According to an Ernst & Young study conducted for the Convenience Industry Council of Canada, the Atlantic bubble erected to limit the spread of COVID-19 could explain why legal cigarette sales have jumped in the region.
While the legal sale of cigarettes increased by more than 20% across Canada during the study period, the largest increase was seen in the Atlantic provinces, according to the study.
Comparing the figures for June 2020 to those for June 2019, Prince Edward Island saw a 47% increase in legal cigarette sales, while New Brunswick and Newfoundland and Labrador recorded a 47% increase in legal cigarette sales. both recorded increases of over 44%.
The study released Monday found that legal sales in Nova Scotia were 21% higher in June than a year earlier.
Data revealed by the pandemic
The report says that prior to the COVID-19 pandemic, little was known about the extent of the illegal cigarette market in the Atlantic provinces.
Travel restrictions in the Atlantic may have prevented or dissuaded carriers from making trips to the region to supply underground sales channels, according to the study.
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