Germany Sets Start Date for Tax on Sugary Drinks
Under the draft legislation, beverages containing at least five grams of sugar per 100 milliliters would be taxed at €0.26 per liter, while drinks containing eight grams or more would face a higher rate of €0.32 per liter. The government’s Cabinet is expected to approve the proposal on Wednesday, according to reports.
Finance Minister Lars Klingbeil, a member of the center-left Social Democratic Party (SPD), intends to use the measure to increase federal revenue while encouraging beverage producers to lower sugar levels and develop healthier alternatives. Government estimates suggest the levy could generate approximately €690 million ($773 million) in 2027, increasing to €925 million ($1.04 billion) in 2028.
An earlier version of Klingbeil’s proposal was blocked by the Chancellery at the beginning of the month. Chancellor Friedrich Merz also faced opposition within his conservative Christian Democratic Union (CDU), as several regional party officials argued that the tax would represent excessive government intervention and increase costs for consumers.
The decision comes amid concerns about Germany’s high sugar consumption, which substantially exceeds recommendations from the World Health Organization (WHO). The organization advises adults at a healthy weight to consume no more than 50 grams of sugar daily, with an ideal limit below 25 grams, equivalent to roughly six teaspoons.
Average daily sugar consumption in Germany stands at 78 grams among men and 61 grams among women. When additional sources of sugar are taken into account, total daily intake can reach 100 grams.
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