Business

White House task force mulls taxes, regulation to fight childhood obesity

By Jeremiah Mcwilliams
May 11, 2010

A White House task force applied pressure on the restaurant and beverage industries on Tuesday when it unveiled a comprehensive report on obesity among children.

The report extolled the virtues of a soda tax that the drinks industry has been anxious to avoid. It also recommended big menu makeovers for fast food restaurants and more stringent labeling requirements for food manufacturers.

A tax on sugary drinks and fatty foods could discourage consumption of items with "minimal nutritional value" and could generate considerable revenue to fund obesity-fighting programs, the report said.

Beverage companies such as Coca-Cola Co. and PepsiCo have worked to defeat state taxes on carbonated soft drinks. They avoided a federal version of the tax in the mammoth health insurance bill passed earlier this year. But the report again raised the specter of new taxes.

Higher tax rates on sugary sodas, fruit drinks and sports drinks would have a greater impact on consumption than current state taxes, according to the report. It pointed to the impact of tobacco taxes as evidence that steeper taxes can change behavior.

The document called for health care providers to discourage "unhealthy behaviors," specifically eating high calorie foods and drinking sugar-sweetened beverages. That declaration got the attention of John Sicher, editor of Beverage Digest, who spent much of the day parsing the 120-page report.

"Calling intake of sugar sweetened beverages ‘unhealthy' is outrageous and nonsensical," Sicher said. "They are perfectly healthy when consumed in moderation."

Beverage and restaurant trade groups struck a non-combative pose, saying they support a comprehensive solution to childhood obesity and are committed to providing a range of healthy options.

The American Beverage Association, which represents companies such as Coca-Cola and PepsiCo, said its members had already agreed to refrain from marketing their beverages – with the exception of water, milk and juice – to children under 12. Drinks companies have removed full-calorie soft drinks from American schools and promised to display calorie counts on the front of packages and on vending and fountain machines.

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Jeremiah Mcwilliams

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