Tourism in Canada took a record-setting downturn in the second quarter because of the SARS outbreak, Statistics Canada says.
Numbers released by the agency Monday confirm the worst fears of the tourist spots, businesses and restaurants in cities where the worst outbreaks of the disease occurred.
The agency said that tourism spending in Canada plummeted 4.3 per cent from the first quarter — the largest quarterly decline since Statistics Canada began recording National Tourism Indicators data in 1986.
“The outbreak of severe acute respiratory syndrome (SARS) was the major factor behind the decline, as the number of international visitors, particularly from Asia, plummeted,” Statscan said.
The agency said the biggest hit to tourism spending was the significant decline (14 per cent) in the number of international tourists to Canada during that time.
Spending by international tourists was also at its lowest since the first quarter of 1997.
Tourism spending in Canada in total in the second quarter sank to $12.2-billion, $1.2-billion below its peak in the fourth quarter of 2000, and to its lowest level since the fourth quarter of 1998.
Even domestic tourism spending was down slightly in the second quarter, “despite continued strength in overall domestic demand and personal disposable income.”
Because fewer international tourists came to Canada during the second quarter, the domestic share of total tourism spending rose to 70 per cent, “continuing the upward trend followed since the events of Sept. 11, 2001,” Statistics Canada said.
In more bad news, the number of tourism jobs also dropped sharply during that period.
“Tourism employment fell 2.4 per cent to 572,0000 jobs after a flat first quarter,” Statscan said.
“The drop in tourism employment was widespread, with the brunt of it borne by the accommodation, food and beverage and travel industries.”
Spending on airline travel was down 9.4 per cent in the second quarter, and spending on accommodation fell 8.5 per cent.
