UNITED NATIONS, Jul 9 2025 (IPS) - On July 2, the World Health Organization (WHO) launched the “3 by 35” initiative in an effort to boost public health and limit global consumption of harmful substances. By urging international governments to implement taxes on tobacco, sugary drinks, and alcohol, WHO seeks to reduce worldwide cases of noncommunicable disease amid heightened strains on global health systems and a shrinking supply of funding.
Through the initiative, WHO aims to introduce “health taxes” that would raise the prices of tobacco, sugary drinks, and alcohol by 50 percent by 2035. In addition to promoting healthier lifestyle choices, health and humanitarian experts are hopeful that these taxes could boost public revenue that could be used to revitalize critical public sectors, particularly in developing and lower-income countries that are experiencing diminishing funding for development aid.
WHO is optimistic that these taxes could raise $1 trillion dollars in revenue in the next ten years. “Health taxes are one of the most efficient tools we have,” said Dr Jeremy Farrar, Assistant Director-General, Health Promotion and Disease Prevention and Control, WHO. “They cut the consumption of harmful products and create revenue governments can reinvest in health care, education, and social protection. It’s time to act.”
This comes after the success of similar strategies that have been implemented across various regions. In 2017, Colombia implemented a tax on sugary beverages which resulted in a 22 percent decline in nationwide sugary beverage consumption and generated approximately USD 360 million annually, which was allocated for funding healthcare programs.
On the other hand, Vietnam’s recent push to increase taxes on alcohol and tobacco has yielded mixed results. In June 2025, the Vietnamese Parliament approved a tax increase on alcoholic beverages from 65 percent to 90 percent by 2031. Additionally, parliament is actively considering the implementation of a hybrid tax system on tobacco products, including an Ad Valorem tax of 75 percent as well as an additional fixed tax per pack.
The tax on alcohol in Vietnam poses numerous economic risks as the brewing industry could see substantial losses, leading to job cuts and a significant decline in revenue. Both of these taxes could also raise rates of illicit trade and the alternative consumption of unregulated goods.
Despite the recent initiative eliciting significant pushback from beverage corporations, WHO is adamant that it will yield long-term benefits for public health. WHO attributes this to the results of previous tobacco taxes implemented by 140 countries from 2012 to 2022. In 2020, WHO estimated that approximately 1 billion people around the world experienced health benefits from living in countries with high taxes on tobacco.
According to WHO, consumption of sugary drinks, tobacco, and alcohol accounts for nearly 75 percent of all deaths worldwide, the majority of which are from heart disease, cancer, and diabetes. Additionally, it is estimated that the taxes proposed in the initiative could prevent approximately 50 million premature deaths over the next 50 years.
Vietnam’s WHO Representative Dr. Angela Pratt states that taxes like these are instrumental in securing a healthy and prosperous future for younger generations, describing the current marketing tactics of tobacco companies as “manipulative”.
“We have seen this in Vietnam, especially for e-cigarettes and heated tobacco products, with flavours like watermelon, raspberry slush and lemon tart that mask the harshness of nicotine, and bright packaging that attracts youth,” Pratt said. “Tobacco tax is like a vaccine against the health harms of tobacco for young people – by stopping them from starting smoking, we are helping to protect them from the risks of tobacco use for life.”
Despite this, many countries around the world continue to provide tax exemptions and commercial incentives to tobacco and beverage industries. To combat this, WHO is bringing together policymakers, stakeholders, and its “powerful group of global partners” to collaborate on policies that could be used on an international level to reduce the consumption of harmful substances. Furthermore, they are working to raise awareness about the benefits of health taxes and empower healthcare systems worldwide.
IPS UN Bureau Report