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Table 1 Ad valorem equivalents of the sweetened beverage tax increases by year and beverage category in Tonga

From: Sweetened beverage taxes and changes in beverage price, imports and manufacturing: interrupted time series analysis in a middle-income country

Year Tax changes Beverage category Import unit value (T$/L) Size of the previous tax (%/AVE) Size of the new tax (%/AVE) Size of the tax increase (AVE, % point change)
2013 15% tariff → T$0.50/L excise Sweetened beverages, including flavoured milk
HS 22.02
$1.18/L 15% tariff 42% 27%
2016 excise T$0.50/L → $1.00/L Sweetened beverages, including flavoured milk
HS 22.02
$1.58/L 32% AVE 63% 32%
2017a excise T$1.00/L → $1.50/L Sweetened beverages, including flavoured milk, sugar > 5 g to ≤20 g/100 ml
HS 22.02
$1.60/L 62% AVE 94% 31%
excise T$1.00/L → $4.00/Lb Sweetened beverageshigh-sugar > 20 g/100 ml
HS 22.02
$1.60/L 62% AVE 250% 188%
excise T$1.00/L → 15% tariff onlyb Sweetened beverageslow-sugar ≤ 5 g /100 ml
HS 20.09
$1.60/L 62% AVE 15% tariff -47% (decrease)
15% tariff → $1.50/L excise Juice, sugar > 5 g to ≤20 g/100 ml
HS 20.09
$2.26/L 15% tariff 66% 51%
15% tariff → $4.00/L exciseb Juicehigh-sugar > 20 g/100 ml
HS 20.09
$2.26/L 15% tariff 177% 162%
15% tariff remainedb Juicelow-sugar ≤ 5 g /100 ml
HS 20.09
$2.26/L 15% tariff 15% tariff 0%
15% tariff → $4/kg excise Powdered drink sachets
HS 1701.91.10
$15.52/kg 15% tariff 26% 11%
  1. Notes: The ad valorem equivalent (AVE) increase is simply the difference between the size of the old tax and the new tax, measured in percentage points. The AVE is calculated as the ratio between the excise tax and the import unit value from Tonga Customs (including cost, insurance and freight and averaged over 1 year spanning the tax change), both measured in T$/L (or T$/kg)
  2. aAfter 2017 only a proportion of the import categories for sweetened beverages and juices were subject to the excise for the first time, with low-sugar beverages exempt and very high sugar beverages subject to a higher excise rate. The legislated > 5 g and ≤ 20 g/100 ml tax changes were used for calculating the 2017 tax changes. This was because the vast majority of sweetened beverages were in the > 5 g to ≤20 g/100 ml of sugar sub category, for example 98% (59/60 items) of SSB container litter collected in a litter survey (October 2018) and 75% (6/8 items) of juice containers
  3. bThese sub categories accounted for a very small proportion of the import category volumes and were not specifically evaluated in this study