugenia; Iglesias, Roberto; Suaya, Agustina; Trezza, Claudia; Macías, Claudia. 2016. Learning from the Mexican Experience with Taxes on Sugar-Sweetened Beverages and Energy-Dense Foods of Low Nutritional Value; Learning from the Mexican Experience with Taxes on Sugar-Sweetened Beverages and Energy-Dense Foods of Low Nutritional Value : Poverty and Social Impact Analysis. Health, Nutrition and Population Discussion Paper;. © World Bank, Washington, DC. http://openknowledge.worldbank.org/handle/10986/24701 License: CC BY 3.0 IGO.”