Soft drinks producers protest the envisaged sugary drink tax

The National Association of Soft Drinks (ANBR) has reacted on the announced sugary drink tax that the Romanian Government is planning to enforce. The association considers the tax is discriminating and disproportionate, arguing its only goal is to increase tax revenues from the state budget. Soft drinks producers also warned the surcharge will be directly felt in the Romanians’ pockets.

The Government in Bucharest will discuss a draft bill on introducing a sugary drink tax next week. The tax is to be enforced as of September and is set to increase the price of a liter of soft drink by RON 1.

The measure is part of a package of measures that also envisages the increase of excise duties on tobacco, cuts of the state employee jobs and the disposal of certain wage benefits for public servants.

The draft bill on the soda tax has been initiated by the Health Ministry and is enforced by the Finance Ministry.

Drinks containing from 5 yo 8 grams of sugar per 100 milliliters will have a tax of RON 0.8 per liter. The drinks that contain more than 8 grams/100ml will be taxed by RON 1 per liter.

Authorities estimate that a Romanian is drinking around 80 liters of soft drinks on the average per year.

The sugary drink tax or soda tax is a a surcharge designed to reduce consumption of drinks with added sugar. Drinks covered under a soda tax often include carbonated soft drinks, sports drinks and energy drinks. Similar sugary drink tax are enforced in the UK, Denmark, Finland or Ireland.