The Excise Department says that taxes on sugary drinks will double from October 1, with drinks containing 10 to 14 grams of sugar being taxed at 1 baht per 100 millilitres instead of 0.5 baht per 100 millilitre. But he promises this higher tax won’t be passed on to consumers.
Nattakorn Utensut, the department’s deputy spokesman, says most producers of sweet beverages had not reduced the sugar content out of fear of losing customers. Instead many have just launched new, less-sweet versions of their drinks.
The new tax will boost the overall tax revenue to 3.5 billion to 4.5 billion baht from the current collection of 2 billion to 3 billion baht annually.