Canadian travel market: “worst in historyâ€
Canada’s tourism trade is going through the worst period in its history, says the head of a major industry association.
"This is worse than any other recessionary period that we’ve seen,” Travel Industry Association of Canada CEO Randy Williams told CBC News. He added:
"This has been the most challenging that many [in] our industry have seen in their lifetime.”
Statistics Canada recently reported tourism spending in Canada fell for the fourth straight quarter in the three months ending in June. It fell by $128 million, or 0.8 percent, to $16.4 billion.
“Tourism was hit in that quarter by tougher passport requirements for people crossing the American border that took effect on June 1 and the cancellation of Canadian flights to Mexico after the outbreak of the H1N1 influenza virus,” says CBS News.
Williams said there are additional factors that have worked against the industry throughout the year, including:
o The lingering recession.
o Rising global competition as an increasing number of countries promote themselves as destinations.
o Canada’s comparatively high airline costs.
o The lack of approved destination status with China — something 127 other countries do have.
Since 2003, Williams said, the downturn has become worse than 9/11 or the SARS outbreak six years ago. "Our industry is suffering a lot more than during that year," he said.
Williams expected an upside for travelers, though.
"You’ll see a lot of consolidation of businesses, a lot of cuts in pricing in order to get the volumes there," he said. "There’ll be a lot of bargains available to travelers.”
By David Wilkening
David
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