Known as the 'sugar tax', the Health Promotion Levy, is seen as a positive step in helping address health issues in South Africa.
However, could this tax be negatively affecting the country's sugar industry?
Chairperson of Parliament's portfolio committee on trade and industry Joan Fubbs says the sugar tax is a matter of serious concern but is also a very complex one.
When the Health Promotion Tax was signed, finance took it to Nedlac and a study was undertaken and several mitigations were developed by Nedlac. And these have not been effectively implemented.— Joan Fubbs, Chairperson of parliament's portfolio committee - Trade and Industry
The sugar tax is an issue, trade remedies were also looked, and tariffs which were addressed last year.— Joan Fubbs, Chairperson of parliament's portfolio committee - Trade and Industry
She adds that a study was undertaken by the finance department to look at what the impact on jobs would be because of the tax.
Listen below to the full interview: