The prices of candies and sodas are rising – Can lead to even worse health-wise – 2024-04-21 22:16:47

Candy prices will rise again this year. JARNO JUTI

Professor of Nutrition at the University of Helsinki Mikael Fogelholm does not believe that the proposed increase in the value added tax (VAT) on sweets and the increase in the tax on soft drinks will sufficiently affect people’s consumption habits and thus their health.

On the other hand, the increase in the prices of candies and sodas can, at worst, even lead to people still buying their favorite candies and sodas at the grocery store, but buying vegetables and fruits decreases.

– I don’t think that these taxes will affect people’s health in any way immediately or in the long term. It should be possible to study the effects of the tax in different population groups.

In March 2024, Finance Minister Riikka Purra (ps) stated that health taxes can have steering effects. At that time, he also mentioned the sugar tax.

The government decided in its framework meeting (April 16, 2024) that the VAT rate on sweets will be increased from 14 percent to 25.5 percent.

– Although the government may now appear to be pushy regarding health issues, the government’s goal must have been to collect money. However, the end result looks like tinkering, says Fogelholm.

As a threat, the direction for the worse

Fogelholm says that according to studies, consumption habits are only changed if the price increase is at least 20 percent.

Therefore, it is likely that only a few people will not buy candies due to a price increase of about 10 percent and will choose, for example, fruit instead of candy.

The upcoming tax increase will increase the price of a bag of candy, which costs about three euros, by about 30 cents. Fogelholm doubts whether many people would be willing to spend 30 cents a day on 109.50 euros a year and therefore not buy a bag of candy.

Fogelholm draws a threatening picture in which those with the worst health and the least money at their disposal can spend an even larger part of their budget on unhealthy foods they like and reduce the amount of vegetables and fruits they buy.

– If someone likes unhealthy foods a lot, the desire may overcome a small price increase. In this way, consumption habits can become even more unhealthy.

Even worse choices

According to Fogelholm, a small price increase of sugary sweets and sodas is not at all a measure that would have extensive health effects.

If taxation were to really shift people’s sugar intake in a healthier direction, a better option than Fogelholm’s would be to tax the amount of sugar in products. The tax would be higher the more sugar is in the product.

In his opinion, a tax based on the amount of sugar in a product could also encourage product development to work on reducing sugar in products.

– In terms of health, the decisive problem in Finns’ nutrition is not sugar, although it is possible to reduce its use, says Fogelholm.

According to Fogelholm, food-related health harms greater than sugar consumption are caused by excessive salt consumption, too little fiber intake and too much hard fat consumption compared to soft fat consumption.

Difficult “health tax”

In the Iltalehti story, it is said that attempts have been made to find a model for the “health tax” even before the current government.

For example, taxation on the basis of sugar, salt or fat has been considered, but a solution to what all products would be taxed and on what basis has not been found.

The confectionery tax in Finland was waived in 2016. Confectionery tax included sweets, ice creams and soft drinks manufactured in Finland and imported into the country.

According to Fogelholm, unhealthy eating is overall a complex problem for which there are no simple answers.

– For example, in addition to taxation, there should be additional control measures, such as restrictions on the marketing of unhealthy foods, Fogelholm suggests.