A new modelling study from Centre for Health Economics & Policy Innovation, the Institute of Economic Growth, and Resolve to Save Lives highlights how taxing foods high in fat, sugar, and salt (HFSS foods) could deliver major health and economic gains for India over the next 30 years—with minimal impact on household spending.
- Better health outcomes: A 40% tax on HFSS foods could prevent 9.2 million cases of major noncommunicable diseases and result in 11.9 million fewer people living with hypertension.
- Lower health costs: The policy could save an estimated US$18 billion by reducing healthcare spending for households and the government.
- Stronger public finances: Government revenue from foods and beverages could rise by more than 90%, raising funds to reinvest in health and other priorities.
The study strengthens global evidence that unhealthy food taxes can protect health, reduce health care costs, and support healthier food
