Travel Services Industry Sees Steady Recovery in Canada

According to recent data from Statistics Canada, the travel services industry, which encompasses travel agencies and travel advisors, has been experiencing a gradual recovery since the sharp decline caused by the COVID-19 pandemic. In the fourth quarter of 2019, before the pandemic hit, travel services contributed $1,169 million to Canada's tourism demand. However, this figure dropped significantly to $321 million in the second quarter of 2020 as travel restrictions and lockdowns were implemented.

Since then, the industry has been on a path to recovery. By the fourth quarter of 2020, travel services had rebounded to $313 million, and by the fourth quarter of 2021, it had reached $358 million. The upward trend continued throughout 2022, with the industry contributing $445 million to tourism demand in the third quarter.

The most recent data shows that travel services accounted for $448 million in the fourth quarter of 2023, indicating a steady recovery compared to the lows experienced during the pandemic. Although this figure is still below pre-pandemic levels, the consistent growth over the past few years suggests that travel agencies and travel advisors are gradually regaining their footing in the market.

As the world continues to adapt to the new normal and travel restrictions ease, the travel services industry is expected to play a crucial role in the overall recovery of Canada's tourism sector.