The United Arab Emirates now taxes sugary drinks, partly as a way to lower obesity and diabetes rates.Other countries are considering similar taxes, and are watching the UAE's experiment to see if it works.Past soda taxes have had little success in improving public health, and evidence of a link between decreased soda consumption and decreased obesity is limited.
The United Arab Emirates has instituted a hefty tax on sugary drinks and cigarettes: 50% on soda and 100% on energy drinks and tobacco products.
The tax, which went into effect October 1, has several goals. The first is to generate revenue for the UAE government as global oil prices remain low, according to Gulf News. The second is to improve public health, since the UAE has one of the worst diabetes rates in the world.
Today, 19.3% of the UAE population (nearly one in five people) between the ages of 20 and 79 have type 2 diabetes. The UAE's diabetes figures have gotten worse in recent years, according to the International Diabetes Federation — in 2013, 10% of the population had diabetes. By 2040, the IDF suggests that the prevalence of diabetes in the UAE could double again.
Many have dubbed the new regulation a "sin" tax, since tobacco, caffeine, and sugar are often pleasurable, unhealthy, and addictive. In the days before the tax took effect, shoppers in the UAE stocked up on drinks and tobacco products, The Associated Press reports.
Read more at Business Insider
The "Sin Tax" vs. The World
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