The Federal Court of Appeal (FCA) released its decision January 30, 2026, reinstating the federal government’s designation of Plastic Manufactured Items (PMI) as “toxic” under Schedule 1 of the Canadian Environmental Protection Act (CEPA).
Canada’s “Pollution Prevention Plan for Primary Food Packaging”, P2 Notice, published by ECCC in August 2023 laid out expectations for reusable, recyclable or compostable packaging and the broader circular economy, but fresh produce has been explicitly excluded from that discussion, and the report dictates that fresh fruits and vegetables must be distributed and sold in bulk and/or in plastic-free packaging (75% by 2026, increasing to 95% by 2028). Large Canadian grocery retailers would be responsible for compliance, to include retailer-by-retailer variations in packaging requirements, further complicating compliance for suppliers.
Progress on this notice had been paused, pending this Federal Court decision. The plastics industry and two provincial Attorney Generals challenged the GIC Order and the Minister’s decision not to establish a board of review by bringing an application for judicial review in the Federal Court. The legal foundation remains intact for regulatory measures that rely on the PMI listing, including:
- The proposed 2023 recycled content regulations, and
- The 2023 Pollution Prevention Plan (P2P) Notice,
both of which remain of significant concern to the fresh produce sector due to the essential role of functional packaging.
This decision further reinforces the necessity for alignment on the future of sustainable fresh produce packaging. Western Growers will continue work supported by the United States Department of Agriculture (USDA) as part of the 2025 Technical Assistance for Specialty Crops (TASC) program, which will allow Western Growers to spearhead a partnership between fresh produce industry stakeholders to develop and implement sustainable fresh produce packaging alignment across North America.
Further details about the decision.
Further details on Western Growers Sustainable Packaging (SPPA) work.