Zimbabwe's Sugar Tax Generates US$30.8 Million In Revenue
The Zimbabwean government says it has raised US$30.8 million from a special surtax on sugar content in beverages since its introduction earlier this year.
This surtax is intended to fund the procurement of cancer treatment equipment.
George Guvamatanga, the Permanent Secretary for the Ministry of Finance, Economic Development and Investment Promotion, revealed this in a letter to the Zimbabwe Association of Doctors for Human Rights (ZADHR) on December 13, 2024.
ZADHR had requested details about the sugar tax collection and its use.
The sugar tax was introduced on February 9, 2024, under the Customs and Excise (Tariff) (Amendment) Notice, 2024.
ZADHR also asked for information on the specific cancer drugs and equipment procured and the hospitals they were distributed to.
Guvamatanga said that procurement of medical supplies falls under the Ministry of Health and Child Care and referred ZADHR to that ministry for further information.
The government introduced the sugar levy to discourage high sugar consumption, which is linked to certain cancers.
Finance Minister Mthuli Ncube justified the introduction of the sugar tax as a response to growing concerns about the adverse effects of the consumption of sugar.
He said the funds generated from the levy would be ring-fenced for therapy and procurement of cancer equipment.
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