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CAPPA commends Senate for passing sugary drink tax legislation, calls on House of Representatives to safeguard public health.

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CAPPA commends Senate for passing sugary drink tax legislation, calls on House of Representatives to safeguard public health.
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The Senate has taken a significant step towards reforming Nigeria's tax system on Sugar-Sweetened Beverages, with the passage of a landmark bill that has garnered praise from the Corporate Accountability and Public Participation Africa, a prominent advocacy group.

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This bill proposes a major overhaul of the current tax regime, replacing the existing flat N10-per-litre excise duty with a percentage-based levy tied to the retail price of sugary drinks, while also allocating a portion of the revenue for health promotion and disease prevention initiatives.

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Reacting to the development, the Executive Director of CAPPA, Akinbode Oluwafemi, commended the Senate for its "bold and timely" intervention, describing the move as a "commendable and courageous" step towards protecting Nigerians from the growing burden of diet-related illnesses.

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CAPA has urged the National Assembly to expedite the remaining legislative processes, ensuring that the reviewed bill becomes law without delay, and has specifically applauded Senator Ipalibo Banigo, the sponsor of the bill, for championing policies focused on public health and social welfare.

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The organisation noted that Senator Banigo had previously sponsored the National Health Act Amendment Bill, which was passed in April 2026, increasing funding for the Basic Health Care Provision Fund from one per cent to two per cent of the Consolidated Revenue Fund.

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CAPA has highlighted the alarming rise in non-communicable diseases in Nigeria, including Type 2 diabetes, hypertension, cardiovascular diseases, obesity, and dental conditions, with sugary drinks identified as a major contributor to these health issues.

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According to public health statistics, nearly one in three deaths in Nigeria is linked to non-communicable diseases, while over 11 million Nigerians are currently living with diabetes, underscoring the need for effective interventions.

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CAPA argued that the existing N10-per-litre tax has failed to reduce consumption, as manufacturers easily absorb the cost without significantly increasing retail prices, and instead advocated for a percentage-based levy to ensure the tax remains impactful over time.

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The organisation stated that fixed-rate taxes, such as the current system, are easily absorbed by manufacturers and rendered ineffective by inflation, whereas a percentage-based levy would discourage excessive sugar intake and better protect public health.

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CAPA welcomed the proposed ad valorem tax system, which aligns with recommendations by the World Health Organisation, and also praised provisions in the bill that would dedicate part of the proceeds to health promotion, preventive care, and improved access to essential health services.

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However, the organisation stressed the importance of transparency and accountability in managing the funds to ensure effective utilisation, and called on the House of Representatives to urgently concur with the bill and transmit it to the President for assent.

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Akinbode Oluwafemi emphasized that Nigeria cannot afford to delay, given the ongoing public health crisis driven by unhealthy diets and weak regulatory frameworks, and described the strengthening of the SSB tax as a "life-saving intervention".

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CAPA maintained that a stronger tax regime on sugary drinks would help reduce the disease burden, save lives, and secure healthier outcomes for future generations, and urged lawmakers to "finish the job" by completing the legislative process.

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