Sugary drinks and alcoholic beverages remain too affordable in many countries, undermining efforts to address rising rates of obesity, diabetes, and other chronic illnesses, the World Health Organization (WHO) has said. Two recent WHO reports highlight that current taxes on these products are not keeping pace with inflation, allowing prices to fall in numerous markets.
According to the WHO, sugary drinks became more affordable in 62 countries between 2022 and 2024. Beer showed a similar trend, becoming cheaper in 56 countries over the same period. The findings underscore a growing gap between public health needs and existing tax policies.
“Health taxes are not a silver bullet, and they’re not simple. They can be politically unpopular and attract opposition from powerful industries, but many countries have shown that when they’re done right, they’re a powerful tool for health,” said WHO Director-General Tedros Ghebreyesus.
The organization has repeatedly recommended that governments increase levies on alcohol and sugar-sweetened beverages to reduce consumption and fund health systems. Evidence from countries such as Colombia and South Africa suggests that well-structured taxes can cut consumption, encourage healthier behavior, and generate significant revenue.
The WHO’s new “3 by 35” initiative aims to raise the prices of alcohol, sugary drinks, and tobacco by 50 percent over a ten-year period through taxation. The program is expected to generate roughly €850 billion by 2035, which could help countries cope with rising public debt and shrinking development aid.
The reports warn that low taxes are particularly ineffective when they do not reflect inflation, allowing harmful products to remain within reach of consumers. The WHO emphasized that higher prices can reduce, delay, or even prevent consumption, with long-term benefits for public health.
The organization also noted that taxing alcohol and sugary drinks addresses multiple health risks at once. Alcohol consumption contributes to more than 200 health conditions, including liver disease, cancer, and mental health disorders, while high sugar intake is linked to obesity, heart disease, and type 2 diabetes.
WHO officials called on governments to act urgently, highlighting that rising affordability of harmful products could overwhelm healthcare systems already struggling with chronic disease burdens. The agency urged countries to implement health taxes as part of comprehensive strategies to improve nutrition, prevent disease, and secure funding for essential health services.
The initiative reflects a growing global push to use fiscal measures as public health tools. By making harmful products more expensive, countries can encourage healthier choices while generating revenue to strengthen health systems and support long-term economic stability.
