Adnkronos (Adnkronos) – A few weeks after the start of the discussion on the Budget Law and just over 3 months after the entry into force of the Sugar Tax, set for early 2027, the soft drinks sector is once again turning to the institutions with a clear message: the regulatory uncertainty linked to the measure is blocking over 1 billion euros of investments in the country.
This is what emerged today in Rome, at the event "Investing in Growth: Why Overcome the Sugar Tax and New Taxes," a discussion promoted by Assobibe, the Confindustria association representing soft drink producers in Italy, which brought together institutions, political forces, and businesses to analyze the economic and social impacts of a measure that risks generating further uncertainty for the sector and its related industries.
After introductory remarks by Giangiacomo Pierini, President of Assobibe, Alessandro Fontana, Director of the Confindustria Research Center, spoke with an analysis of the country's economic and social challenges. "The escalation of the Gulf War, the rising prices of energy and some commodities, rising inflation—reaching its highest point this year at 3,3%—which is impacting household purchasing power, and the double interest rate hike of a quarter of a percentage point each, will slow the Italian economy in the coming months, despite an upward revision of growth estimates for 2026, to around 0,8% from 0,5% in April."
It is crucial to ease the pressure on businesses and families by also eliminating the sugar and plastic taxes,” Fontana declared.
"For almost seven years, we have been living under the sword of Damocles of a tax that never actually came into force, but is always just around the corner," said Giangiacomo Pierini. "We appreciate the commitment of the political forces that have understood our struggle and of the institutions that have chosen to postpone it over the years, avoiding a devastating impact on businesses and the supply chain. But if in recent years all successive governments have decided not to implement this tax, it is clearly a useless measure. This prolonged uncertainty, in a context already marked by exploding costs for businesses and steadily rising inflation, has inevitably slowed growth: over €1 billion in investments that businesses could dedicate to innovation, new plants, and jobs for the country are stalled, with a direct impact on the development of other supply chains close to us. We can no longer afford further delays: the time to decide has come, not only for our sector, but for the entire economic system of the country and its attractiveness. Today, we ask the institutions for a definitive commitment to the cancellation of the useless sugar tax, not its ninth extension”.
During a roundtable discussion, institutional and political figures discussed the issue, including Marco Osnato, President of the Sixth Finance Committee, Raffaele Nevi, Secretary of the Thirteenth Agriculture Committee, and Mario Turco, member of the Sixth Finance Committee, with a contribution from Silvia Fregolent, Vice President of the Ninth Industry and Agriculture Committee. A shared message emerged: the sugar tax appears to be an unfair measure, affecting a strategic sector for the Italian economy and putting thousands of jobs at risk. It was repeatedly emphasized that industrial policy must be built on stable rules, not annual extensions that fuel uncertainty. It was also emphasized that the measure was designed for health purposes, helping to push companies to reformulate their offerings. This result was nevertheless achieved and can be further enhanced through tools other than taxation, such as prevention, nutritional education, and innovation incentives, capable of simultaneously protecting health and competitiveness. In a context that has changed profoundly compared to the past, amidst energy costs, inflation, and international instability, introducing a new tax today would penalize a productive sector with repercussions for the entire supply chain, including agriculture and the country's premium products, and for consumers. This contradicts the universally shared demand for greater investment and employment.
The proceedings were enriched by institutional greetings from Giorgio Salvitti, political advisor to the Minister of Agriculture, Food Sovereignty and Forestry, Francesco Lollobrigida; Sandra Savino, Undersecretary of State at the Ministry of Economy and Finance; and Marcello Gemmato, Undersecretary of State at the Ministry of Health. "The sugar tax is yet another ideological measure imposed in Brussels by officials who forgo cost-benefit analysis in the name of a false sense of health. There is, in fact, no correlation between the introduction of a tax and a decrease in consumption. Just as it is wrong to blame soft drinks for harmful health consequences, this tax could even translate into a loss of VAT revenue for the state. As with wine or beer, production must be geared towards new market trends, which soft drink producers are already doing. At Masaf, we are pursuing, with specific programs in schools, paths towards informed consumption: because protecting citizens' health cannot be achieved by bringing a sector to its knees," said Giorgio Salvitti, political advisor to the Minister of Agriculture, Food Sovereignty, and Forestry, Francesco Lollobrigida.
"Growth is supported by creating conditions of stability, trust, and competitiveness for businesses. The sugar tax, whose entry into force has been postponed until January 1, 2027, requires a careful evaluation of its effects on the entire supply chain, on investments, and on consumers. I believe that the postponement should be used to work towards definitively overcoming the measure, identifying more effective and less distortive tools to pursue public health objectives. The direction must be towards a simple, predictable tax system capable of supporting, not hindering, the growth of the production system," stated Sandra Savino, Undersecretary of State at the Ministry of Economy and Finance.
The soft drinks sector has already demonstrated its ability to address the issue of sugar reduction with concrete tools, without waiting for regulatory intervention. In recent years, the sugar content released for consumption by companies in the sector has been reduced by 44%, while sugar-free variants have grown at a rate 7,5 times faster than regular versions. This process received a further step last July with the signing of the Memorandum of Understanding between Assobibe and the Ministry of Health, strengthening collaboration between institutions and companies on consumption monitoring, consumer information, calorie content, and responsible marketing to young people. This model confirms that dialogue and responsibility, rather than fiscal leverage, are the most effective tools for driving change.
Marcello Gemmato, Undersecretary of State at the Ministry of Health, also spoke on the issue, reiterating that: "Rather than introducing fiscal measures, it is crucial to strengthen health education through accurate information and the promotion of informed consumer choices. This is the context for the collaboration between the Ministry of Health and Assobibe, renewed with the memorandum of understanding signed last July, which aims to encourage behaviors consistent with healthy lifestyles, starting with sugar reduction and proper energy balance. In the Italian dietary model, based on balance and variety, even non-alcoholic beverages can play a role, provided they are consumed moderately and responsibly, avoiding excesses, especially added sugars. The results already achieved demonstrate a shared responsibility between consumers and the supply chain, capable of fostering a positive change."
The figures emerging from the in-depth analyses presented during the meeting confirm the validity of these concerns. The introduction of the sugar tax would also lead to a 28% tax increase on each liter of production, resulting in a 16% decline in sales, according to Nomisma estimates, in the two years following its implementation. This effect would translate into a 10% reduction in turnover and a 12% reduction in business and investment. Related industries would also be affected, with a drop in raw material purchases exceeding €400 million, while more than 5.000 jobs would be at risk. A paradox would also arise on the fiscal front: the new levy would result in a loss of VAT revenue due to the decline in consumption amounting to €275 million, partially undermining the very objective of the measure. As the debate on the next Budget Law approaches, the sector is calling on institutions to definitively put an end to the period of uncertainty that the sugar tax ushered in in 2019. A clear decision such as its cancellation will allow companies to look to the future with the certainty needed to ensure employment and growth, benefiting the entire supply chain and the country.
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