Advertising junk food to children would be banned, sugar-sweetened drinks taxed, and unhealthy vending machines removed from all medical facilities under an all-out assault on poor nutrition being pushed by the Australian Medical Association.

In a new position statement, the powerful doctors' group says a suite of measures needs to be adopted by governments and businesses in 2018 to reduce the large-scale damage being wrought by over consumption of sugar.

"Improving the nutrition and eating habits of Australians must become a priority for all levels of government," AMA president Michael Gannon said.

Dr Gannon warned that eating habits are formed early on and said the continued, targeted marketing of unhealthy foods and drinks to children had alarmed doctors.