.Back to listing

Mon, Nov 10

Approval of soda tax is scary precedent for food industry

Voters in Berkeley, Calif., made history Tuesday, approving the nation’s first soda tax.

Berkeley’s Measure D imposes a 1 cent per ounce tax on sugar-sweetened beverages (SSBs)and flavored drinks for residents in this city of 117,000. That will increase the price of a can of soda in Berkeley by 12 cents, and 68 cents for a 2-liter bottle. A referendum in San Francisco on a 2 cent per ounce tax fizzled. It needed a 2/3 majority vote and was considered the tougher win. The American Beverage Association, which represents U.S. drink makers like Coca-Cola, PepsiCo, and Dr. Pepper Snapple Group, spent upwards of $11 million in total ($9 million in San Francisco alone) to oppose the ballot measures.

Read more from Forbes.