The Ministry of Finance is proposing to levy a special consumption tax of 10% on sweet drinks to combat child and adult obesity rates.

It is part of a ministry proposal to revise five tax laws, including a value-added tax (VAT), special consumption tax, corporate income tax, personal income tax and natural resources protection tax.

In August last year, the ministry issued a proposal to place excise tax on sweetened drinks. This time, the authority said the excise tax rate would be 10% besides 12% VAT.

On the other hand, the Ministry of Industry and Trade said in a statement that imposing a special consumption tax on soft drinks because they contain sugar is not a convincing enough reason. The Minister has also demanded scientific evidence of why instant tea and coffee should be subject to the tax.

It said the finance ministry needs to give a clearer explanation as to why soft drinks should be subject to higher taxes and why their consumption should be restricted.