10 January 2025 12:02 am Views - 419
Our nation is already fatigued by significant economic challenges; low-cost alcohol will add more significant burden to the people
Medical experts and organisations including the Sri Lanka Medical Association (SLMA) have expressed concerns over proposals to introduce a ‘healthy and low-cost’ alcohol product. A letter written by Dr. Anula Wijesundere, Chairperson - Expert Committee on Tobacco, Alcohol and Illicit Drugs and SLMA President Dr. Ananda Wijewickrama was issued to the Secretaries of the Ministry of Health, Ministry of Finance and several other government entities. The letter underscores the fact that alcohol kills people who consume alcohol as well as those who do not. This letter further states “There are no healthy alcohol products. The trade of illegal alcohol cannot be countered through price cuts on legal alcohol. These are simple facts on alcohol. It is a matter of concern that the Excise Department, the government agency tasked with dealing with alcohol production and sale, is either unaware or have not considered these factors before publicly announcing the introduction of a ‘healthy and low-cost’ alcohol product.
‘‘We are also concerned that the Excise Department is unaware or not taken into consideration the fact that consumption of alcohol increases when the prices are reduced, especially among the young people and socio-economically disadvantaged groups, a decrease in the price of any product, leads to an increase in sales is a basic principle of economics.
‘‘Additionally, there is more concern of the fact that the Excise Department agrees with unsubstantiated claims of the alcohol industry that illegal alcohol use is widespread in the country. In fact, illegal alcohol use is minuscule in Sri Lanka compared to use of legal alcohol products. This has been shown by the Household Income and Expenditure Survey of the Department of Census and Statistics and other studies in Sri Lanka. If there is a technically sound, independent national study, with no direct or indirect involvement of the alcohol industry that confirms the stance of the alcohol industry and the Excise Department, we request you to make it available to the public.
‘‘We are all aware that Sri Lanka is currently grappling with significant economic challenges, including elevated poverty rates and high levels of food insecurity. It has been reported that a quarter of the population lives below the poverty line, a situation exacerbated by declining real wages. Introducing low-cost alcohol containers in this context will lead to increased consumption among vulnerable populations who are already struggling to meet their basic needs leading to many negative socio-economic consequences. This is particularly concerning given that many families are already facing financial difficulties, with households taking on debt just to meet food requirements.
‘‘As you are aware, alcohol consumption in Sri Lanka poses significant social and economic harms that exacerbate the country’s existing challenges. The health system is already under immense strain from non-communicable diseases linked to alcohol, such as liver cirrhosis and cancer.Economically, the burden is staggering, with alcohol-related costs estimated at USD 885.86 million in 2015. This financial strain diverts resources from essential services like healthcare and education, perpetuating a cycle of poverty. Furthermore, the Excise Department must be well-aware of the fact that alcohol use contributes significantly to accidents that kill thousands of Sri Lankans every year and also bring about family instability and crime, undermining community cohesion and economic productivity.
‘‘The people of Sri Lanka do not deserve this bureaucracy-induced, alcohol industry-friendly and short sighted policy that will increase the burden of disease, accidents, domestic violence, child abuse, suicide, crime and other social consequences.
‘‘Illegal alcohol should be combatted through strong, competent, incorruptible enforcement of the law. The role of the Department of Excise in relation to illegal alcohol is clearly stated in the excise Ordinance. We request that the department display its competence by strengthening the enforcement on such products, rather than tacitly acknowledging failure to do so by promoting price competition between legal and illegal alcohol which is always won by the illegal alcohol producers.
‘‘Therefore, we earnestly request you to reconsider this decision which will also be contrary to the policy of the current government to improve the quality of the lives of all Sri Lankans. Implementing such a policy would only benefit corporate interests of the alcohol trade, to the detriment of all of us, including the officials and the families of the Department of Excise.’’