Indigenous tourism in Canada has not but recovered to the pre-pandemic ranges of 2019, in response to a examine by the Convention Board of Canada and the Indigenous Tourism Affiliation of Canada. Each organizations attribute this downturn to inflation and labor shortages and name for federal authorities monetary help to revitalize the business.
In 2023, indigenous tourism contributed $1.6 billion to Canada’s GDP. Nonetheless, this represents a ten% lower in comparison with 2019 and a decline of almost 24% when adjusted for inflation.
Alan Chaffe, the affiliate director of financial analysis on the Convention Board of Canada, notes that indigenous tourism is experiencing extra vital inflationary pressures than different sectors. For example, the costs of tourism services in 2023 had been 18.8% greater than in 2019, surpassing the general inflation fee of 15.5% for the whole financial system throughout the identical interval.
Taking inflation into consideration, the revenues of the indigenous tourism sector fell from $3.8 billion in 2019 to $3 billion in 2023, a decline of about 22%. Moreover, regardless of a rise in indigenous tourism companies lately, these companies now make use of fewer staff.
In 2023, over 2,750 companies and organizations had been a part of the indigenous tourism sector in Canada, a rise from 1,900 in 2021. Nonetheless, the sector’s direct workforce in 2023 consisted of 34,711 people, almost 5% decrease than in 2019.
As well as, worker earnings inside the sector have declined, being 6% decrease than in 2019. This lower is attributed to rising operational prices and the absence of worth changes for indigenous tourism experiences.
Federal Assist Requested
The Indigenous Tourism Affiliation of Canada (ITAC) expresses concern in regards to the business’s lack of monetary help and funding. They consider that federal authorities contributions are essential for reviving indigenous tourism in Canada, representing a big missed alternative for each indigenous communities and the nation.
Specialists emphasize that as we glance towards 2025 and past, it is going to be more and more necessary for federal, territorial, and provincial stakeholders to work collectively to help the continual restoration of indigenous tourism in Canada.
ITAC goals for indigenous tourism to contribute $6 billion to Canada’s GDP and create 60,000 direct jobs by 2030.
