Sin Tax Reform 2012 has allowed alcoholic beverages and tobacco to become the highest consumer price index (CPI) products in Philippines, according to the report ‘February 2013 Regional Price Situationer’ by National Statistics Office (NSO), a Philippines-based statistical agency that gathers general-purpose statistics.
CPI is a measure of the average change in the retail prices of goods and services purchased by consumers.
Implemented in December 2012, the Sin Tax Reform law saw alcoholic beverages and tobacco reporting a CPI of 166.5, followed by food and non-alcoholic beverages with a CPI of 141.3, reported Philippine Information Agency.
The Sin Tax Reform law aims to increase the prices of alcoholic beverage and other harmful products.
With this initiative, the government plans to discourage people from consuming alcohol as it causes financial and health constraints, and increase the quality of public health in the country through its Universal Health Care program.
