Martin Bagya Kertiyasa, Jakarta – The Center for Indonesia's Strategic Development Initiatives (CISDI) has raised concerns over the growing consumption of sugar-sweetened beverages (SSBs), warning that it could trigger a rise in non-communicable diseases (NCDs) and burden Indonesia's healthcare system in the years ahead.

"Consumption of these drinks leads to excessive sugar intake, which can cause obesity and increase the risk of diabetes, cancer, and cardiovascular diseases," said CISDI's Project Lead for Food Policy, Nida Adzilah Auliani.

According to Nida, healthcare spending linked to such diseases has jumped by 43 percent in the past five years. "If there are no preventive measures against risk factors such as obesity, diabetes, and hypertension, the costs will continue to soar," she said, describing the issue as a potential "time bomb" for the nation's health budget.

Sugar-sweetened beverages include liquid, concentrated, and powdered drink products containing sugar or other sweeteners. Data show that primary and referral healthcare costs for diabetes treatment covered by BPJS Kesehatan surged 29 percent between 2017 and 2019, reaching Rp 108 trillion ($6.5 billion) in 2019, excluding other NCD-related spending.

To curb consumption, CISDI has proposed a minimum 20 percent excise tax on sugary drinks. The group's latest study suggests the policy could reduce consumption by 18 percent and lower national sugar intake.

CISDI also emphasized the need for a clear roadmap for SSB taxation, ensuring policy consistency and preventing excessive industry influence.

Government officials are currently in talks with the House of Representatives (DPR) on the proposed excise, which is expected to take effect next year.

Source: https://jakartaglobe.id/business/too-sweet-to-sustain-ngo-urges-20-tax-on-sweetened-beverage