CAP Calls for Taxes on Unhealthy Food to Curb Obesity and Health Issues
The Consumers’ Association of Penang (CAP) urges the relevant authorities to implement taxes on unhealthy food as a measure to curb obesity and related health issues. According to the National Health and Morbidity Survey (NHMS) 2023, Malaysians face a health crisis of non-communicable diseases (NCDs) with a surge in overweight and obese individuals.
One major concern is the impact of ultra-processed foods (UPFs) and drink products on weight gain and the risk of several NCDs such as diabetes, high blood pressure, heart disease, and cancer. Ultra-processed foods are high in energy, added sugar, sodium, and unhealthy fats, while being low in fibre, protein, and micronutrients.
Over the past few decades, there has been a significant shift from consuming whole or minimally processed foods to UPFs. This shift has been driven by changes in food manufacturing and distribution systems, increased marketing of UPFs, lifestyle changes leading to higher demand for convenience foods, and economic factors making UPFs more affordable and accessible.
One of the most popular UPFs in Malaysia is instant noodles, which are cheap, available in various flavours and forms, and cook within minutes. According to the World Instant Noodles Association (WINA), Malaysia ranked 13th in global instant noodles consumption in 2023, with 1,640 million servings.
A new peer-reviewed analysis by Imperial College Business School highlights that implementing taxes on foods high in fat, salt, or sugar (HFSS), including UPFs, can reduce the sale, purchase, and consumption of these foods. This can lead to lower rates of obesity and other diet-related health problems, especially when combined with subsidies for healthier foods.
The review, which includes findings from 20 studies worldwide (including Mexico, the United Statesof America, Canada, Hungary, Denmark, the Netherlands, Singapore, and New Zealand), underscores the global potential of taxes on HFSS foods. To date, 16 countries have implemented such taxes.
In Mexico, an 8% tax on non-essential, energy-dense foods, including sweets, chocolates, sugary cereals, crisps, and salty snacks, resulted in an 18% reduction in supermarket sales and up to 40% reduction in other retailers. Low-income groups, who consumed more of the taxed foods beforehand, showed the biggest drop in consumption.
Given the above scenario, CAP calls on the government to implement taxes on all types of unhealthy food and develop a long-term plan with incentives.
To address issues related to ultra-processed food, CAP proposes the following food policy initiatives:
- Extend the sugar tax to include all high-sugar foods, besides sweetened beverages and premix drinks.
- Introduce tax on ultra-processed foods such as instant noodles, snacks and processed meat products.
- Develop and enforce stricter regulations on food labelling to ensure that consumers can easily identify the nutritional content of the products they purchase.
- Provide subsidies for healthy, fresh, or minimally processed food for low-income households to make healthier options more affordable.
- Conduct education and awareness campaigns to inform consumers about the dangers of consuming high amounts of ultra-processed foods and promote healthy eating habits.
- Encourage chemical-freeurban farming.
- Promote healthy eating habits and provide nutritious meals to students.
Meanwhile, consumers are advised to avoid foods that:
- Have been stripped of fibre.
- Contain large quantities of calories, fat, sugar, and salt.
- Have a long list of ingredients such as colouring, preservatives, and other additives.
Mohideen Abdul Kader
President
Consumers’ Association of Penang
Press Statement, 8 August 2024