Denmark Introduces World's First Fat Tax

First Posted: 10/03/2011 9:12 am Updated: 12/03/2011 4:12 am

COPENHAGEN (AP) -- Denmark has imposed a “fat tax” on foods such as butter and oil as a way to curb unhealthy eating habits.

The Nordic country introduced the tax Saturday, of 16 kroner ($3.00) per kilogram (2.2 pounds) of saturated fat in a product.

Ole Linnet Juul, food director at Denmark’s Confederation of Industries, says the tax will increase the price of a burger by around $0.15 and raise the price of a small package of butter by around $0.40.

The tax was approved by large majority in a parliament in March as a move to help increase the average life expectancy of Danes.

Denmark, like some other European countries, already has higher fees on sugar, chocolates and soft drinks, but Linnet Juul says he believes the Nordic country is the first in the world to tax fatty foods.

In September, Hungary introduced a new tax popularly known as the “Hamburger Law,” but that only involves higher taxes on soft drinks, pastries, salty snacks and food flavourings.

The outgoing conservative Danish government planned the fat tax as part of a goal to increase the average life expectancy of Danes, currently below the OECD average at 79 years, by three years over the next 10 years.

“Higher fees on sugar, fat and tobacco is an important step on the way toward a higher average life expectancy in Denmark,” health minister Jakob Axel Nielsen said when he introduced the idea in 2009, because “saturated fats can cause cardiovascular disease and cancer.”

Linnet Juul says the tax mechanism is very complex, involving tax rates on the percentage of fat used in making a product rather than the percentage that is in the end-product.

As such, the arrangements of how companies should handle the tax payments could cost Danish businesses about $28 million in the first year, he said.

Linnet Juul’s organization is pressuring lawmakers to simplify the tax but said he is unsure what will happen when the new, centre-left government takes office.

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10:32 AM on 10/04/2011
This is a BAD idea. Fat doesn't make you fat- human biochemistry isn't that simple.

Some people actualy do benefit from high fiber, low fat diets. But not all of us. Many people, myself included, lose weight when we eat more fat, because then we feel satisfied and consume fewer carbs. Carbs are the key to weight control for a significant portion of the population.

I suspect that this "fat tax" will increase obesity, not reduce it. Many people will be eating more grains and sugars in place of healthy fats, and that will make them gain weight.
09:12 AM on 10/04/2011
I strongly disagree. There are fats and fats, as always... Olive oil is highly beneficial to all, as well as ghee. There shouldn't be a "one size fit all"-approach when it comes food - one man's poison is another man's superfood ;D Please visit www.dadamo.com
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Gbourcier
07:04 AM on 10/04/2011
Cash grab and nothing more. I'm so tired of governments telling us that they want to help us by taking our money away as a form of punishment.
02:58 AM on 10/04/2011
Right beside this story there's a picture of Toronto's mayor. I think we'd get a lot of tax revenue from him.
08:15 PM on 10/03/2011
Does it make any sense to have a sugar tax when the government here subsidizes high fructose corn syrup? I don't think so. We already have, in NY, a law against butter in baked goods -- "Trans fats" -- even tho butter is harmless in small amounts. Hey, here's an idea: if Americans could afford to have self-actualized lives, could afford to do something besides stay home, watch the tube and eat Doritos washed down with soda, maybe... we... wouldn't... be... obese!!!! Hey, GOP, pay attention.
08:14 PM on 10/03/2011
Given that:
1) being 5 lbs. underweight is far more strongly correlated with significantly higher morbidity and mortality rates than being anywhere up to BMI 40 (and that's even when the studies removed all smoking from the final analyses--as a many underweight people also smoke to maintain their low weights);
2) that losing weight when obese actually increases the risk of congestive heart failure compared to when the patient does not lose weight at all;
3) there is only one more post-menopausal breast cancer death per 10,000 people that may be attributable to being obese (compared to non-obese post-menopausal controls who died of breast cancer);
and 4) that being overweight as you age is protective both against illness and premature death, shouldn't we actually consider a diet tax instead?

