THE Philippine Chamber of Food Manufacturers Inc. (PCFMI) has urged Congress to retain the existing P6 to P12 per liter excise tax rates on sugar-sweetened beverages (SSBs) under the proposed ProGRESS reform package.
In a statement, PCFMI opposed the proposed increase, saying that imposing an additional tax would be economically imprudent amid current economic conditions.
It cited the 6.4-percent inflation rate, 2.3-percent gross domestic product (GDP) growth, and consumer confidence at negative 42, which it described as “the lowest since Covid-19 lockdowns.”
PCFMI also cited the 2018 experience, saying actual collections from the SSB excise tax fell short by nearly P12 billion.
It said the government’s projected 27.2-percent decline in SSB consumption under a higher tax could negatively affect revenue collections.
PCFMI also cited data from the 2023 National Nutrition Survey of the Department of Science and Technology-Food and Nutrition Research Institute, saying SSBs accounted for less than 5 percent of total Filipino food intake and less than 2.7 percent of energy consumption.
The chamber said SSB volumes declined by 9.25 percent in 2025 from the previous year under the existing tax, while the adult obesity rate reached 43.1 percent.
“SSBs are a small part of the national diet,” PCFMI said.
PCFMI urged lawmakers to reject the proposed increase and instead pursue what it described as “evidence-based solutions” that would not negatively affect consumers during an economic crisis.
The chamber also called for greater transparency and accountability in public spending, citing reports alleging that trillions of pesos had been lost to corruption over the past decade.
PCFMI said it was “reasonable to conclude” that sufficient public funds were available to support the P326 billion required to expand the income tax exemption proposed under the ProGRESS package.
The chamber urged government to prioritize efforts to address what it described as a revenue gap through transparency and accountability before imposing additional taxes on Filipinos.
