Recent statistics paint a stark picture of alcohol-related challenges facing Sri Lanka, with an alarming 83 per cent of deaths attributed to non-communicable diseases (NCDs). Alcohol consumption emerges as a prominent risk factor for NCDs, exacerbating health costs and contributing to issues such as road accidents and domestic violence, said the Institute of Policy Studies [...]

Business Times

IPS advocates stricter regulations for alcohol control

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Recent statistics paint a stark picture of alcohol-related challenges facing Sri Lanka, with an alarming 83 per cent of deaths attributed to non-communicable diseases (NCDs). Alcohol consumption emerges as a prominent risk factor for NCDs, exacerbating health costs and contributing to issues such as road accidents and domestic violence, said the Institute of Policy Studies (IPS). Despite its perceived economic benefits, the economic toll of alcohol-related conditions surpasses any revenue generated. The World Health Organization (WHO) estimates that in 2015 alone, the economic cost of alcohol-related conditions amounted to a staggering US$ 885.86 million, equivalent to 1.07 per cent of Sri Lanka’s GDP for that year.

In view of these pressing concerns, IPS recently hosted a “Policy Dialogue on Alcohol Control for a Healthier Sri Lanka”, at the Saman Kelegama Memorial Auditorium, IPS. The event aimed to advocate for evidence-based alcohol control policies, drawing from findings of the IPS’ “RESET Alcohol Initiative” programme, funded by RESET Alcohol – A Global Alcohol Policy Initiative which delves into critical aspects of alcohol policy, including pricing, taxation, and the broader political economy dynamics at play, the institute said in a media release.

Dr. Nisha Arunatilake, Director of Research at IPS, and Pubudu Sumansekara, Consultant for the Sri Lanka RESET Alcohol Initiative, explained the RESET Alcohol Initiative, which aims to change the disconnect between the public perception of alcohol as a social necessity, and its grave health consequences.

In his keynote speech, Dr. Alan Ludovyke, Chairman of the National Alcohol and Tobacco Authority highlighted the health costs of alcohol consumption and the disproportionate burden of alcohol-related violence and health issues on vulnerable communities. He stressed the importance of collaborative efforts among the Government, think tanks, media, and civil society to address these challenges.

The dialogue featured three insightful panel discussions moderated by Dr. Arunatilake, Dr. Sajeeva Ranaweera from the Sri Lanka Medical Association (SLMA) – Expert Committee on Tobacco and Illicit Drugs and Dr. Ludovyke, focusing on key aspects of alcohol policy, including price sensitivity of alcohol, revenue implications, and power dynamics of alcohol control. IPS Research Economist Ms. Priyanka Jayawardena presented compelling evidence of the economic burden imposed by NCDs, where households spend 10 per cent of their monthly budget on alcohol. She presented evidence that supports alcohol taxation as a cost-effective measure to reduce NCD risk factors, particularly among low-income groups. The progressive nature of alcohol taxation, where higher-income groups bear more tax burden, was underscored as a means to positively influence household economic and health benefits.

IPS Research Fellow Dr. Lakmini Fernando highlighted the potential of increased excise duty rates to reduce alcohol consumption while generating government revenue, contributing to economic recovery.

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