Taxing red and processed meat could boost health and help the environment in Mexico, study suggests

Mexico is a leader in food policy, being one of the first countries to pass a tax on sugary drinks and ‘junk’ food in 2014 and has recently banned the sale of ‘junk’ foods in public schools as of March 2025. In this light, Mexico has incorporated sustainability in the National Dietary Guidelines for the first time in 2023, however current consumption far exceeds these recommendations particularly for red and processed meat.

The country’s dietary guidelines recommend replacing these foods with healthier protein sources such as beans, lentils, eggs, poultry, and fish. 

Red and processed meat consumption has a large environmental impact due to its significant impact on greenhouse gas emissions, land use, deforestation and water consumption. Meanwhile, high levels of red and processed meat consumption – particularly processed meat – are associated with increased risk of conditions such as diabetes, cardiovascular disease, and various cancers which are the leading causes of morbidity and mortality in Mexico and globally. 

The study therefore explored whether increasing the price of red and processed meat through taxation could moderate meat consumption as well as what potential reductions in meat would mean for consumption of other foods. The study used data from a variety of sources including the Mexican Institute of Statistics and Geography, and the National Health and Nutrition Survey and Mexican Teacher’s Cohort to analyse responses to price changes and dietary consumption patterns.

They modelled several tax scenarios, ranging from a 30% tax on all red and processed meat to a 100% tax on processed meat alone due to its stronger association with negative health outcomes such as colorectal cancer

The study aimed to identify which approaches could realistically reduce meat consumption while promoting consumption of healthier foods and considering the potential impact on lower-income households. It found that when the price of red or processed meat increased, people tended to buy less and instead chose healthier alternatives such as fruits, vegetables, legumes, poultry, and seafood. These dietary shifts were particularly noticeable among lower-income groups, who are more sensitive to price changes but would still opt for nutritious substitutes.

Overall, the researchers found that taxing processed meat alone, especially at higher rates, may be a better strategy given that processed meat has a stronger association with negative health outcomes such as colorectal cancer while running less risk of reducing nutrient intake among segments of the population – such as lower income groups – among which red meat may still be encouraged. This scenario also delivers co-benefits to the environment representing a win-win situation. 

Overall, the study provides evidence that a targeted meat tax, particularly on processed meat, could be a tool for supporting healthier diets and environmental sustainability in Mexico. The findings offer valuable insights for policymakers seeking to align consumer behaviour with national dietary guidelines while also addressing public health and environmental goals.

Read the full study and findings via PLOS One here