The medical cost continues to rise in Bangladesh. Various ways should be applied to cut healthcare costs.
The ways should also be applied for reducing the consumption of unwholesome food items as the non-communicable diseases are increasing in the country particularly for the consumption of tobacco products and unhealthy food.
Experts on public health, researchers on tobacco control, economists and high officials of the government bodies concerned believe that formulation of ‘Health Tax Policy’ is a best way in this regard. The aim of health tax policy is to reduce medical expenses and also to reduce the consumption of products deemed risk factors for non-communicable diseases by making the unwholesome food items less affordable through higher prices.
Speaking at a national seminar on Tuesday (December 19, 2023), the experts commented that formulation of the ‘Health Tax Policy’ has become necessary to protect public health and environment.
Speakers of the seminar said that the cost and pressure on the health sector in Bangladesh is increasing day by day at a significant rate. The number of patients is increasing in the country. Currently, 70 per cent of the total deaths in the country are due to non-communicable diseases.
In this situation, the speakers emphasized on reducing the number of people affected by the disease in order to reduce the medical cost and pressure on the health sector.
They argued that it is possible to reduce the medical expenses of the state and individuals if ‘Health Tax Policy’ is formulated. So, it is necessary to impose a high rate of tax on sugary food, drinks, beverages and tobacco products.
Bureau of Economic Research (BER) of Dhaka University and Bangladesh Network for Tobacco Tax Policy (BNTTP) jointly arranged the seminar titled ‘Taxation Policy to Protect Public Health’ at a posh hotel in Paltan area in Dhaka city.
Md Saidur Rahman, additional secretary (admin and WH wing) of Health Ministry; attended the event as the chief guest with Professor Dr. Nasiruddin Ahmed, a former chairman of National Board of Revenue; in the chair.
Advocate Syed Mahbubul Alam Tahin, senior technical advisor of Vital Strategies (Bangladesh); delivered the welcome speech, while Dr. Rumana Huque, a professor of Economics at Dhaka University and convener of the BNTTP; presented the keynote paper at the seminar.
Dr. Enamul Haque, director general of Health Economics Unit; Hossain Ali Khondokar, coordinator (additional secretary) of National Tobacco Control Cell (NTCC); Shafiqul Islam, Head of Programs of Vital Strategies; and Consultant Fahimul Islam were present as special guests in the seminar.
Representatives from NBR, Bangladesh Competition Commission, Bangladesh Trade and Tariff Commission, Health Economics Unit, National Institute of Local Government, and National Institute of Preventive and Social Medicine attended the seminar.
Speakers of the seminar said that the health system in Bangladesh is seeing a notable increase in both expenditure and pressure because the illness is affecting a growing number of people throughout the nation. In such a situation, a high tax rate must be applied on sugar-filled meals, beverages, and tobacco products. They suggested formation of a health tax policy.
Studies showed that 95.4 per cent of university students and 48 per cent of school children presently drink sugar-filled soft drinks. A person who regularly eats these beverages or sugary meals will put on five pounds yearly. However, there was a 26 per cent increase in their risk of types two diabetes. Sugar-filled diets therefore represent a significant risk to human health.
The speaker of the seminar said that tobacco-related diseases claim the lives of roughly 1,61,000 individuals in Bangladesh each year. The estimated cost of treating illnesses linked to tobacco use in 2018 was close to thirty thousand crores which has increased alarmingly.
As stated by the Prime Minister, developing a robust tobacco tax policy is the first step toward making the nation smoke-free by 2040. At the same time specific tax should be imposed on all types of tobacco products. This will increase the revenue of the government as well as reduce the expenditure related to tobacco.
They also said that in addition to sugary foods, drinks and tobacco products, environment tax should be imposed on any company and organisation that harms the environment. The funds must be used concurrently to avert environmental catastrophes like climate change.