Effect of excise tax on sugar-sweetened beverages in Catalonia, Spain, three and a half years after its introduction

Abstract Background The World Health Organisation urges countries to levy specific excise taxes on SSBs. Currently, more than 50 countries have introduced some type of tax on SSBs. In March 2017, the Autonomous Region of Catalonia approved the introduction of a tiered excise tax on SSBs for public h...

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Main Authors: Miguel Ángel Royo-Bordonada, Carlos Fernández-Escobar, Carlos José Gil-Bellosta, Elena Ordaz
Format: Article
Language:English
Published: BMC 2022-03-01
Series:International Journal of Behavioral Nutrition and Physical Activity
Subjects:
Online Access:https://doi.org/10.1186/s12966-022-01262-8
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author Miguel Ángel Royo-Bordonada
Carlos Fernández-Escobar
Carlos José Gil-Bellosta
Elena Ordaz
author_facet Miguel Ángel Royo-Bordonada
Carlos Fernández-Escobar
Carlos José Gil-Bellosta
Elena Ordaz
author_sort Miguel Ángel Royo-Bordonada
collection DOAJ
description Abstract Background The World Health Organisation urges countries to levy specific excise taxes on SSBs. Currently, more than 50 countries have introduced some type of tax on SSBs. In March 2017, the Autonomous Region of Catalonia approved the introduction of a tiered excise tax on SSBs for public health reasons. To evaluate the effect of the Catalonian excise tax on the price and purchase of sugar-sweetened beverages (SSBs) and their possible substitutes, i.e., non-sugar-sweetened beverages (NSSBs) and bottled water, three and half years after its introduction, and 1 year after the outbreak of the COVID-19 pandemic. Methods We analysed purchase data on soft drinks, fruit drinks and water, sourced from the Ministry of Agriculture food-consumption panel, in a random sample of 12,500 households across Spain. We applied the synthetic control method to infer the causal impact of the intervention, based on a Bayesian structural time-series model which predicts the counterfactual response that would have occurred in Catalonia, had no intervention taken place. Results As compared to the predicted (counterfactual) response, per capita purchases of SSBs fell by 0.17 l three and a half years after implementing the SSB tax in Catalonia, a 16.7% decline (95% CI: − 23.18, − 8.74). The mean SSB price rose by 0.11 €/L, an 11% increase (95% CI: 9.0, 14.1). Although there were no changes in mean NSSB prices, NSSB consumption rose by 0.19 l per capita, a 21.7% increase (95% CI: 18.25, 25.54). There were no variations in the price or consumption of bottled water. The effects were progressively greater over time, with SSB purchases decreasing by 10.4% at 1 year, 12.3% at 2 years, 15.3% at 3 years, and 16.7% at three and a half years of the tax’s introduction. Conclusions The Catalonian SSB excise tax had a sustained and progressive impact over time, with a fall in consumption of as much as 16.7% three and half years after its introduction. The observed NSSB substitution effect should be borne in mind when considering the application of this type of tax to the rest of Spain.
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spelling doaj.art-6d052e04f2c647efbd7b228730ab1b3a2022-12-22T01:12:13ZengBMCInternational Journal of Behavioral Nutrition and Physical Activity1479-58682022-03-0119111110.1186/s12966-022-01262-8Effect of excise tax on sugar-sweetened beverages in Catalonia, Spain, three and a half years after its introductionMiguel Ángel Royo-Bordonada0Carlos Fernández-Escobar1Carlos José Gil-Bellosta2Elena Ordaz3National School of Public Health, Institute of Health Carlos IIINational School of Public Health, Institute of Health Carlos IIICirciter, S.LNational School of Public Health, Institute of Health Carlos IIIAbstract Background The World Health Organisation urges countries to levy specific excise taxes on SSBs. Currently, more than 50 countries have introduced some type of tax on SSBs. In March 2017, the Autonomous Region of Catalonia approved the introduction of a tiered excise tax on SSBs for public health reasons. To evaluate the effect of the Catalonian excise tax on the price and purchase of sugar-sweetened beverages (SSBs) and their possible substitutes, i.e., non-sugar-sweetened beverages (NSSBs) and bottled water, three and half years after its introduction, and 1 year after the outbreak of the COVID-19 pandemic. Methods We analysed purchase data on soft drinks, fruit drinks and water, sourced from the Ministry of Agriculture food-consumption panel, in a random sample of 12,500 households across Spain. We applied the synthetic control method to infer the causal impact of the intervention, based on a Bayesian structural time-series model which predicts the counterfactual response that would have occurred in Catalonia, had no intervention taken place. Results As compared to the predicted (counterfactual) response, per capita purchases of SSBs fell by 0.17 l three and a half years after implementing the SSB tax in Catalonia, a 16.7% decline (95% CI: − 23.18, − 8.74). The mean SSB price rose by 0.11 €/L, an 11% increase (95% CI: 9.0, 14.1). Although there were no changes in mean NSSB prices, NSSB consumption rose by 0.19 l per capita, a 21.7% increase (95% CI: 18.25, 25.54). There were no variations in the price or consumption of bottled water. The effects were progressively greater over time, with SSB purchases decreasing by 10.4% at 1 year, 12.3% at 2 years, 15.3% at 3 years, and 16.7% at three and a half years of the tax’s introduction. Conclusions The Catalonian SSB excise tax had a sustained and progressive impact over time, with a fall in consumption of as much as 16.7% three and half years after its introduction. The observed NSSB substitution effect should be borne in mind when considering the application of this type of tax to the rest of Spain.https://doi.org/10.1186/s12966-022-01262-8TaxesSugar-sweetened beveragesObesity preventionFiscal policySpainCatalonia
spellingShingle Miguel Ángel Royo-Bordonada
Carlos Fernández-Escobar
Carlos José Gil-Bellosta
Elena Ordaz
Effect of excise tax on sugar-sweetened beverages in Catalonia, Spain, three and a half years after its introduction
International Journal of Behavioral Nutrition and Physical Activity
Taxes
Sugar-sweetened beverages
Obesity prevention
Fiscal policy
Spain
Catalonia
title Effect of excise tax on sugar-sweetened beverages in Catalonia, Spain, three and a half years after its introduction
title_full Effect of excise tax on sugar-sweetened beverages in Catalonia, Spain, three and a half years after its introduction
title_fullStr Effect of excise tax on sugar-sweetened beverages in Catalonia, Spain, three and a half years after its introduction
title_full_unstemmed Effect of excise tax on sugar-sweetened beverages in Catalonia, Spain, three and a half years after its introduction
title_short Effect of excise tax on sugar-sweetened beverages in Catalonia, Spain, three and a half years after its introduction
title_sort effect of excise tax on sugar sweetened beverages in catalonia spain three and a half years after its introduction
topic Taxes
Sugar-sweetened beverages
Obesity prevention
Fiscal policy
Spain
Catalonia
url https://doi.org/10.1186/s12966-022-01262-8
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