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Mexico to Seek Higher Soda Taxes in 2026 Budget Package

Congress will take up the plan on September 8, with mounting health costs driving calls for at least a 20% price hike.

Overview

  • The executive signaled it will modify existing levies on soft‑drink producers in the Paquete Económico 2026, and presidential counsel Ernestina Godoy warned lawmakers to expect strong industry lobbying.
  • Days earlier, the government launched a national campaign to curb soda intake, and Health Secretary David Kershenobich reported average consumption of about 166 liters per person a year with most children drinking sodas daily.
  • Civil society groups urged sharper increases, with Salud Justa calling for a 20% rate and the Alianza por la Salud Alimentaria proposing a path to 50% by 2035, echoing WHO, World Bank and OECD guidance for at least a 20% price rise.
  • The 2014 one‑peso‑per‑liter tax initially trimmed purchases but now equals roughly 5% of price, and CIEP estimates a 20% price increase could reduce consumption by 16% to 19%.
  • Fundar projects a 20% hike could prevent up to 970,000 obesity cases and raise more than 104 billion pesos, while IMSS cites over 50 billion pesos a year for diabetes care and 2020 data link about 46,000 deaths to sugary drinks.