Mexico 'Sugary Drinks Tax' Reduced Sales by 12 Percent

Back in January 2014, a 10% sales tax on sugary drinks was implemented in Mexico to help address te world's highest obesity rate, The Guardian reports. 32.8% of the Mexican population are obese, and 14% have diabetes.

A new study published in the journal "BMJ" shows that the sales tax on sugary drinks has been effective in curbing the consumption of such beverages, HealthDay reports.

Researchers analyzed data from over 6,200 Mexican households in 53 large cities and found that in 2014, the average person bought 4.2 fewer liters of sugary drinks than they would have before the tax was implemented. Sales of sugary drinks went down the most among poor households, with a 17% decrease by the end of 2014. However, the study was observational, and researchers noted that they cannot draw any definitive conclusions about cause and effect.

The Wall Street Journal reports that Mexico consumes more sugary drinks per capita than any other country in the world, and contributes to about 5% of Coca-Cola's global sales.

The American Heart Association released a statement on Thursday, saying, "Scientific research shows that overconsumption of added sugars contributes to heart disease and other chronic diseases such as obesity and diabetes. Mexico has paved the way for other nations to decrease sugary drink intake and has shown sugar-sweetened beverage taxes are an effective strategy to make healthy choices easier."

"Reducing consumption as part of a heart-healthy lifestyle will help improve rates of obesity, diabetes, dental caries, and heart disease," the statement said.

However, TIME reports that as per senior health economist Franco Sassi of the Organisation for Economic Co-operation and Development in Paris, he believes that "taxes can be part of a public health strategy—and Mexico’s is a great example for other countries—but they cannot be viewed as a magic bullet in the fight against obesity."

According to Medical Xpress, Sassi recommends more research to find out how taxes can play a role, partnered with policies like health education for a more comprehensive anti-obesity campaign. He recommends regulatory measures, health education around food choices, incentives for research and development in food production, and changes in the food choice environment. He said, "If all of the above policies were used systematically and effectively, the focus of the policy debate might shift away from taxes in the future."

Additionally, William Dermody Jr., vice president of policy at the American Beverage Association, argues that this reduction isn't enough to make an impact on actual weight loss.