Sugary drinks and alcoholic beverages are getting cheaper, due to consistently low tax rates in most countries, fueling obesity, diabetes, heart disease, cancers and injuries, especially in children and young adults.

In two new global reports released today, the World Health Organization is calling on governments to significantly strengthen taxes on sugary drinks and alcoholic beverages. The reports warn that weak tax systems are allowing harmful products to remain cheap while health systems face mounting financial pressure from preventable noncommunicable diseases and injuries.

“Health taxes are one of the strongest tools we have for promoting health and preventing disease," said Dr Tedros Adhanom Ghebreyesus, WHO Director-General. "By increasing taxes on products like tobacco, sugary drinks, and alcohol, governments can reduce harmful consumption and unlock funds for vital health services.”

The combined global market for sugary drinks and alcoholic beverages generates billions of dollars in profit, fueling widespread consumption and corporate profit. Yet governments capture only a relatively small share of this value through health-motivated taxes, leaving societies to bear the long-term health and economic costs.

The reports show that at least 116 countries tax sugary drinks, many of which are sodas. But many other high-sugar products, such as 100% fruit juices, sweetened milk drinks, and ready-to-drink coffees and teas, escape taxation. While 97% of countries tax energy drinks, this figure has not changed since the last global report in 2023.