Especially as it is the diet industry that is responsible for bombarding us with enough junk science (having funded and ghost written much of the research that supposedly proves causation) that we are all wrongly convinced that obesity has anything to do with increased illness and death.

And because it is pertinent given how acceptable fat-ism is in our society, I'm BMI 21 and size 4.
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All Seeing Guy
Center of the storm
07:37 PM on 10/03/2011
...a 'hip surgery' tax for the elderly, a 'pregnancy/std tax' on condoms...
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All Seeing Guy
Center of the storm
07:34 PM on 10/03/2011
Sure, as long as we have a "liver" tax on liquor, an "orthopedic surgery" tax on skis, snowboards, and ATV's, a "search and rescue" tax for running around in the country and mountains, a "whiplash" tax on driving...
06:12 PM on 10/03/2011
There are sometimes medical problems involved in being over weight or thin. Not always what is eaten. Putting a tax on certain food would not help low income families.They are taxed enough.
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LittleSanityLeft
05:24 PM on 10/03/2011
How about encouraging fatties to exercise. Charging more for butter and chocolate to the tune of a couple of dimes more is just a very transparent way to raise cash for government coffers, it's certainly not going to curb eating habits by much.
06:05 PM on 10/03/2011
You seem to forget not all people who are over weight are that way from over eating. Sometimes there is a medical problem. Same with thin people sometimes it is a medical problem. Taxing is not the solution.
08:17 PM on 10/03/2011
Oh please. 99% eat badly, and 98% want to believe it's their genes. Nutritional education and taking charge of your eating habits are the solutions.
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04:41 PM on 10/03/2011
airlines should charge by weight.

and if you want to loose weight, cut out sugar. it's hard, but it's sugar that's the culprit.
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SimonLeigh
04:14 PM on 10/03/2011
Canada should start following successful countries like Denmark and Sweden--and perhaps China--rather than ghastly failures like the United States.
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montezaro
03:56 PM on 10/03/2011
It IS a government business what we eat: by eating unhealthy food our health suffers, therefore more money is needed for health care. But, Denmark is taxing fats, which we all need instead of refined sugars and other processed food that are really bad for us.
Denmark and Canada are two different countries, but a human body is the same in anywhere in the world. (Of course, different climate demands slightly different diet, but not much different.)
evecaren
Every cloud has a silver lining
03:51 PM on 10/03/2011
The headline reads Denmark Introduces World's First Fat Tax. Personally, I think the
idea of a "fat tax" is ridiculous. According to the article, Denmark already has higher
fees on sugar, chocolate and soft drinks. Now it's imposed a "fat tax" on foods such
as butter and oil as a way to uncurb unhealthy eating habits. "Its the first in the world
to tax fatty food. Their goal apparently is to increase life expectancy. But by increasing
the price of butter, many people will not be able to afford butter because it's too
expensive. That's just one example. A "fat tax" is ridiculous and unfair. If the
government wants people to eat healthier, than grocery stores need to lower the price
of healthier choices of food. It's often quite expensive to eat healthfully. Would a
"fat tax" work in Canada ? Probably not. Food is expensive enough already,
including the price of butter. What's next ? Governments seem to have no problem
coming up with more things to tax people for.
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LittleSanityLeft
05:26 PM on 10/03/2011
It's a money grab poorly disguised as a health initiative.
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03:43 PM on 10/03/2011
Any country with a social health care system should DEFINITELY impose taxes on any substance that eventually causes a financial burden on society. Driver's are taxed on gas to pay for roads, so it makes perfect sense to tax fat, soft drinks, sugars, cigarettes, alcohol, and other substances that are detrimental to health. Moreover, these taxes should not only be used to support the health care system but also to subsidize healthy foods like vegetables. Junk food is WAY cheaper than fruits and vegetables. It should be the other way around.
03:56 PM on 10/03/2011
I agree 100% with your opinion: "Junk food is WAY cheaper than fruits and vegetables." and "It should be the other way around."