Canada Tourism Rumored to Be in Crisis

The Canadian tourism industry is on the precipice of an unprecedented decline, which could have a massive impact on the 1.6 million Canadians whose jobs depend on this sector, according to a report by Canada’s Tourism Competitiveness.

Canada’s tourism sector is on the brink of a crisis today, and we need urgent action from governments at all levels to address some long-standing structural burdens on our industry,” said Randy Williams, president and CEO of TIAC.

Mr. Williams says that the focus on isolated events such as SARS and the rapidly strengthening Canadian dollar has diverted attention from the underlying, structural issues that have led to a decline in Canada’s ability to compete in the world tourism market.

He points out that “in recent years a low Canadian dollar and cheap fuel prices concealed or mitigated the many challenges facing our competitiveness as a world class destination.”

The report says that if Canada’s tourism sector is to regain its footing and compete with other players in the global marketplace, there is an urgent need to address two fundamental areas: Access to Canada and Product Animation.

The report said visitors need to be able to reach Canada with ease, easily cross the border, and then be able to travel within Canada as seamlessly as possible. Travel options must also be cost effective and competitive with other destinations around the world.

The report also makes the point out that one example of competing on an uneven playing field is the lack of an agreement on Approved Destination Status with China, the fastest growing outbound market in the world.