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Beverage Industry Warns Proposed 200% Tax Hike Will Surge Drink Prices

  • Mervin Reyes
  • Business & Finance
  • October 7, 2026

The Beverage Industry Association of the Philippines (BIAP) warned that retail prices for commonly consumed drinks could rise significantly if the government’s proposed excise tax hike under the ProGRESS tax reform package takes effect.

BIAP President Juan Lorenzo Tañada reported that domestic beverage consumption contracted by 9.25 percent in 2025. He added that overall sales volume could fall further by 27.2 percent by 2027 if the proposed 200 percent increase in excise levies is enacted into law.

Addressing public health metrics, the industry association cited data from the Department of Science and Technology’s Food and Nutrition Research Institute (DOST-FNRI) showing that the national overweight and obesity prevalence reached 43.1 percent, contending that past reductions in sweetened drink consumption have not reversed rising obesity rates.

The industry group urged lawmakers to reconsider the proposed tax increases, highlighting risks to broad food and beverage prices, small enterprise sustainability, and the livelihoods of millions of workers across the beverage supply chain.

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