Law & Crime1 week ago
Sugar Sweetened Beverages: Stakeholders disagree on higher Excise Duty Ignatius Okorocha ,Abuja Sharp disagreement ensued on Thursday among critical stakeholders in the Finance and Health sectors on move by the Senate to increase excise duty on Carbonated Sugar Sweetened Beverages (SSB) through amendment of extant law . The Senate Committees on Finance and Customs had pursuant to further consideration of a Bill seeking for percent levy of excise duty per litre of SSB , in discouraging consumption of high sugar by Nigerians , organized public hearing on the legislation . But at the public hearing chaired by the Chairman of Senate Committee on Finance , Senator Sani Musa ( Niger East), stakeholders disagreed by either supporting or kicking against the proposed legislation . Specifically, the Coordinating Minister of Health and Social Welfare , Professor Muhammad Ali Pate in his submission , declared that his ministry supported the proposed bill which according to him, represents a progressive, evidence-based approach to public health financing. “We commend the Senate for proposing a bill that seeks to increase the excise tax on sugar-sweetened beverages (SSBs) and earmark part of the revenue for health promotion. “This measure demonstrates strong political will, aligns fiscal policy with public health goals, and provides sustainable financing for prevention programmes—critical steps toward achieving universal health coverage”, he said . He added by recommending to the committee to Increase the current SSB excise tax from ₦10 per litre to at least 20% of the retail price, in line with the World Health Organization’s recommendation, earmark or plough back at least 40% of the revenue generated to fund public health programmes specifically targeted at the prevention and control of diet-related non-communicable diseases. According to him, if we fail to act now, in 10 to 20 years , we will face a far higher burden of diabetes, hypertension, and other complications that will place even greater demands on our fiscal resources for treatment, saying ” Prevention is far more cost-effective than cure” . Though representatives from other stakeholders like the Nigeria Cancer Society , Diabetes Association of Nigeria etc , supported the proposed bill , but the Manufacturers Association of Nigeria ( MAN),The Ministry of Finance , Nigeria Employers Consultative Association ( NECA) etc, kicked against . MAN, represented by one of its Directors , Mr Adeyemi Folorunsho said the proposed law may lead to job losses in the manufacturing sector and called for restraint . He debunked the claim that consumption of SSB by Nigerians leads to diabetes, obesity and other related diseases . According to him, ” contrary to erroneous belief , Nigeria has the lowest rate of Sugar consumption in the world which is 8.3million kilogramnes as against 22.1million kilogrammes that it’s supposed to be . He advised the committee to adopt win – win engagement and approach for the proposed legislation . The Committee Chairman in his closing remarks , assured all the stakeholders that legislation that would be presented to Nigerians at the end of the day , shall be fair , transparent and people oriented
By George Mgbeleke Sharp disagreement ensued on Thursday among critical stakeholders in the Finance and Health sectors on move by the Senate to increase excise duty...