With a huge chunk of the capital investment in the industry directed towards the creation and expansion of manufacturing and bottling facilities across various states in India in Tier 2 and Tier 3 cities, the industry employs tens of thousands and holds the potential to employ more. [...] The sector is a key contributor to the ‘sunrise’ food processing industry and a backbone of the network of kirana shops and retailers in the country. [...] It presents the trends and growth in the sector in India; discusses global best practices in taxing sugar-sweetened beverages; examines the Indian tax regime in the light of such global best practices and suggests ways to address the twin objectives of limiting the intake of added sugars in beverages and optimising the tax revenue collection. [...] Further, reclassification based on sugar content and India has the highest standard GST rate in Asia, taking into account the new varieties of and the highest number of different slabs of products in the market and (b) by formalising the informal sector. [...] While Section 3.1 presents the contribution of the sector to the Indian economy, based on qualitative interviews of some of the major beverage companies, Section 3.2 and Section 3.3 present the market size of the sector and analyse the changes in consumption patterns across the sector and various sub-categories respectively.
Authors
Dr. Arpita Mukherjee, Professor, ICRIER;Ms. Eshana Mukherjee, External Consultant, ICRIER
Organizations mentioned
- Pages
- 54
- Published in
- India
Table of Contents
- Keywords 5
- Carbonated Soft Drinks CSDs India GST NARTD Industry Sugar-Based Taxes 5
- JEL classification 5
- H25 L66 M38. 5
- Authors email 5
- Arpitaicrier.res.in mukherjeeshanagmail.com aryanbisoi12gmail.com 5
- ASI Annual Survey of Industries 6
- CAGR Compounded Annual Growth Rate 6
- CBIC Central Board of Indirect Taxes and Customs 6
- CFD Carbonated Beverages of Fruit Drink 6
- CNNS Comprehensive National Nutrition Survey 6
- CSD Carbonated Soft Drink 6
- CVD Cardiovascular Disease 6
- DOAJ Directory of Open Access Journals 6
- ECSIP European Competitiveness and Sustainable Industrial Policy 6
- EFTA European Free Trade Agreement 6
- FAO Food and Agriculture Organization 6
- FOPNL Front-of-Pack Nutrition Labelling 6
- FSSAI Food Safety and Standards Authority of India 6
- FV Fruit and Vegetable 6
- GST Goods and Services Tax 6
- HFCS high fructose corn syrup 6
- IBA Indian Beverage Association 6
- ICMR- INDIAB 6
- Indian Council of Medical Research India Diabetes 6
- ICMR- NIN 6
- Indian Council of Medical Research National Institute of Nutrition 6
- ICRIER Indian Council for Research on International Economic Relations 6
- IDA Indian Dietetic Association 6
- IMF International Monetary Fund 6
- JECFA Joint Expert Committee of Food Additives 6
- MOFPI Ministry of Food Processing Industries 6
- MoHFW Ministry of Health and Family Welfare 6
- MoWCD Ministry of Women and Child Development 6
- MRSI Market Research Society of India 6
- NARTD Non-Alcoholic Ready-To-Drink 6
- NCD Non-Communicable Disease 6
- NLM Nuts Legumes and Millets 6
- PHE Public Health England 6
- PLI Production Linked Incentives 6
- PPP Purchasing Power Parity 6
- RBIL Red Bull India Private Limited 6
- RIL Reliance Industries Limited 6
- SDIL Soft Drinks Industry Levy 6
- SEC Socio-Economic Classification 6
- SSB Sugar Sweetened Beverage 6
- TEPA Trade and Economic Partnership Agreement 6
- TPRU Tax Policy Research Unit 6
- UAE United Arab Emirates 6
- UK United Kingdom 6
- USA United States of America 6
- VAT Value Added Tax 6
- WHO World Health Organization 6
- Table of Content 7
- List of Tables 7
- List of Figures 8
- List of Boxes 8
- Value in USD Billion 10
- Aatmanirbhar Bharat 11
- WorldPanel India 14
- 2.1.1 Determining what to tax and how much to tax 19
- 2.1.2 Taxation by product sub-categories 20
- 2.2.1 Impact of Taxes on Consumption and Revenue Collection 24
- 3.2.1 Market Trends in Carbonated Beverage Sub-categories 32
- Share in per cent 33
- 3.2.2 Trends in carbonated beverage sub-categories and their sugar content 34
- Sugar content in g per 100gml percentage change 34
- 3.3.1 SEC Groups 35
- In per cent 35
- Source Kantar World Panel 35
- Note CSDs such as Pepsi Coca-Cola Fanta Limca Thums Up mango-based drinks such as Frooti Slice Maaza juices such as Real and Tropicana 35
- 3.3.2 UrbanRural Classes 35
- In per cent 36
- Source Kantar World Panel 36
- Note CSDs such as Pepsi Coca-Cola Fanta Limca Thums Up mango-based drinks such as Frooti Slice Maaza juices such as Real and Tropicana 36
- Preventive medicine 105S 41
- Nature reviews. Endocrinology 18 43