Coca-Cola warns against sugar tax
The introduction of a sugar tax could see a 20 percent increase in the price of a can of Coca-Cola.
That's the word from the chairperson of the holding company for Coca-Cola Beverages Africa Limited, Phil Gutsche.
The Port Elizabeth businessman said, as he understands, the sugar tax will be applied in terms of weight.
He said those products selling at a lower price than Coca-Cola will see a higher percentage increase in the price of products.
Gutsche warned that the sugar tax could wipe out the profits of his and other companies, particularly smaller businesses.
"It's going to kill the margin of profit and it is going to affect the smaller people far more than it is going to affect us and it will affect us very severely. I can speak on behalf of our business. It will wipe out the profit of our South African company," he said.