A new United Nations report says taxing sugary drinks can yield major health benefits such as reducing obesity and Type 2 diabetes.

The new report, "Fiscal policies for Diet and Prevention of Noncommunicable Diseases," argues that fiscal policies leading to at least a 20 percent increase in the retail price of sugary drinks will result in proportional reductions in consumption of such products.  It was launched on World Obesity Day on Oct. 11.

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"If governments tax products like sugary drinks, they can reduce suffering and save lives" said Dr. Douglas Bettcher, Director of World Health Organization's (WHO) Department for the Prevention of Noncommunicable Diseases (NCDs.

"They can also cut healthcare costs and increase revenues to invest in health services."

Unhealthy diet accounts for more than 11 million deaths annually, with four million deaths due to obesity, said WHO, which published the new report.

WHO noted this reduced consumption will mean lower intake of "free sugars" and calories overall and improved nutrition. As a result, fewer people will suffer from overweight, obesity, diabetes and tooth decay.

Free sugars refer to monosaccharides (glucose or fructose) and disaccharides (sucrose or table sugar) added to food and drinks by the manufacturer, cook or consumer, along with sugars naturally present in honey, syrups and fruit juices and concentrates.

"Consumption of free sugars, including products like sugary drinks, is a major factor in the global increase of people suffering from obesity and diabetes," said Dr. Bettcher.

Between 1980 and 2014, obesity worldwide more than doubled with greater than half a billion adults -- 11 per cent of men and 15 per cent of women -- being classified as obese. In 2014, more than one in three, or 39 percent of adults worldwide aged 18 and older, were overweight.

Dr. Francesco Branca, Director of WHO's Department of Nutrition for Health and Development, described obesity, overweight and diabetes as major global heath challenges.

"Largely due to unhealthy diet, more than 600 million people overweight, including some 42 million children under the age of five," he said.

Almost half of these children lived in Asia and a quarter in Africa.

WHO revealed the number of people living with diabetes has also been on the rise, from 108 million in 1980 to 422 million in 2014. The disease was directly responsible for 1.5 million deaths in 2012 alone.

"We are recommending that (sugar intake) is reduced to 10 per cent of energy or even five percent," he said.

He pointed out a key factor in keeping those numbers dangerously high is the ease of availability of sugary drinks in some parts of the world.

While the United States has been the leader in consumption of sugar sweetened drinks, it has been overtaken by Latin America, where Chile and Mexico are now the top consumers.

Consumption is also rising in China and sub-Saharan Africa, where the rising sugar intake will have a "devastating" effect on obesity and overweight.

TagsUnited Nations, obesity, Type 2 diabetes, overweight, Fiscal policies for Diet and Prevention of Noncommunicable Diseases, World Health Organization, Free sugars, taxes, Sugary drinks, World Obesity Day