Taxing soft drinks won’t fix our health crisis

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Photo Credit: Talha Qadir

This article has been corrected from a previous version. The original headline was “Taxing soft drinks won’t fix our obesity crisis.” The headline was revised for accuracy to the writer’s actual argument and opinion presented in the piece.

One of the sweetest things anyone’s ever done for me is provide bottomless soft drinks at their restaurant. Indeed, the delightful sweetness of a glass of cold Mountain Dew is undeniable; unfortunately, this fine flavour is a double-edged sword.

As election time approaches, the Canadian Diabetes Association (CDA) implores candidates to consider the health of Canadians and make an addition to their platforms: the promise of a tax on sugar-sweetened beverages (SSBs). To clarify, this category includes soft drinks, fruit juices, energy drinks, and many other prized refreshments.

Following the lead of countries like Mexico and France, the CDA hopes that the tax would promote healthier lifestyles on two frontiers. Those who’d shy away from boosted prices would be discouraged from high-sugar beverages, while those whose sweet teeth cause concern for their wallets would provide additional health-care funding.

I won’t pretend that soda epitomizes nutrition; drinking too much has its consequences, and I agree that our government should invest more effort into fighting diabetes. But is this Pigovian proposition really the right way to go? It might sound effective, but I question whether taxing SSBs is the best way to ensure Canadians’ wellbeing.

In fact, Canada appears to be rapidly shedding the soda craze already. As the ‘healthy living’ ideal grows increasingly attractive, people are swapping soft drinks for less sugary choices. Spreading awareness of health issues seems to be the path of least resistance — and really, trying to railroad people into a choice that they’re making of their own accord seems superfluous.

Taxation won’t do much without awareness anyway. Soft drinks aren’t the only high-sugar, high-calorie substances out there, and most Canadians have easy access to many of those. Raising prices seems no more effective a barrier than a locked door surrounded by open windows; many would substitute soda with equally problematic replacements.

Sugary beverages are a luxury, and nothing prevents us from buying different luxuries should the need arise.

After all, one must also consider differences between Canada and countries where soda taxes have succeeded. For instance, Mexico saw decreases in diabetes, obesity, and related illnesses after introducing the tax. However, there are many reasons for this. For instance, pre-tax, soft drinks were actually significantly cheaper than clean water sold at under 10 litres, making them favourable for low-income families. Furthermore, in 2000, Mexico’s elected the former President of Coca Cola Mexico to be President of the country. Post-tax, the gap has shrunk, making purchasing water or other healthier options more justifiable than before.

But Canadians already have an abundance of clean water; SSBs are a luxury for us, and nothing prevents us from buying different luxuries in their stead should the need arise.

While whatever money might be gathered for healthcare funding certainly wouldn’t hurt, I’m just not convinced that this is the optimal way forward. The tax’s scope is narrow enough that a number of equally unhealthy foods are left in circulation, making actual change in Canadians’ overall health less likely. If Canadians move on to these untaxed options, the end result is minimal financial benefit for healthcare and minimal health benefit for the populace.

It’s always good to consider multiple routes for achieving your goals, and perhaps exploring other possible avenues to improve our average citizen’s health wouldn’t hurt in this case. In the meantime, I’m sure we could all stand to pick water as our beverage of choice a little more often. But that doesn’t mean you have to feel too guilty about loving that sweet, sweet carbonated goodness, either, as long as you don’t get too crazy.

1 COMMENT

  1. Never going to happen Zach, but just for a moment consider the impact on societal health if all sugary drinks were to be banned.
    Apply this philosophy to oneself and you are well on the way to controlling weight and vastly improving health!

    This is not a lighthearted subject.

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