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Thursday, May 2, 2024

Excise Department raises sugar tax on Phase 3, D-Day, April 1

The Excise Department raises the sugar tax on Phase 3, D-Day on April 1, insisting on taking care of the health of Thai people. I believe it will not affect the price of sweet water. because the operator has adjusted the formula The salinity tax has made 90% progress.

Mr. Nuttakorn Utensut, Consultant on Control System Development, Excise Department Revealed that from April 1, 2023, the Excise Department will begin to increase the sweetness tax according to the amount of sugar. Entering Phase 3 after the expiration of the 6-month tax retention period according to the cabinet resolution (Cabinet) approved from October 1, 2022 to March 31, 2023, if entrepreneurs do not change the production formula By reducing the ingredients from sugar down. will result in an increase in taxes. with the goal of wanting to take care of Thai health away from obesity, diabetes, high blood pressure

For the sweetness tax phase 3, starting from April 1, 2023 to March 31, 2025, the rates are as follows: amount of sugar 6-8 grams, tax rate is 0.3 baht per liter, amount of sugar 8-10 grams, tax rate is 1 baht per liter, amount of sugar is 10 -14 grams, the tax rate is 3 baht per liter, the tax rate of sugar from 14-18 grams is 5 baht per liter, and the amount of sugar from 18 grams is the tax rate of 5 baht per liter.

“Sweet tax will increase progressively every 2 years, and phase 3 will take effect on April 1. If the operator does not adjust in production By reducing the sweetness, the tax will be increased. For example, beverages containing 10-14 grams of sweetener per liter will have to pay an additional tax from 1 baht to 3 baht per liter. This will not increase the tax burden in any way, ”said Mr. Nuttakorn.

Mr. Nuttakorn believes that the increase in the sugar tax on sugar content this round will not affect the price of sweet drinks or soft drink prices increase until it becomes a burden on consumers because now the product manufacturers have gradually adjusted Reduce the sugar mixture. or turn to artificial sugar or other sweeteners mixed with natural sugar which will have less impact on health instead

However, for example, most of the drinks that used to be sweetened from sugar averaged over 10 grams per liter. Now reduced to 7.3 grams per liter, which is in line with the department’s target. who want the product to be less sweet for the health benefits of consumers

read The research indicates that the tax on sugar is full, in the first 25 years, the state has revenues of more than 830 billion.

In addition, it was found that beverages with a healthy alternative nutrition symbol The number has increased from more than 200 items, the latest in January 2023 has increased to 1,800 items, or an increase of 9 times more than before, so it is believed that drinks with less than 6 grams of sugar are increasing. While soft drinks used to be very sweet, more than 10 grams per liter, there are only 7.3-7.5 grams per liter of sweetness left today. It is even more motivating for entrepreneurs. Hurry up to adjust the production formula by reducing sugar even more.

Mr. Nuttakorn spoke about the progress of the salinity tax that the department has now completed 90% of its study, but when will it begin to be used? depending on the appropriateness of the period Because at this time, the Thai economy is still not growing very high. But the cost of production is higher. If the Department raises taxes now, it may aggravate the producers. and consumers can be affected. therefore have to wait and see the clarity of the policy again but to gain confidence

If the Department will announce the use of salinity tax There will be a period to adjust at least 1 year, which will not be effective immediately.

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