Soda Cans (photo by Jane M. Sawyer, courtesy of morgueFile.com)

In a move that began as a response to rising rates of obesity, the French National Assembly passed a tax on all soft drinks with added sugar or artificial sweeteners to raise $380 million a year.

Beverages such as natural fruit juices and those containing alcohol will be exempt from the tax. The tax will be paid by manufacturers, processors and French importers. Most of the money, about $215 million, will be used to lower social taxes on farm labor. The measure will now be considered by the French Senate.

Much of the tax revenue to be collected would come from American soft drink companies. Coca Cola is expected to contribute $136 million annually. The company lobbied unsuccessfully to keep artificially sweetened drinks from being included. Coca Cola France had threatened to cancel a $23 million investment in a bottling operation in Marseille, but later recanted.

To learn more, go to: USDA: France to tax soft drinks - U.S. Companies to pay the most

To view previous posts on the topic go to:

1. Diet Soda Linked to Obesity & Heart Disease

2. Colas Can Cause Kidney Problems

3. Diet Soft Drinks May Increase Risk of Heart Disease

4. Safety of Soft Drinks Under Scrutiny

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