Tour Operators in B.C. Apprehensive About Business Decline Following China's Exclusion from Canadian Tour Group List

17 Aug, 2023

Tour Operators in B.C. Apprehensive About Business Decline Following China's Exclusion from Canadian Tour Group List

B.C. tour operators are urging the federal government to mend relations with China after it came to light that Canada had been omitted from the list of countries approved for tour groups by the Chinese government.

As global travel gains momentum post-COVID-19 restrictions, China's foreign ministry revealed the addition of 78 countries to their list of sanctioned destinations for group tours and travel packages, with Canada conspicuously absent.

The public affairs office of the Chinese embassy in Ottawa explained the decision, citing Canada's recent emphasis on "Chinese interference" and the escalating instances of discriminatory anti-Asian actions and rhetoric within the country.

For British Columbia, which relies heavily on tourism, this omission carries significant ramifications. China stands as the second-largest market for international travelers to the province, making China's exclusion from the approved list a considerable blow to the provincial tourism industry.

Monica Leeck, responsible for market development in the Asia Pacific and Mexico regions at Destination B.C., revealed that approximately 334,000 Chinese travelers visited B.C. in 2019. Prior to the pandemic, Vancouver saw over 50 flights per week arriving from various Chinese cities, underscoring the pivotal role China played in B.C.'s tourism landscape.

Although independent travelers can still make their way to B.C., the absence of tour groups poses a challenge. Pre-pandemic data from the World Tourism Organization indicates that about 60% of Chinese tourists' overseas spending was associated with group tours.

Leeck emphasized that Chinese visitors were significant spenders in B.C., averaging an expenditure of $2,021 per person—considerably more than the average spend of Australian tourists at approximately $1,800.

Walt Judas, CEO of the Tourism Industry Association of B.C., noted that Chinese tourists tended to invest in tour-related experiences and amenities, including guided tours and cultural activities. The absence of the robust volume of Chinese tourists prior to the pandemic has inflicted a notable impact on businesses catering to this market.

Glynnis Chan, owner of Happy Times Travel based in Vancouver, expressed frustration over the decision's implications. Her business primarily focuses on travel between China and Asia, and the lack of a clear path for resumption feels discouraging.

The tourism industry in B.C. had been gradually recovering as pandemic restrictions eased, culminating in a 78% occupancy rate in hotels across the province by the end of June.

However, the absence of Chinese tour groups, which are known for their substantial spending, could hinder long-term recovery. Walt Judas stressed the importance of cooperation between governments and urged a resolution to the current impasse.

A spokesperson from B.C.'s tourism ministry shared that Destination B.C. remains committed to promoting the province through various media to Chinese travelers while closely monitoring developments in China's tourism recommendations.