, the levy on sugary beverages is “fixed at 2.1 cent per gram of the sugar content that exceeds 4 grams per 100ml,” with the first four grams in each 100ml being levy-free.In a statement on Monday, the association reiterated its concerns that the levy exists with “no evidence whatsoever” to support its stated aim of reducing diabetes, obesity and related diseases.
There is also the scourge of load shedding – with Stage 6 rolling blackouts set to continue until further notice and a recent study conducted by the association showing that six to 10 hours of power cuts a day threatens to rob growers of R700 million in 2023.This could rise to R1.8 billion should load shedding be escalated, it says.
“SA Canegrowers continues to urge Minister Godongwana to help us save vital livelihoods in South Africa’s rural economies by scrapping the sugar tax, and to work with the industry and other social partners to devise less destructive ways to promote health in South [Africa] than the job-killing Health Promotion Levy.”Calls from the beer industry relate to the “fair” implementation of excise tax on taxable alcohol products.
“By implementing these proposals, we believe a win-win situation could be created when it comes to increased tax revenue and aligning with global standards and public health economics on harmful consumption reduction,” it says.“In particular, the application of an ABV-based excise duty system has been recognised by the World Health Organisation as the best model for improving public health outcomes as it encourages consumers to purchase lower alcohol strength products.
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Sugar industry 'must diversify or it will die'South Africa's sugar industry is battling headwinds that threaten the livelihoods of thousands of people and businesses in KwaZulu-Natal, forcing the sector to seek new opportunities to offset the expected decline in its traditional product. Thanx to that brilliant sugar tax idea.
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