BAT Subsidiary Warns of Surge in Illegal Nicotine Pouches in Canada, Calls for Unified Regulatory Framework

Editor’s Note: Imperial Tobacco Canada is not affiliated with Imperial Brands, one of the global “Big Four” tobacco companies. Imperial Tobacco Canada is a wholly owned subsidiary of British American Tobacco (BAT), and its tobacco sales, brand operations, and distribution activities in Canada are conducted as part of the BAT Group.

Key Points

• A CBC investigation found that multiple retail outlets and online platforms in Canada are selling unapproved and unregulated nicotine pouches.
• Imperial argues that current regulations restricting access to approved, regulated products have unintentionally driven consumers toward the illicit market.
• The company is urging the federal government to lift channel restrictions on legal nicotine pouches and strengthen enforcement against illegal sales.
• Imperial says enforcement alone is insufficient and that adults must have accessible, regulated alternatives to curb demand for illicit products.

2Firsts, December 5, 2025 — Imperial Tobacco Canada, a subsidiary of British American Tobacco, said in a statement that a recent CBC News investigation uncovered widespread sales of illegal nicotine pouches across Canadian retail stores and online platforms. The company noted that the proliferation of unregulated products is linked to government rules limiting approved nicotine pouches, such as ZONNIC, to behind-the-counter sales in pharmacies. 

According to the statement, illegal nicotine pouches often fail to meet quality and packaging standards and are sold without age verification through convenience stores, gas stations, and online channels. Imperial Tobacco Canada warned that such unregulated products may pose significant risks to youth and undermine the existing public-health regulatory system.

To address the issue, Imperial Tobacco Canada recommends that the government:

• Allow approved nicotine pouches to be sold in convenience stores, gas stations, and other adult-oriented retail channels to restore access to regulated products;
• Strengthen enforcement, including retail inspections, dedicated resources for enforcement agencies, and the use of digital tools to enhance tracking and compliance;
• Work with provinces and stakeholders to develop a unified and coordinated regulatory framework.

Imperial Tobacco Canada stated that it is willing to collaborate with regulators to close the pathways enabling the illicit market, while ensuring that adult consumers can continue to access regulated, quality-compliant nicotine alternatives through legal channels.

Cover image: newswire