Kerala is the state in India that recently introduced a 14.5% tax on burgers, pizzas, doughnuts and tacos served in branded restaurants. Lifestyle diseases are on the rise and the government aims to check this with the tax.
Some of the larger fast food chains like McDonalds, Burger King, Domino’s, and Kentucky Fried Chicken are fairly new to Kerala, where officials say that food habits are changing dramatically.
Other countries have also done this. Denmark implemented a fat tax in 2011 but after learning consumers were going across the border to purchase high fat foods, they repealed it. Hungary taxes foods high in sugar, salt, and fat. Mexico is another country that taxes sugary drinks and foods. And I as shared recently in our newsletter, Philadelphia is introducing a soda tax.
What are your thoughts?