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In a document released by the Ministry of Health, it was disclosed that the Ministry was "scoping work to explore the feasibility and impacts of regulatory options, such as a sugar tax".
Although the Government had reiterated that it would not introduce a sugar tax in this term of Government, Tony Falkenstein, Chief Executive of Just Water, suggested that Government should threaten a Sugar Tax for their second term. It had been shown that when Britain gave 12 months’ notice of a sugar tax, which was introduced in 2018, major food manufacturers reduced their sugar content to be under the taxable threshold of 8%. Falkenstein said there is every incentive for food and beverage manufacturers to increase sugar content to better compete with other brands, and no incentive to reduce sugar content, unless there was some reason. The threat of a sugar tax would be that reason.
“The carrot has been used for so long without any result from food and drink manufacturers, now it needs the stick”, said Falkenstein. Sugar consumption is the main cause of our growing obesity epidemic, and the reason why New Zealand is the third fattest nation in the world according to World Health Organization figures.
“Type 2 diabetes is preventable, yet it has become mainstream”, said Falkenstein. “Education doesn’t work, self regulation doesn’t work and self control doesn’t work – let’s threaten a sugar tax for all products with a sugar level in excess of 8%, and watch the manufacturers reduce their sugar levels to avoid the tax.”
Seems that less tax and less sugar is a way better than more tax and more sugar!