Economic Survey Calls for Strict Measures Against Ultra-Processed Foods
The Economic Survey has proposed a series of stringent measures to tackle the growing consumption of ultra-processed foods (UPF) in India. These recommendations include implementing warning labels, imposing marketing restrictions, and applying higher taxes, including the highest GST slab with surcharges. Notably, the survey advises against adopting a health-star rating system, which has been previously promoted by the Food Safety and Standards Authority of India (FSSAI).
Rising Health Concerns and Sales Surge
This marks the second consecutive year that the survey has highlighted the adverse health impacts of ultra-processed foods. Sales of these products have skyrocketed by 40 times, from $9 billion in 2006 to nearly $38 billion in 2019. During this period, obesity rates have nearly doubled among both men and women, underscoring the urgent need for intervention.
What Are Ultra-Processed Foods?
Ultra-processed foods are industrial formulations that contain ingredients not typically found in home kitchens, such as chemical preservatives, emulsifiers, sweeteners, and artificial colorings. They often lack whole foods and are engineered for convenience and high palatability, contributing to poor dietary habits.
Debate Over Labelling Norms
In an effort to promote healthier eating, FSSAI introduced a draft notification in 2022 for a front-of-pack star-rating system, known as the Indian Nutrition Rating (INR). This system would assign ratings from zero to five stars based on nutritional value. However, experts have criticized this approach, arguing that even a one-star rating might be perceived as healthy, potentially misleading consumers. Instead, they advocate for warning labels or color-coded systems that clearly indicate high levels of fats, salts, and sugars.
The survey supports this view, citing studies that show warning labels are more effective than ranking-style schemes like Health Star Ratings in discouraging UPF consumption. Dr. Arun Gupta, convenor of Nutrition Advocacy in Public Interest, emphasized that warning labels are backed by scientific evidence and reduce the risk of industry manipulation, which is crucial for public health.
Marketing Restrictions and Taxation Strategies
Beyond labelling, the survey suggests exploring a ban on advertising UPF products between 6 am and 11 pm, drawing inspiration from countries like Norway and the UK. Dr. Gupta noted that such restrictions are essential to complement warning labels, as advertising can heavily influence consumer choices and undermine health messages.
On the taxation front, the survey recommends imposing the highest GST slab on ultra-processed foods, with additional surcharges for products exceeding thresholds for sugar, salt, and fat. This fiscal measure aims to make unhealthy options less affordable and encourage healthier alternatives.
Overall, the Economic Survey's proposals represent a comprehensive approach to addressing the public health crisis linked to ultra-processed foods, prioritizing practical and evidence-based solutions over less effective rating systems.