Jock Finlayson is executive vice president and chief policy officer of the Business Council of BC. (Submitted)

COLUMN: Residents should explore B.C. to help tourism industry amid COVID-19

Jock Finlayson is executive vice president and chief policy officer of the Business Council of BC

As policy-makers struggle to the tabulate the immense damage being done by the Covid-19 pandemic, the shuttering of local businesses, and the onset of a global economic downturn, few B.C. industries are being hit harder than tourism. Globally, cross-border travel has come to a halt and airlines have stopped serving most international routes. For 2020 as a whole, forecasters expect a huge drop in overnight “tourist arrivals” worldwide, including in North America. The impact of this unprecedented situation is painfully evident in B.C.

For B.C., the health of tourism matters: it is one of the province’s most important industries, serving as a key source of employment and business activity across the province. According to Destination British Columbia, 160,000 jobs and $6 billion in wage and salary income depend on the industry. In 2019, tourism generated aggregate revenues of roughly $21 billion, a jump of more than 50 per cent since 2008. Some of this was spending by B.C. residents on within-province travel and at local hotels, restaurants and other venues. But almost $8 billion consisted of “export revenues,” a category that captures spending by non-B.C. residents on goods and services purchased while visiting our province. Tourism export earnings exceed those garnered from the sale of B.C. minerals and agri-food and fish products – making tourism one of the province’s leading export sectors.

Sadly, the tourism industry is staring at an economic calamity. The virtual cessation of air travel, the shutting of the Canada-U.S. border, and the closure of local restaurants, stores, parks, and entertainment and cultural facilities mean the number of out-of-province visitors will plunge this spring and summer – the most critical months for many tourism businesses. The economic carnage is widespread.

To begin with, more than half of the stunning 396,000 jobs lost in B.C. in March and April were in industries that are part of the broad tourism sector – hotels and motels, eating and drinking establishments, other segments of retail trade, air transportation, and leisure, entertainment and recreational services. Every segment of B.C.’s diverse tourism industry – from guide outfitters and fishing camp operators to hotels, resorts, taxis, museums, and luxury retail businesses – is being hammered by the disappearance of visitors. The industry has never experienced anything like it.

A recent on-line survey conducted by the British Columbia Regional Tourism Secretariat paints an alarming picture. It finds only 37 per cent of B.C. hotels, motels and other tourism businesses believe they can survive through the end of the summer, given social distancing measures and other operational restrictions currently in place. Visitor bookings continue to be cancelled or postponed, with four-fifths of the tourism businesses surveyed reporting slower bookings into the fall months. The convention, meetings and events business has cratered. And, many tourism businesses are grappling with a severe cash flow crunch as revenues shrivel yet fixed costs remain.

Thankfully, earlier this month the B.C. government unveiled its economic re-opening plan. In the coming weeks, restaurants, hotels, motels and most other consumer-facing business will be allowed to resume operations, subject to new health and safety protocols to protect employees and customers. However, the plan specified no date for the return of “international tourism,” suggesting that it may have to await the development of a vaccine for COVID-19. If so, that spells bad news for the various segments of the B.C. tourism industry that depend on visitors from overseas and the United States to help drive their business.

What can be done? The near-term outlook for international travel is dim. Some Americans will come if the border re-opens before the summer, but in smaller numbers than in previous seasons. For now, re-building tourism should focus on bolstering the domestic market and encouraging more visitors from next-door Alberta.

Now is the time for British Columbians to travel and vacation within the province, not just this summer but into the fall. This includes visiting B.C. communities that one may not have experienced before. It may also involve opting for close-to-home “staycations.” Those with the ability to do so should step up and patronize B.C. hotels, restaurants, sightseeing venues, cultural attractions, and other local tourism-businesses to help keep the industry alive until international visitors return.

Jock Finlayson is executive vice president and chief policy officer of the Business Council of British Columbia

Like us on Facebook and follow us on Twitter

Tourism

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

No active confirmed COVID-19 cases in Interior Health: BCCDC

Numbers from the BCCDC’s dashboard show 193 of the 195 COVID-19 cases in the region have recovered

RDEK urges residents to be prepared for emergencies including flooding, wildfire

The East Kootenay region has been placed on a high streamflow advisory

Hosmer Fire Department sends thank you to anonymous gift donor

A handmade wooden plaque was left in front of the Hosmer firehall on May 28

Castle Project seeking public input

The comment period surrounding the expansion closes on June 23

City seeks public input on new cannabis retail license

The application must first gather approval from city council before being approved by the province

22 new COVID-19 test-positives, one death following days of low case counts in B.C.

Health officials urged British Columbians to ‘stand together while staying apart’

New study is first full list of species that only exist in Canada

Almost 40 per cent of them are critically imperilled or imperilled and eight are already extinct

Angel Flight takes flight from Creston after being grounded by COVID-19

Angel Flight is a volunteer-run organization which gives people flights to doctors appointments

Nature Conservancy takes in more lands near Canal Flats

Badgers, bears and birds to benefit from bolstering bunchgrass conservation in Rocky Mountain Trench

Introducing the West Coast Traveller: A voyage of the mind

Top armchair travel content for Alaska, Yukon, BC, Alberta, Washington, Oregon and California!

Federal aid for care home systems needed ahead of second wave, advocates say

Ontario Long Term Care Association calling for more action

B.C. woman, 26, fatally shot by police in Edmundston, N.B.

Police were conducting a well-being check at the time of the incident

Horgan calls for national anti-racism program; will pitch idea to PM, premiers

Premier John Horgan said he’s horrified by the death of George Floyd in the United States

Most Read