The CEO of the Galen Centre for Health and Social Policy said in a statement that the government’s subsidy for sugar has only resulted in its higher consumption among Malaysians, thus working against the nation’s “war on sugar”.
“The price of sugar is currently being kept artificially low and under the ceiling price due to incentive payments made by the government to the sugar industry, resulting in Malaysia, a non-sugar producing country, having among the lowest sugar prices in the world.
“It does not make sense to go to war against sugar and subsidise it at the same time. With diabetes costing more than RM3 billion annually and other cardio-renal-metabolic diseases such as kidney disease, we cannot afford half measures,” he said.
Azrul was responding to the latest release of the 2023 National Health and Morbidity Survey report, which he said confirms that the country is facing a non-communicable diseases (NCD) crisis.
He noted that Malaysia now has the highest rate of diabetes in the Western Pacific region and one of the highest in the world.
“It is expected that seven million Malaysian adults aged 18 and older will be either pre-diabetic or diabetic by next year. Many of them will be undiagnosed and unaware of their status,” he said.
Azrul also addressed the controversy over the recent proposal to ban 24-hour eateries.
He said the government could consider imposing a 10% surcharge for all food and beverages sold in licensed food establishments between midnight and 6am if it does not wish to impose such a ban.
He said the funds collected could be channelled and earmarked for the treatment of NCDs, including diabetes, cardiovascular disease, kidney disease, hypertension and cancer.
“The amount collected from such surcharges could exceed the RM5 billion in sin taxes currently collected from cigarettes and alcohol.
“It would also help deter late night eating while increasing the coffers needed to treat NCDs,” he said.
Azrul also urged the government to increase the existing excise duties on cigarettes and tobacco products and limit nicotine concentration in vape products to 2%.
He said raising the excise tax rate to RM0.77 per cigarette stick, or 61% excise tax of the retail price, would generate an additional tax revenue of RM771.8 million.
“It is sobering to note that Malaysia spends an estimated RM16 billion annually treating smoking-related illnesses such as cardiovascular disease and lung cancer.
“How will we continue to pay for the treatment of these chronic diseases which will last for years and cost billions? The money must come from somewhere,” he said.
Azrul said placing a hard ceiling of 2% for nicotine concentration in vape products would also be in line with other countries that regulate such products.