….Health Ministry urges Nigerians to eat healthy diet
As non-communicable diseases continue to take a high toll on the health of Nigerians daily, the Corporate Accountability and Participation Corporate Accountability and Public Participation Africa, CAPPA, Monday, called on the Federal Government to make an upward review of the current N10 per litre tax on Sugar-Sweetened Beverages, SSBs, to N130 per litre to safeguard the health of Nigerians on consumption of SSBs.
Speaking during the public presentation of the simulation study of the ‘Potential Fiscal and Public Health Effects of SSB tax in Nigeria’ in Abuja, the Executive Director, CAPPA, Akinbode Oluwafemi, disclosed a team of professionals was commissioned who came up with a study recommending that the Federal Government should increase SSB tax to N130 per litre.
Meanwhile, according to the Study, the first empirical evidence about the likely health and fiscal impact of SSB tax in Nigeria. While the tax of N10 per litre on SSB in Nigeria is a good beginning, the tax rate must be improved to have a significant impact. Therefore, the SSB tax rate in Nigeria should be significant enough to reduce affordability and deter consumption of SSBs.
Oluwafemi said: “Today, we are presenting a study to show what is the effective tax rates for Sugar-Sweetened Beverages, SSB, in Nigeria.
“A team of promise was commissioned, peer-reviewed internationally with best practices and global methods of conducting this kind of simulation, and they came to say, as we are in Nigeria today, the least rates, if Nigeria will adopt the fixed rate for SSBs, will be N130 per litre, the Federal Government introduced the N10 per litre on SSBs in 2021.
“Looking at the inflation rate today, that tax in itself is almost zero. While the beverage companies continue to increase the selling prices of their products, the Nigerian tax remains fixed. So it is given that in the 2024 fiscal year, the Nigerian government should increase the tax to something very significant.
“Why tax? Tax because there is no other word, it is a tax for poor people to reduce the consumption of harmful diets that are causing non-communicable diseases in Nigeria, and what we have also seen in this study is that this can also lead to government revenue and this is very critical because when nation’s face economic crisis what do they do? They look at products that are injurious to the health of the people and impose taxes, they look at products the people need as food and the rest of them and reduce the taxes.
“All these consumptions that are impacting on our health and also causing high and huge public health cost, the Federal Government can begin to look at as a way of reducing the health burden and as a way of even generating revenue at this point of our national life.
“When Nigeria introduced the N10/litre Excise Duty on SSBs in 2021 through the Finance Act, it was celebrated as a win for public health but as concerned advocates with history in the long battle against the menace of tobacco and the tobacco industry, it was important for us to take a critical look at the tax and its structure.”
According to him, the disease burden and heath cost Nigerians incur are alarming and worrisome, hence the Federal Government should critically look into the increase of SSBs tax to reduce the damage its consumption is having Nigerians and the economy, and added that the increase in non-communicable diseases in Nigeria following the uncontrolled consumption of SSBs, alcohol, tobacco, trans-fat, unhealthy consumption of salt and other diets that are non-nutritive and injurious to the body is not good at all for national development as far as the health of the people is concerned.
“In a country with more than 80% of her population paying for healthcare out-of-pocket, we must find a policy pathway that will effectively remove obstacles to good health and national productivity like modifiable risk factors of consumption-related diseases and other NCDs.
“The argument of the people who care more about their profit over public health on consumption needs does not outweigh the many benefits inherent in this tax.
“The damages done to families and loved ones who cater for the sick are enough motivation to see the public rally round the government in doing what is right for the general public. The cries and woes of Armageddon by paid agents and allies of the SSB industry must not drown the voice of reason and the genuine concern for our welfare.
“We commissioned this study we are presenting today as part of our contributions towards assisting the government in determining the most effective SSB tax rate in Nigeria. An effective SSB tax regime will not only reduce consumption but also raise revenue accruable to the government”, he pointed out.
Meanwhile, the Federal Ministry of Health and Social Welfare, also called on Nigerians to abstain from SSBs, therefore should change their behaviour and adopt healthy diets that would help prolong their lifespan.
Speaking during the unveiling of the Study, the Director of public Health, Dr Chukwuma Anyaike, said the increase in the tax solely lies with the Ministry of Finance, and added that the Ministry pleads with Nigerians to drastically reduce consumption of SSBs, which he commended CAPPA’s effort to sensitize and create awareness about the health consequences of SSBs.
Source: Vanguard News
