NIGERIA – The Nigerian government has been urged to increase the tax on Sugar-Sweetened Beverages (SSBs) from the current N10 (US$0.0061) per litre to N130 (US$0.079) per litre, or at least 20% of the retail price, to curb the rising tide of Non-Communicable Diseases (NCDs) linked to sugary drink consumption.  

This call was made by Akinbode Oluwafemi, Executive Director of Corporate Accountability and Public Participation Africa (CAPPA), citing the alarming health implications of high sugar intake across the nation. 

Oluwafemi emphasized the growing health crisis in Nigeria, where nearly 30 percent of annual deaths are attributed to NCDs, which include obesity, diabetes, hypertension, and cardiovascular diseases.  

With over 11 million Nigerians currently living with diabetes, the country ranks as the fourth-largest consumer of soft drinks globally, a trend that poses a severe public health risk if left unchecked.  

“The adverse effects of these preventable diseases on productivity, revenue loss, and human lives underscore the urgency for effective policy solutions,” he said. 

Fidelis Obaniyi, Research Officer at the Centre for the Study of the Economies of Africa (CSEA), also supports higher taxation on SSBs, presenting his findings in a paper titled “SSBs and Economic Impact on Household: Cost of Disease and Effective Taxation.” 

Obaniyi highlighted that taxing sugary drinks is a viable strategy to reduce consumption, encourage healthier beverage choices, and lower long-term healthcare costs. 

“Excise taxes targeting unhealthy products like SSBs can lead to a significant reduction in consumption and generate much-needed revenue for public health programs,” Obaniyi explained.  

He projected a 29 percent decrease in SSB consumption in Nigeria if a robust SSB tax is properly implemented, with the funds being channeled toward healthcare and disease prevention initiatives. 

In July, Nigeria announced that it was contemplating the suspension of its tax on sugary drinks to alleviate pressure on manufacturers struggling in the inflation-hit nation. 

Minister of Finance Wale Edun stated that the measure was intended to help beverage companies cope with current economic challenges and prevent further strain on the sector. 

Nigeria has been grappling with severe economic difficulties, including a depreciating currency and soaring inflation.  

In the past year, the naira has lost over 50 percent of its value against the dollar, further exacerbating the country’s cost-of-living crisis.  

Despite these challenges, public health advocates continue to push for higher SSB taxes as a critical tool for improving health outcomes and reducing healthcare costs in the long term. 

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