Table 4.

Summary of recommendations on SSB tax design

Objective of the tax	To reduce consumption of SSBs in the Solomon Islands, particularly in the population groups with the highest consumption (e.g. children and adolescents, urban dwellers), and prevent growth in consumption among the rural population
Definition and identification of beverages to be targeted	New HS codes are spliced (disaggregated) by a group of health and customs experts, so that all beverages with ‘added sugars’ are included. Added sugars can be identified through the ingredients list and declaration on manifest
Tax collection point	Excise is equally applied to imported and locally produced drinks by import excise and manufacturers excise, aligning to other ‘health taxes’—tobacco and alcohol excise
Rate of tax	20–40% Consider applying 20% to liquid beverages and 40% on powder beverages
Tax mechanism	A volumetric tax, applied as a tax per Litre (for liquids) or per gram (for powders) 20% tax is equal to: SBD 4/l or SBD 0.03/g 40% tax is equal to: SBD 8/l or SBD 0.06/g
Monitoring	Establish a SSB tax monitoring and evaluation plan to collect baseline and ongoing beverage pricing and consumption information, to convey trends in pricing, purchasing and tax revenue
Additional policy changes	Removal of import exemptions on SSBs to MSG countries, and the addition of SSBs to the exemptions list for PICTA Implementation of mandatory ingredients labelling, to be visible to customs officers on import

SSBs include all liquid and powdered beverages (carbonated, milk-based, flavoured powders, cordials and juice drinks) that have been sweetened with any form of added sugar. MSG: Melanesian Spearhead Group; PICTA: Pacific Island Countries Trade Agreement.