Blog do IFZ | 26/01/2025
From January 2015 to December 2023, Saudi Arabia and the United Arab Emirates (UAE) embarked on a groundbreaking public health journey by implementing taxes on sugar-sweetened beverages (SSBs). This move aligned with World Health Organization (WHO) recommendations, which identify taxation on sugary drinks as a highly effective strategy to combat rising rates of obesity and related noncommunicable diseases (NCDs). The results of this policy, released in the study “A review of sugar-sweetened beverages taxation in Saudi Arabia and United Arab Emirates“, recently published in the journal Eastern Mediterranean Health Journal (EMHJ), have been transformative, particularly in addressing the alarming levels of sugar consumption in the Gulf region.
Saudi Arabia took the lead in 2017, introducing taxes that increased the cost of sugary drinks by 50% and energy drinks by 100%. The UAE followed suit with similar measures. These taxes targeted a broad spectrum of sugary products, including sodas, sugar-sweetened syrups, fruit drinks with less than 100% juice, and even powdered beverage preparations. Both countries also expanded the list of taxable products over time, ensuring greater coverage and effectiveness in reducing sugar consumption.
The impact of these policies has been significant. In Saudi Arabia, sales of sugary beverages dropped from 5.4% to 1.3%, while in the UAE, sales declined from 7.4% to 5.9%. These reductions directly correlate with the lower prevalence of obesity observed over the same period. Between 2020 and 2030, projections using the WHO acceleration scenario indicate that the prevalence of obesity among children and adolescents aged 5 to 19 could decrease by approximately 12.7% in Saudi Arabia and 9.5% in the UAE. Overweight rates in this age group are also expected to decline significantly, emphasizing the effectiveness of these fiscal measures in promoting healthier lifestyles.
Both countries implemented SSB taxation consistently between 2015 and 2023, generating additional revenue and reducing obesity rates. The acceleration scenario estimates showed that SSB taxation could reduce overweight prevalence among children and adolescents (aged 5–19 years) from 38.2% in 2020 to 34.4% in 2030 in Saudi Arabia and from 37.0% to 34.6% in the UAE.
Public health outcomes were not the only successes of the SSB taxes. The measures also generated substantial revenue for both governments, which could be reinvested into further health initiatives. Importantly, the taxation policies were accompanied by public awareness campaigns aimed at educating citizens on the health risks associated with excessive sugar consumption. This dual approach ensured not only a decrease in sugar intake but also a cultural shift toward healthier dietary habits.
Resistance from the beverage industry was a notable challenge during the implementation of these taxes. Both countries faced legal and lobbying efforts aimed at undermining the policies. However, by presenting robust scientific evidence linking sugary drinks to obesity and NCDs, Saudi Arabia and the UAE managed to counteract industry opposition. The transparent use of data and the alignment of these policies with global health standards helped build public and political support, ensuring the success of the initiatives.
The taxation on sugary drinks in Saudi Arabia and the UAE stands as a model for other nations grappling with the twin epidemics of obesity and NCDs. While these taxes alone are not a silver bullet, their effectiveness is amplified when combined with broader strategies such as promoting physical activity, improving access to healthier food options, and sustaining public health education campaigns. The experiences of these two nations underscore the importance of strong policy frameworks, multisectoral collaboration, and the use of evidence-based advocacy in tackling public health challenges.
As other countries consider adopting similar measures, the Saudi and Emirati examples offer valuable lessons on how fiscal policies can drive meaningful changes in public health. By reducing the consumption of sugar-sweetened beverages, these nations are not only improving the health of their populations but also paving the way for a future where healthier choices are more accessible and sustainable for all.
