The new mechanism supports demand and refreshes sales

Consumers welcomed the expectations of decreased prices of beverages and juices, in response to the decision to link the selective tax in the proportion of sugar in those drinks, starting from the beginning of next year, and described it as a step that stimulates the purchase of health and low sugar products.

In turn, experts and officials in the retail sector told «Emirates Today» that the amendment of the mechanism of applying the selective tax to the beverages will support the demand for these products, especially low -sugar health juices, and expected the recovery and growth of health products sales, and the supplier companies to provide products at reasonable prices.

In detail, consumer Mustafa Abdel Hamid said, “The application of the new selective tax to be linked to the amount of sugar in the beverages that stimulate the companies manufactured to expand health products, and reduce the amount of sugar as much as possible, which will reflect positively on the consumed families.”

For his part, consumer Hossam Youssef said: “The new mechanism for applying the selective tax on the beverages of positive policies that is important to expand its experience on the food and beverage sector in the country, in order to support the increase in the orientation of companies in the production of goods with health ingredients at greater rates, according to tax incentives, and this is welcome by consumers.”

In the same context, consumer Khaled Imad said, “Linking the tax on drinks to sugar rates is one of the policies that will stimulate the manufacturers to increase health products at greater rates in the markets, and will in turn will be reflected, positively on consumers by demanding that health products be purchased at lower prices compared to the current time.”

In turn, the director of the Marketing and Public Relations Department in the “Sharjah Cooperative”, Faisal Khaled Al -Naboodah, said that “amending the mechanism of applying the selective tax to the beverages will revive the demand at greater rates on sales of health products, especially juices and drinks covered by the tax.”

He added, “This mechanism will stimulate suppliers to expand the supply of health products at reasonable prices and increase competitiveness at greater rates, which in turn will be reflected in increasing demand by consumers.”

For his part, Nanda Kumar, Nanda Kumar, considered that “the selective tax decision associated with sugar proportions in juices and drinks will have positive repercussions in the retail markets market These products are at greater rates. ”

In the same context, the sales manager in one of the retailers chains, Dilip Fishal, said that “the new mechanism reinforces the rates of sugar in drinks and juices, while this is expected to contribute significantly to providing health products at low prices, and thus the high demand at greater rates.”

He continued: «The application of fixed tax during previous periods, made many producing companies try to reconcile their conditions by offering sugar -free products, and (sweetening) of natural alternative materials, which made them continue to compete with the markets,” pointing to other sugar products that witnessed rates of decline in demand, in light of the intensification of market competitiveness.

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The retail expert, Ibrahim Al -Bahr, considered that “the new selective tax in the beverage sector will radically shift in the retail markets of these products, with the expectation of the decline in the prices of some products, and thus the increase in their sales at greater rates, in addition to the high manifestations of competitiveness expected in the markets at greater rates that are positive results on consumers.”

He added to «Emirates Today»: “The tax will enhance the provision of greater health products and alternatives to consumers, and it will be an incentive for many companies to offer products with low -sugar specifications, to take advantage of the maids covered by the tax.”