SA Canegrowers urge scrapping of sugar tax
The SA Canegrowers Association says the sugar tax should be scrapped entirely for the
sake of economic growth.
Tabling the third budget speech on Wednesday, Finance Minister Enoch Godongwana announced that the levy would remain unchanged.
The association's Higgins Mdluli has welcomed the move, saying any increase could worsen unemployment, especially in parts of KZN and Mpumalanga.
"The sugar tax has been nothing but destructive for South Africa," said Mdluli.
READ: SA cuts growth forecast to 1.4% amid global uncertainty
"The study demonstrated proof of job losses, but no evidence has been provided to show that the sugar tax has improved the health of South Africans."
The sugar tax was introduced in 2018 to reduce sugar consumption and combat related health issues.
While Godongwana spared the sugar industry from lifting taxes, he has proposed hikes of 4% and 6% for tobacco and alcohol, respectively.
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