Germany’s cabinet has approved plans for a levy on sugary drinks from July 2027, with higher rates for beverages containing at least 8g of sugar per 100ml and exemptions for juices, milk alternatives and sweetener-only drinks.
Germany’s cabinet has cleared the way for a sugar tax on sweetened drinks, backing a draft intended to push manufacturers towards lower-sugar recipes while helping to steady statutory health insurance contributions. The move follows agreement between the governing parties and marks the latest step in a long-running debate over how to curb sugar consumption through pricing. According to the Federal Finance Ministry, the measure is also meant to protect the health of children and young people.
The plan would take effect on 1 July 2027 and would apply to drinks containing at least 5 grams of sugar per 100 millilitres. A rate of 26 cents per litre would apply to beverages above that threshold, rising to 32 cents for drinks with 8 grams or more per 100 millilitres. Reuters-style reporting on the draft and ministry briefings indicates the tax would cover products including cola, lemonade, iced tea, energy drinks, fruit nectars and sweetened juice concentrates.
Several common products would be exempt. The draft excludes plain fruit and vegetable juices, unsweetened spritzers, milk and plant-based drinks such as oat and rice beverages, as well as non-alcoholic beer and wine alternatives. Drinks sweetened only with sweeteners rather than sugar would also fall outside the scheme, a detail that suggests the government is trying to target added sugar rather than all low-calorie beverages.
Industry groups have reacted sharply. The German Brewers’ Association said the plan would add another layer of bureaucracy and create a significant burden for both consumers and businesses. It also argued that the timetable leaves too little room for customs officials and companies to prepare. In a separate statement, the association called the proposal unfair and said it was out of step with the times, while warning that breweries that also make soft drinks could be hit particularly hard.
The government says the public-health case is strong. Officials point to research and sector warnings that excessive consumption of sugary drinks can contribute to obesity, diabetes and cardiovascular disease, with annual health-system costs linked to such drinks put at about 2.1 billion euros. The finance ministry expects the tax to raise 690 million euros in its first full year, with revenues projected to climb to 925 million euros in 2028, money that is meant to help keep health-insurance contributions stable.
Disclaimer: This content is for informational purposes only and is not intended to be a substitute for professional medical judgment, advice, diagnosis, or treatment.
