Despite advice from Australia's peak medical body the Federal Government and the Opposition have both said they won't support a tax on sugary drinks.
The Australian Medical Association has made a call for the Coalition to make improved nutrition and eating habits a priority.
The AMA has recommended education and food literacy programs and restriction on food and beverage advertising for children, but say top priority is putting a tax on sugar-sweetened drinks.
But the Turnbull Government insists they're taking the required action to tackle obesity without adding the tax.
"We do not support a new tax on sugar to address this issue," said a spokesman for Health Minister Greg Hunt.
The government has backed labelling laws for nutritional information and ingredients, as well as voluntary measures to restrict food marketing to children.
Meantime Deputy Opposition Leader Tanya Plibersek agrees more needs to be done to tackle the obesity epidemic, but said Labor also won't support the tax.
"We don't have a plan for sugar tax at the moment," she said.
She did suggest prevention strategies be implemented to make sure Australians have healthy lifestyles and make healthy choices.
"We don't want the next generation of Australians to be a generation where life expectancy goes backwards because of avoidable conditions that come with obesity," said Mr Plibersek.
In addition to the tax on sugary beverages the AMA says junk food advertising to children needs to stop immediately.
"Advertising and marketing unhealthy food and drink to children should be prohibited altogether, and the loophole that allows children to be exposed to junk food and alcohol advertising during coverage of sporting events must be closed," AMA president Dr Michael Gannon said.
The AMA says their biggest concern is the impact of this advertising on children and the unhealthy habits they develop in early years.
They say junk food advertising in all mediums undermines the healthy food education in place, and normalises eating junk food.
It also called for a ban on vending machines at health care facilities such as hospitals, urging they be replaced with machines offering only healthy options.
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