Canadian Tourism's Struggle to Jumpstart Its Recovery


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Skift Take

A reputation for strict entry requirements, plus an unexpected variant and social disruption, is hard to undo. Canada's tourism businesses are certainly paying the price, despite a successful vaccination campaign. Will it be another lost summer for the U.S. neighbor, particularly given the rising fuel costs?

In 2021, Canada’s international arrivals reached 3.1 million or a drop of 86 percent compared to 2019 levels, according to Destination Canada. That’s a one percent percentage improvement over 2020, setting Canada a full year behind in recovery projections compared to the U.S. 

But the slow rebound is continuing for Canada’s tourism businesses, because of the devastating impact of the Omicron variant. Reinstated border restrictions had a knock on effect on late winter and spring bookings, leading to cancellations from international visitors as well as event planners, and a dramatic drop in revenue. 

Now Canada’s broader tourism industry groups — including TIAC, plus associations representing indigenous tourism, hotels, the arts, festivals and events — are pleading once more with Canada’s government to fully reinstate its subsidy program for tourism and hospitality so that Canada doesn’t lose yet another summer of travel recovery. The funding support, which provided up to 70 percent of wages and rent for busines