The Economic Survey 2024-25 has called for a higher tax on ultra-processed foods, proposing it as a "health tax". This measure targets brands that advertise these items.
A multi-pronged approach is required to address the concerns arising from the increased inclusion of ultra-processed foods in diets in India, the survey noted. The country's food regulator, FSSAI, could consider regulating ultra-processed foods, with clear definitions and standards, including stricter labeling requirements, it said.
A 22-country study established that self-regulation has not been very effective. "Improved monitoring of branded products to ensure compliance would help build consumer confidence," the survey said. Furthermore, consumer protection efforts can be strengthened to address aggressive marketing and misleading nutrition claims, particularly those targeting children and youth.
A study by Nutrition Advocacy in Public Interest and Breastfeeding Promotion Network of India in 2023 recommended that efforts to curb the harmful impact of ultra-processed foods should be free from food industry influence. The survey suggested that the Ministry of Health and Family Welfare, should "urgently" define nutrient thresholds for sugars, salt, and saturated fats to regulate advertising, adopt warning front-of-pack labels, and impose stricter marketing restrictions on unhealthy foods, especially for children under 18.
Schools, and public areas should eliminate ultra-processed foods, while incentives should promote affordable healthy food production, it said.
Ultra-processed food is a Rs 2.5 lakh-crore business that relies on the hyper-palatability of food items and marketing strategies that involve misleading advertisements and celebrity endorsements targeting consumer behavior, according to the survey.
Often, unhealthy packaged food items are advertised and marketed as healthy products. For example, breakfast cereals, tetra pack juices, and chocolate malt drinks, frequently advertised as nutritious, fall under the category of ultra-processed food based on their ingredients. "Misleading nutrition claims and information on ultra-processed food need to be tackled and should be brought under the scanner. Setting standards for permissible levels of salt and sugar and ensuring checks for ultra-processed food brands to adhere to the regulations is also essential," the survey stated.
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