Graham Perrett (Moreton, Australian Labor Party) Share this | Hansard source

I've been involved with the Parliamentary Friends for the Prevention of Diabetes for my entire time in politics, and I was elected in 2007. I'm currently co-chair with my good friend the member for Grey. We wanted to name that group 'the enemies of diabetes', but we weren't allowed to. Over the past year, I've had an additional focus, as I was seconded for membership of the health committee for the parliamentary inquiry into diabetes. This year-long inquiry had nearly 500 submissions, and the committee met with stakeholders all around the country. I want to do a particular call-out to Dr Mike, who chaired that committee, and acknowledge all of the other committee members who were so warm and welcoming. To the member for Macarthur, Dr Mike Freelander: this report is a testament to your incredible leadership, and I really want that to be on the record. It is a real recipe for how this nation can go forward. I want to thank you. Thank you for lending me this report—my prop. I'll give it back to Dr Mike, who did an incredible job.

That report, The state of diabetes mellitus in Australia in 2024, only released last month, comes at a time when diabetes is the fastest growing chronic or noncommunicable disease in Australia. It's a tsunami. The report has 23 recommendations and highlights the health and economic costs of diabetes. It also provides insight into the proposed next steps in handling what Diabetes Australia calls 'the epidemic of the 21st century and the biggest challenge confronting Australia's health system', which is an incredible statement. We know that diabetes affects people in all communities across the country, some disproportionately, and that access to services is not equitable. I developed this interest in diabetes because my mum was a type 2 diabetic. The report points out that to combat diabetes we need to focus not only on prevention but on education, on agriculture and on manufacturing, amongst many other things.

Today I'd like to focus on the report's fourth recommendation, which states:

The Committee recommends that the Australian Government implements a levy on sugar-sweetened beverages, such that the price is modelled on international best practice and the anticipated improvement of health outcomes. The levy should be graduated according to the sugar content.

In December 2022, the World Health Organization released its first global tax manual for sugar sweetened beverages, also known as SSBs. As of February 2023, 106 countries and territories had implemented a sugar levy. These included the United Kingdom, France, South Africa and many of our Pacific neighbours. The application of a levy on sugar sweetened beverages is proven to reduce demand and have a positive effect on health outcomes. I was shocked when I learned that Australians drink more than 2.4 billion litres of sugary drinks each year. That's an average of 92 litres per person. I think my sons are doing their bit to keep those averages up. These are drinks like flavoured milk, soft drinks, energy drinks, fruit juices and vitamin waters. They are flavoured with sweeteners such as sucrose, high-fructose corn syrup or fruit juice concentrate. The Australian Medical Association describes them as containing 'a high number of liquid calories but providing almost no nutritional benefit'. People who regularly consume these kinds of drinks have an increased risk of developing debilitating and even terminal health issues. These can range from dental cavities to weight gain and obesity, heart disease, stroke and type 2 diabetes.

There are approximately 1.5 million Australians living with all types of known, diagnosed diabetes. Eighty-seven per cent of these people have type 2 diabetes. That's a staggering 1.3 million Australians. Diabetes Australia believes a further half a million people are living with undiagnosed type 2 diabetes. The inquiry showed that treating type 2 diabetes is placing a significant burden on Australia's health resources. It affects numerous branches of medicine, such as obstetrics, paediatrics—which I think Dr Mike might know a little bit about—neurology, cardiology vascular surgery, ophthalmology and geriatrics. Type 2 diabetes has strong genetic and family related risk factors, but it is also often caused by modifiable lifestyle choices. People can slow or stop the progression of the condition by changing their diet and increasing the amount of exercise that they do. Being overweight can contribute to the risk of developing type 2 diabetes, and the introduction of a levy on SSBs would help work to diminish this risk.

Last year the Australian Medical Association had this to say about a sugar levy:

Our analysis projects this tax would reduce consumption by 31 per cent by 2025-26, and is estimated to result in 16,000 fewer cases of type 2 diabetes, 4,400 fewer cases of heart disease, and 1,100 fewer cases of stroke. It is a simple but effective way to improve the lives of Australians.

The AMA also told the inquiry:

To effect a change in SSB consumption, both a clear message for consumers that the product is unhealthy, and a tangible deterrent are warranted. A tax can deliver on both counts by creating a price signal that the product is unhealthy, and reducing consumption through higher prices (and therefore lower affordability). Furthermore, an appropriately designed tax can also incentivise manufacturers of SSBs to reformulate their products to contain less free sugar.

That is actually what has happened throughout the world. Manufacturers are still making drinks, still putting them into supermarkets, still selling them to customers, but there is just less sugar consumed.

Of course, simply implementing a levy on SSBs will not solve the type 2 diabetes problem. I'm a big believer in community infrastructure that gets communities moving, because of all the benefits that flow from that: communities are safer, there is less crime, there are better connections and there is less chance of any fear-and-division campaign taking hold in a community where people are out there exercising together, sharing meals, making friendships, watching sports together. There are numerous other factors—such as an active lifestyle and education on and access to healthier food choices—at play. However, reducing sugar intake through a levy on sugar-sweetened beverages is an important piece of the puzzle and one that I believe should be implemented. I say that as someone coming from the Sunshine State, with all of my in-laws living in Far North Queensland. Dr Mike Freelander, the member for Macarthur, again I thank you for your leadership on the health committee and for letting me work with the committee on such an important inquiry. I commend the document for everyone to read.

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