Tax on Sugary Drinks Proposed to Combat Obesity Crisis in Australia
A leading health organization has renewed its call for a tax on sugar-sweetened beverages (SSBs), formally submitting a proposal for the 2026-27 federal budget.
Australians consume over 2.4 billion liters of sugary drinks annually, a figure the organization links to rising rates of poor dental health and obesity.
The proposed tax is set at 50 cents per 100 grams of sugar, which would increase the price of a standard 375ml soft drink can by approximately 20 cents.
The organization's modeling estimates the tax would reduce annual sugar consumption by about 2kg per person, generate A$3.6 billion over four years, and encourage manufacturers to reformulate their products.
"Obesity has surpassed tobacco as the leading risk factor for disease burden in Australia."
The group also notes that more than 130 jurisdictions globally have already implemented a similar tax on sugary drinks.