Sugar Tax Mexico

Tax LawEvent2014
RegionMexico
Year2014
TypeTax Law
CategoryEvent

About Sugar Tax Mexico

Mexico implemented a tax on sugar sweetened beverages in 2014, setting a 1 peso per liter tax, approximately 10 percent of the price. The tax was a response to Mexicos high obesity and diabetes rates. Studies showed the tax reduced purchases of sugary drinks by 5 to 12 percent in the first two years. Households with children showed the largest reductions. The beverage industry reformulated many products to reduce sugar content. The UK introduced a similar sugar tax in 2018, structured to incentivize reformulation. Over 50 countries have now implemented sugar taxes. The sugar tax represents a new frontier in sin taxes, targeting modern health threats rather than traditional ones like tobacco and alcohol.

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