"Once Called a 'Sin Tax'... The History Behind Sugar Taxes [Delicious Stories]"
Sugar tax in Norway first imposed as a "sin tax"
In the 21st century, sugar taxes are recommended as part of public health policy
President Lee Jaemyung has raised the need to introduce a 'sugar levy.' Sugar is an essential ingredient in desserts such as bread, chocolate, and beverages, but it has also long been viewed as a target for taxation. In the past, sugar taxes were used as a means to increase government revenue during difficult times, whereas today they are imposed to promote public health. Let's take a look at how sugar taxes have changed over the past 100 years.
The First Sugar Tax: Norway... Introduced Due to Economic Recession
The world's first sugar tax began in Norway. In 1922, the Norwegian government introduced the "Chocolate and Sugar Products Tax," which imposed taxes on a variety of desserts containing sugar.
However, at the time, the sugar tax was not a public health policy aimed at reducing the nation's sugar consumption. In fact, Norway suffered a severe economic recession in the 1920s. According to records from the University of Oslo and the Encyclopaedia Britannica, Norway's GDP per capita plunged by 11% in 1921 alone, and by the mid-1920s, the unemployment rate soared to 20% of the entire workforce.
As the recession reduced tax revenues, the government began taxing various non-essential goods. In Norway at the time, luxurious desserts loaded with sugar were seen as "unnecessary luxury items." For this reason, the sugar tax was nicknamed a "sin tax," drawing criticism as a punitive tax on luxury.
Sugar Tax Evolves Into a Public Health Policy
Norway's sugar tax has continued for more than a century and remains in effect to this day. However, in the 21st century, the sugar tax began to be considered as part of a public health policy rather than as a tool for government revenue. While sugar prices have fallen sharply in the meantime, obesity caused by excessive sugar consumption has emerged as a social problem.
In 2016, the World Health Organization (WHO) officially recommended imposing a sugar tax of more than 20% on sugar-sweetened beverages. Since then, several countries, including the United Kingdom, have attempted to introduce sugar taxes or sugar levies.
Some countries have reported positive results. In the United Kingdom, for example, the "Soft Drinks Industry Levy" implemented in 2018 led to a reduction of more than half in the sugar content of beverages sold in stores over the past eight years. Citing research from the University of Cambridge in the UK, the Health Culture Project Group at Seoul National University reported on February 4 that, following the implementation of the system, the obesity rate among girls aged 10–11 in the UK decreased by 8%, and hospital admissions for tooth extraction due to cavities among children under 18 also dropped by 12%.
Some Remain Skeptical: "Obesity Increases Regardless of Sugar Consumption"
However, there are also many voices expressing skepticism about the health benefits of the sugar tax. The international economic research think tank IEA analyzed Norway, the first country to introduce a sugar tax. The analysis found that instead of consuming chocolate, candy, and soda in Norway, Norwegian consumers crossed the border into Sweden to buy sugar products in bulk at lower prices. The IEA referred to this phenomenon as "cross-border sugar trade."
Norwegian consumers are reportedly consuming desserts abroad rather than in their own country, where sugar products are expensive. The photo shows a candy store in Sweden. Screenshot from The Guardian.
View original imageAs a result, Norway's per capita annual sugar consumption, according to health authorities' data, has reportedly decreased by 1 kg each year since 2000. However, the obesity rate has instead worsened, reaching 23.1%—higher than before.
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On this point, Christopher Snowdon, a researcher at the IEA, said, "It is unclear whether Norway's official per capita annual sugar consumption statistics include sugar consumed abroad." He added, "In any case, the obesity rate has continued to rise for years, regardless of changes in sugar consumption. Health policies that are not based on facts may ultimately prove ineffective."
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