Nigeria urged to hike sugary drink tax to fight disease and fund healthcare

A public health group has urged Nigeria to raise its tax on sugary drinks. The Corporate Accountability and Public Participation Africa (CAPPA) argues the move would tackle rising diseases and boost government revenue. Currently, the country collects just N10 per litre on these beverages—far below global recommendations. Nigeria’s low Sugar-Sweetened Beverage (SSB) tax is costing the country dearly, according to CAPPA. The group’s Executive Director, Akinbode Oluwafemi, called for an increase to at least N130 per litre, matching World Health Organisation (WHO) guidelines. The current rate of N10 per litre represents only 1% of the average retail price of sugary drinks.

Oluwafemi dismissed industry claims that higher taxes would harm jobs or growth. He pointed to global examples where SSB taxes succeeded without damaging economies. Nigeria, he warned, is losing over N200 billion annually in untapped revenue from the tax. The group also demanded stricter measures, including mandatory front-of-pack labelling and annual public reports on health impacts. CAPPA stressed the need for a firewall to block corporate influence in health policymaking. Without action, they warned, Nigeria faces a 'ticking public health time bomb' as diabetes, stroke, and obesity rates climb. Rising healthcare costs are already straining households. Nigerians spend an estimated N1.92 trillion each year treating preventable non-communicable diseases (NCDs). CAPPA argues that a higher SSB tax could fund school feeding programmes, healthcare, and NCD prevention efforts.

The proposed tax hike aims to cut sugary drink consumption while raising vital funds. If adopted, the revenue could ease pressure on Nigeria’s healthcare system and reduce preventable diseases. The government has yet to respond to CAPPA’s recommendations.