The regulation of plastics and packaging in Canada is evolving rapidly at both the federal and provincial levels. Recent developments — including expanded extended producer responsibility (EPR) regimes, reporting under the Federal Plastics Registry, new federal prohibitions on certain toxic substances, and a significant Federal Court of Appeal decision confirming federal authority to regulate plastics as “toxic” — signal a clear shift toward increased oversight and regulation of packaging materials.
For businesses that manufacture, import, package or sell food and beverage products in plastic or paper packaging, these developments carry several operational and compliance implications. In this bulletin, we provide a brief overview of key developments and practical considerations for the food, beverage and agribusiness sector.
Federal Plastics Registry: Ongoing Reporting Obligations
The Federal Plastics Registry requires companies that manufacture, import or place certain plastics on the Canadian market to report annually on the quantity and types of plastics supplied. Although Environment and Climate Change Canada recently announced a deferral of Phase 2 and Phase 3 reporting obligations that were to commence in 2026, Phase 1 reporting remains in force.
Producers of plastic packaging, single-use or disposable products, and certain electronic and electrical equipment destined for the residential waste stream must continue reporting by September 29 on data gathered for the preceding calendar year.
Food and beverage businesses should assess whether they qualify as obligated producers and ensure internal systems are in place to track plastic volumes and resin types across their supply chains.
Extended Producer Responsibility: Expanding Provincial Obligations
At the provincial level, EPR regimes continue to evolve. At a high-level, EPR programs shift responsibility for the collection, recycling and disposal of products and packaging from municipalities to producers — typically brand owners, importers or, in some cases, retailers.
All provinces and territories (excluding Nunavut) now have mandatory EPR programs covering packaging and paper products, with many jurisdictions expanding to additional product categories. Producer obligations generally include registration, reporting, record-keeping and payment of fees, often through a producer responsibility organization (PRO).
Penalties for non-compliance can be significant, and regulators have increasingly demonstrated a willingness to enforce these regimes through compliance orders and administrative monetary penalties. Businesses operating in multiple jurisdictions should carefully assess producer hierarchies, applicable exemptions and reporting timelines in each jurisdiction, as obligations can differ materially across Canada.
Federal Court of Appeal Upholds Plastics as “Toxic”
In January 2026, the Federal Court of Appeal upheld the federal government’s Order adding plastic manufactured items to Schedule 1 of the Canadian Environmental Protection Act, 1999 (CEPA), confirming the federal government’s authority to regulate plastics as toxic substances. It is likely that the Responsible Plastics Use Coalition will seek leave to appeal the decision to the Supreme Court of Canada.
As a result, the designation remains in force, as do existing federal regulations made under CEPA, including the Single-Use Plastics Prohibition Regulations. The decision reinforces that CEPA will continue to serve as a central legislative tool for future federal plastics regulation.
Prohibition of Certain Toxic Substances Regulations, 2025
Effective June 30, 2026, the Prohibition of Certain Toxic Substances Regulations, 2025 will replace the 2012 regulations and further restrict the manufacture, use, sale and import of certain substances and products containing them.
The new regulations narrow several existing exemptions for substances such as perfluorooctane sulfonate (PFOS), perfluorooctanoic acid (PFOA), long-chain perfluorocarboxylic acids (PFCAs) and certain brominated flame retardants. While many of these substances are more commonly associated with industrial or specialty applications, they may also be present in certain packaging materials, coatings or imported finished products.
Importers should be particularly vigilant, as products compliant in other jurisdictions may nevertheless be prohibited in Canada. Temporary permits (for up to three years) may be available in limited circumstances, subject to strict conditions and application deadlines.
Key Takeaways
Taken together, these developments signal heightened regulatory scrutiny across the full life cycle of packaging materials, with businesses expected to face increased reporting obligations, heightened enforcement and growing oversight as regulatory expectations continue to evolve. Given the pace of regulatory change and increasing enforcement activity, early compliance planning will be critical to mitigating regulatory risk.
For more information on how these developments may affect your business, please contact the authors or any other member of our Food, Beverage & Agribusiness group.
