Mexico's proposed tax on sugary drinks is close to becoming law after it won approval from the country's Senate, according to reports.

The reform, which will add a tax of MXN1 (US$0.08) per litre of sugar-sweetened beverages, now moves to Mexico's lower house for final approval, according to the BBC. The Bill, part of wider reforms, then has to be sanctioned by the president.

The plans, first unveiled in September, also include a tax on concentrates, powders, syrups, essences and flavour extracts based on the volume of sugar-flavoured beverage that these items would produce.

The legislation passed to the Senate two week ago for amendments, with the upper house raising a proposed “junk-food tax” from 5% to 8%. 

The measures are intended to help tackle Mexico's problems with obesity and diabetes. However, it has encountered opposition from the beverage industry, with the CFO of Mexican bottler Coca-Cola FEMSA saying last week the company would be forced to cut jobs if the tax is implemented.