Imperial Tobacco Canada: Ban on ZONNIC Nicotine Pouches in Convenience Stores Leads to Cigarette Sales Rebound, Calls for Restoring Multi-Channel Supply

Aug.20.2025
Imperial Tobacco Canada: Ban on ZONNIC Nicotine Pouches in Convenience Stores Leads to Cigarette Sales Rebound, Calls for Restoring Multi-Channel Supply
Imperial Tobacco Canada stated that one year ago, the government removed the nicotine pouch ZONNIC from convenience stores, restricting sales to behind-the-counter in pharmacies. This move caused ZONNIC sales to plummet, cigarette sales to rebound by 2.8%, and was accompanied by a surge of high-dose illegal nicotine pouches and black-market cigarettes (exceeding 500 million packs annually). The company is calling for an evidence-based harm reduction approach to restore multi-channel supply throu

Key Points:

  • Opposite policy effect: After ZONNIC was banned from convenience stores, legal product sales plummeted, while cigarette consumption increased.
  • Black market surge: Illegal nicotine pouches quickly flooded the market, with nicotine levels far above legal limits, easily accessible to both youth and adults.
  • Setback for quitters: In rural and remote areas lacking pharmacy access, adult smokers faced greater obstacles.
  • Pharmacist burden: Significant increase in administrative workload, diverting resources from patient care.
  • Economic blow: Affecting about 200,000 convenience retail jobs nationwide, threatening small businesses that rely on legal nicotine product sales.

 


 

According to Newswire on August 19, Imperial Tobacco Canada announced that one year ago, the Canadian government prohibited the sale of ZONNIC — the only nicotine pouch approved by Health Canada as a smoking cessation product — in convenience stores, allowing sales only behind pharmacy counters. The policy was intended to control nicotine product use and protect public health. However, new data show the measure has had the exact opposite effect.

 

Illegal sales surge: Many unregulated nicotine pouches with nicotine contents far above legal limits are now flooding both the physical market and e-commerce platforms, easily accessible to both youths and adults.

 

Smokers face barriers to quitting: In rural and remote areas where pharmacies are scarce, adult smokers who relied on ZONNIC to quit are now facing unnecessary obstacles.

 

Pharmacists under pressure: Pharmacists play an indispensable role in smoking cessation, but instead of focusing their time on essential patient care, they are now burdened with additional and unnecessary administrative work.

 


 

Over the past year, ZONNIC sales plummeted while cigarette sales increased by 2.8%. At the same time, the illicit market rapidly expanded, with more than 500 million unregulated nicotine pouches entering the market, many containing nicotine far above legal limits, and sold through retailers and online platforms — making them easily available to young people.

 

Eric Gagnon, Vice President of Corporate and Regulatory Affairs at Imperial Tobacco Canada, criticized the policy:

 

“The government cracked down on the country’s only legal, regulated nicotine pouch, but fueled the black market. ZONNIC was never the problem — it was the solution for many smokers.”

 


 

In addition to the rising risks of illegal products, smokers attempting to quit are also heavily impacted. In remote regions with limited pharmacy access, many adults have lost convenient access to ZONNIC. Pharmacists, meanwhile, are burdened with additional administrative tasks, diverting resources away from patient care.

 

On the economic front, the policy has hit the convenience retail sector hard, threatening about 200,000 related jobs nationwide and leaving small businesses dependent on legal nicotine product sales struggling to survive.

 


 

Previously, ZONNIC had been approved by Health Canada as a natural health product and smoking cessation aid, and was endorsed by the Centre for Addiction and Mental Health (CAMH) in Toronto. Data showed that in convenience stores selling ZONNIC, cigarette sales saw double-digit declines, demonstrating its positive effect in helping smokers quit.

 

Imperial Tobacco Canada reiterated its support for the federal government’s goal of reducing the smoking rate to below 5% by 2035, but stressed that this can only be achieved through wider access to innovative cessation tools.

 

Gagnon emphasized:

 

“We are willing to work with Health Canada to ease the burden on pharmacists and help more adults quit smoking for good.”

 

The company urged Canada to adopt evidence-based public health policies to ensure that cessation tools remain conveniently accessible, rather than making the path to quitting smoking more difficult.

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Canada’s Federal Vape Flavor Restrictions Remain Unclear Five Years After Announcement
Canada’s Federal Vape Flavor Restrictions Remain Unclear Five Years After Announcement
Five years after Canada’s federal government announced plans to restrict vaping flavors nationwide, Health Minister Marjorie Michel has not said when or whether the measure will still proceed. In 2021, Health Canada said it planned to limit vaping flavors nationwide to mint, menthol and tobacco, citing evidence that fruity and sweet flavors appeal to youth.
May.11 by 2FIRSTS.ai
UK Tobacco and Vapes Bill Returns to House of Lords on April 20 for Ping Pong Consideration
UK Tobacco and Vapes Bill Returns to House of Lords on April 20 for Ping Pong Consideration
The UK Tobacco and Vapes Bill is set to return to the House of Lords on April 20 for consideration of Commons amendments in the parliamentary “ping pong” process. The bill aims to create the first “smoke-free generation” by ensuring that children turning 15 this year or younger can never legally be sold tobacco. It also seeks to enable product and information requirements to be imposed in connection with tobacco, vapes, and other products.
Apr.21 by 2FIRSTS.ai
ZYN by IQOS to Roll Out Across Tokyo From May 11 Through IQOS Shops and Lawson
ZYN by IQOS to Roll Out Across Tokyo From May 11 Through IQOS Shops and Lawson
Philip Morris Japan announced on April 23 at a product briefing that ZYN by IQOS, an oral tobacco pouch previously launched in selected areas, will expand sales in Tokyo. The company said the product will be released progressively from May 11 through IQOS shops, Lawson and other outlets in the city. The launch will include four flavors, each offered in Low and Medium intensity levels, for a total of eight products.
Apr.27 by 2FIRSTS.ai
Dutch Data Show 244 Companies Continued Illegal Vape Sales After Two Fines
Dutch Data Show 244 Companies Continued Illegal Vape Sales After Two Fines
According to RTL Nieuws, citing figures from the Netherlands Food and Consumer Product Safety Authority (NVWA), hundreds of Dutch shops continue to sell illegal vapes, often even after repeated fines.
Apr.08 by 2FIRSTS.ai
Italy Formally Submits Detailed Opinion to EU Obstructing Ireland's Disposable Vape Ban
Italy Formally Submits Detailed Opinion to EU Obstructing Ireland's Disposable Vape Ban
Italy's Ministry of Enterprises and Made in Italy has submitted a detailed opinion against Ireland's proposed "Public Health (Single Use Vapes) Bill 2025." Italy argued that the comprehensive ban on disposable vapes lacks scientific evidence, violates the EU principle of the free movement of goods, and conflicts with the existing Tobacco Products Directive.
Apr.10 by 2FIRSTS.ai
FDA Tobacco Center Pushes Review-Efficiency Statement After Commissioner’s Exit
FDA Tobacco Center Pushes Review-Efficiency Statement After Commissioner’s Exit
FDA CTP issued a May 7 statement on accelerating product review and improving PMTA efficiency, but did not push it via official X and newsletter until May 13, one day after FDA Commissioner Marty Makary’s resignation was confirmed. FDA has not explained the delay, and no public evidence links it directly to the leadership change. The timing is notable given CTP’s usual 24-hour distribution practice.
Special Report
May.14