Food & Beverage News: Insights, Safety, and Dining Trends
- Targets ultra-processed products that drive excessive sugar consumption, aiming to encourage reformulation and investment in future health.
- Implements an incentive-based sliding scale tax tied to sugar content to push manufacturers to improve product composition.
- Likely affects biscuits, cakes, sweets, spreads and breakfast cereals, according to Ouest-France and RMC.
- ANIA warns the levy will reduce purchasing power and further strain cash-pressed French agri-food companies.
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France has unveiled a proposal to bring in a tax on sugary processed foods in its latest budget.
Speaking to reporters yesterday (1 October) following the country’s 2027 financial plan, health minister Stéphanie Rist said there will be “a measure extending the tax on sugary drinks to processed foods that contain sugar, additives and which are packaged”.
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A separate document outlining the financial plans for next year also said the move would apply to “ultra-processed products that contribute most to excessive sugar consumption”, which, it said, “will encourage the reformulation of commercialised products and investment in future health”.
The document also said the move would apply to processed foods that “contribute most to sugar overconsumption”.
“The measure prioritises an incentive-based approach, with a sliding scale based on sugar content, to encourage manufacturers to improve the composition of their products. The Government aims to preserve the French model of healthy, high-quality food produced by our farmers, as well as the artisanal products that are being protected,” the document read.
Just Food has approached the French Ministry of the Economy and Finance and Rist’s department for further details on the specific food categories the tax will target.
According to local news outlet Ouest-France and radio station RMC, the measure would impact sugary processed foods, such as biscuits, cakes, sweets and spreads, and breakfast cereals.
At the press briefing, Rist explained the rationale for the move: “Obesity, which leads to diabetes and cardiovascular diseases, comes at a cost not only to our children, obviously, but also to society and, in particular, the social security system.”
France brought in a tax on sugary drinks in 2012 for sodas, juices and flavoured waters.
Sugar-sweetened drinks are presently taxed on the level of sugar per hectolitre of product. For example, if a drink contains 5kg or less of added sugar, it is taxed at €4.07 ($4.57) per hl of beverage.
Drinks containing artificial sweeteners are also taxed in the country.
In a release on Wednesday ahead of France’s 2027 budget being published, the country’s food industry trade body, L’Association Nationale des Industries Alimentaire (ANIA), warned that the move “will severely impact the purchasing power of the French”, and in particular, “that of the most modest households”.
ANIA also warned of the impact on food suppliers: “In an international context that has severely depleted their cash reserves and coming off a disastrous summer, French agri-food companies have reached the limit of their resilience. Imposing a new tax on them, which will be added to the €5bn of specific taxes already weighing on the agri-food sector, will amount to nothing less than condemning them.”
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