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According to the Mayo Clinic, excessive alcohol consumption can increase a person's risk of developing type 2 diabetes. When women consume more than one drink per day, or when men consume more than two drinks per day, the pancreas may become inflamed. When inflammation develops, the pancreas may not be able to secrete insulin. This eventually leads to diabetes.
Heavy drinking, however, is associated with obesity, which is a risk factor for this form of diabetes. In addition, alcohol can cause hypoglycemia, a drop in blood sugar, which is especially dangerous for people with diabetes who are taking insulin.