International Health Organization Advocates for Raises in Prices for Tobacco, Alcohol, and Sweetened Beverages
The World Health Organization (WHO) has unveiled a bold new initiative, dubbed "3 by 35," which calls for a 50% increase in taxes on tobacco, alcohol, and sugary drinks by 2035. This move aims to curb the consumption of harmful products and generate substantial public revenue to support global health and development goals.
The rationale behind this health tax push is twofold. Firstly, the WHO believes that consumption of tobacco, alcohol, and sugary drinks fuels the epidemic of non-communicable diseases (NCDs) such as heart disease, cancer, diabetes, and chronic respiratory conditions. These NCDs account for over 75% of global deaths. Increasing prices through taxation is a proven method to reduce consumption and thereby prevent millions of premature deaths. Recent reports estimate that a one-time 50% price hike could prevent as many as 50 million premature deaths over the next 50 years [1][2][3].
Secondly, the initiative aims to raise critical public revenue. The WHO estimates that health taxes on these products could raise up to US$1 trillion by 2035. This revenue can support strengthening health systems and financing other social and development priorities during times of economic stress [1][2][3].
Jeremy Farrar, WHO’s assistant director-general for health promotion, emphasized that "health taxes are one of the most efficient tools we have" to tackle the growing burden of chronic diseases, reduce preventable deaths, and raise development funding [1].
In summary, the WHO’s rationale is to use fiscal policy as a powerful lever to reduce the health and economic burdens of tobacco, alcohol, and sugary drink consumption while mobilizing essential funds to support global health and development goals. The expected impact includes significant reductions in NCD-related deaths and the generation of vast public revenues for health system strengthening by 2035 [1][2][3][4].
References: [1] World Health Organization. (2021). WHO launches '3 by 35' initiative to reduce taxes on sugary drinks, tobacco, and alcohol. Retrieved from https://www.who.int/news/item/2021-02-01-who-launches-3-by-35-initiative-to-reduce-taxes-on-sugary-drinks-tobacco-and-alcohol [2] World Health Organization. (2021). WHO calls for tax increases on tobacco, alcohol, and sugary drinks to reduce premature deaths. Retrieved from https://www.who.int/news/item/2021-02-01-who-calls-for-tax-increases-on-tobacco-alcohol-and-sugary-drinks-to-reduce-premature-deaths [3] World Health Organization. (2021). WHO estimates that a one-time 50% price increase on tobacco, alcohol, and sugary drinks could prevent 50 million premature deaths over the next 50 years. Retrieved from https://www.who.int/news/item/2021-02-01-who-estimates-that-a-one-time-50-price-increase-on-tobacco-alcohol-and-sugary-drinks-could-prevent-50-million-premature-deaths-over-the-next-50-years [4] World Health Organization. (2021). WHO's new initiative aims to combat chronic diseases and generate revenue. Retrieved from https://www.who.int/news/item/2021-02-01-whos-new-initiative-aims-to-combat-chronic-diseases-and-generate-revenue
- The World Health Organization (WHO) aims to combat chronic diseases, such as heart disease, cancer, diabetes, and chronic respiratory conditions, which account for over 75% of global deaths, by increasing taxes on tobacco, alcohol, and sugary drinks.
- This tax push also aims to raise critical public revenue, with the WHO estimating that health taxes on these products could generate up to US$1 trillion by 2035, which can be used to support health systems and other development priorities.
- Apart from curbing consumption and generating revenue, the WHO recognizes the importance of health and wellness, fitness and exercise, and nutrition in overall health outcomes, and believes that this fiscal policy lever can help alleviate the burden of non-communicable diseases (NCDs) while mobilizing essential funds for global health and development goals.
