Drinks: Coalition agrees on sugar tax - topic in Cabinet today
According to a media report, small manufacturers are exempt from the sugar tax on drinks. Following the cabinet decision, it is now the Bundestag's turn.
The German government has reached an agreement on a sugar tax for beverages, which will be presented to the Cabinet on Wednesday. The tax, which still needs to be approved by the Bundestag, will be introduced in two stages, with a rate of 26 cents for sweetened drinks with a sugar content of 5 grams per 100 milliliters and 32 cents for those with a sugar content of 8 grams per 100 milliliters.
The tax is set to come into effect on July 1, 2027, and will have exemptions for smaller manufacturers. Finance Minister Lars Klingbeil aims to generate revenue for the federal budget and encourage drink manufacturers to reduce sugar content.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.