Russia’s Federal Antimonopoly Service believes that a decision to introduce an excise duty on sugar-containing beverages will lead to higher food prices, a lower purchasing power and falling budget revenues, Anna Mirochinenko, director of the service’s chemical and agriculture industries control department, said.
“The Federal Antimonopoly Service believes that expanding the list of excisable goods may result in higher prices for food and put financial and economic indicators of the food industry under pressure because the purchasing power will fall further and, consequently, budget revenues at all levels will decrease”, Mirochinenko said.
The Finance Ministry suggested introducing an excise duty of 5 rubles per liter on sweetened beverages. The ministry believes that the measure will bring up to 80 billion rubles to the budget in 2017-2019. (Prime/Business World Magazine)