LCCI Warns of Economic Impact from SSB Tax Bill

The Lagos Chamber of Commerce and Industry (LCCI) expressed concerns regarding the potential economic consequences of the Sugar-Sweetened Beverages (SSB) Tax Bill, which was recently passed. Dr.

Chinyere Almona, the Director General of LCCI, stated that the bill comes at a time when the manufacturing sector is already facing challenges such as high energy costs, exchange rate volatility, elevated interest rates, and multiple taxation. The introduction of an additional tax on the beverage industry could lead to increased product costs, worsening inflationary pressures, and reduced demand for locally manufactured products.

The LCCI highlighted the risk of unintended consequences across the beverage industry's value chain, which supports a wide network of suppliers, distributors, and retailers. Almona urged the federal government and the National Assembly to engage in a redesign exercise that involves health experts and stakeholders to ensure that public health objectives are met without excessively disrupting industry growth and employment.