Sugary drinks now cost 20 cents more per liter in Newfoundland and Labrador, due to an additional tax imposed by the provincial government that took effect Thursday. This is a first in Canada.
“The goal of this initiative is to encourage residents of the province to choose beverages with no added sugar. Encourage better beverage choices and put more emphasis on a healthy lifestyle,” reads the government website.
This new provincial tax concerns soft drinks, but also fruit-flavored sweet juices, iced teas, lemonades, sports and energy drinks, fountain drinks and slush.
Certain beverages, such as alcoholic beverages, chocolate milk, diet drinks with artificial sweeteners, infant formula, yogurt drinks and meal replacement drinks are not affected by this tax.
The Newfoundland and Labrador government mentioned its intention to introduce this tax in its budget last year before giving details in October 2021.
“The audacity of the province”
For the Quebec Coalition on the problem of weight (Coalition Poids), which wants Quebec to follow the example of Newfoundland and Labrador, the application of this new tax “testifies to the audacity of the province”.
“While promising and convincing international experiences are multiplying, the Weight Coalition is delighted that a first Canadian province is following suit,” said Corinne Voyer, director of the Weight Coalition, in a press release on Thursday.
“These [boissons sucrées] represent the main source of sugar for the Quebec population. However, their overconsumption is associated with many health consequences, such as type II diabetes, cardiovascular disease, obesity and dental or bone problems.
The Weight Coalition believes that taxing sugary drinks frees up considerable amounts that can be reinvested in prevention. “The revenue from the taxation of sugary drinks could, for example, support a provincial program offering food stamps intended for vulnerable households to facilitate access to fresh fruits and vegetables,” added Ms. Voyer.