What South Africa’s sugar tax achieved – and how to strengthen it

Policy brief Feb 2026 Sustainable Growth and Tax

Within two years of implementation, the Health Promotion Levy cut sugar from taxed soft drinks by about one-third. Total sugar from all sugary drinks fell far less because consumption and production shifted toward untaxed products as well as reformulation.

To increase health gains, governments should broaden coverage, index the levy to inflation, and transparently recycle revenues into prevention and nutrition programmes.