By Matteo Cimellaro, Local Journalism Initiative Reporter CANADAѻýS NATIONAL OBSERVER
In 2018, Joe Bailey was running a successful tourism business showing guests the colourful Aurora Borealis. Then, the COVID-19 pandemic locked down the Northwest Territories.
The territory was shut off from the rest of the world for two years, which meant no revenue for Baileyѻýs business, NorthStar Adventures, except government funding.
His business received some federal grants, but the territorial government waited more than a year before dispensing funds to struggling operations.
Now, four years later, Bailey has had to sell almost all his assets, including five vans and 12 snowmobiles, hobbling his business for the foreseeable future. Coming out of the pandemic, the once-thriving adventure company was left with only one van. But now, more domestic visitors are arriving to see the northern lights again.
ѻýWeѻýre in rebuilding mode, with a very slow tour season,ѻý said Bailey. ѻýSo weѻýre definitely nowhere near the numbers before COVIDѻý but it really forced us to be much more savvy with our business decisions and our business practices.ѻý
Indigenous tourism businesses faced barriers accessing government support over the pandemic, despite suffering from ѻýdisproportionately negative impactsѻý of the travel restrictions and economic chaos of that time, according to internal documents obtained by Canadaѻýs National Observer through access-to-information legislation.
Internal documents from Innovation, Science and Economic Development Canada reveal that Indigenous tourism faced difficulties even though Ottawa has celebrated its pandemic-era business support as a ѻýpowerful toolѻý in Canadaѻýs reconciliation efforts.
Statistics from the pandemic show that Indigenous tourism was harder hit than the rest of the sector. The Indigenous tourism industry saw an estimated 65.9 per cent decline in direct GDP and a 59.4 per cent drop in employment in 2020 due to the pandemic, according to numbers from ITAC that were quoted in the internal documents. By comparison, tourism GDP as a whole declined 50.1 per cent and total employment declined by 21.1 per cent that same year.
Indigenous tourism had difficulties meeting the federal programѻýs financial requirements, and faced challenges with program applications and eligibility requirements that may disproportionately exclude Indigenous businesses, such as unincorporated, community-owned and non-taxable businesses, the internal documents show.
Bailey also points to a discrepancy between Indigenous and non-Indigenous businesses.
For example, Indigenous businesses need more professional support getting into the industry, Bailey explained.
ѻýIndigenous entrepreneurs are at a disadvantage,ѻý Bailey said. ѻýSo funding and programs for the first timers would go a long way to help grow and succeed Indigenous tourism in Canada.ѻý
During the pandemic, tourism businesses across Canada were devastated, said Keith Henry, president and CEO of the Indigenous Tourism Association of Canada (ITAC), but Indigenous businesses were the ѻýhardest of the hardest hit.ѻý
Their smaller scale in rural and remote locations, which became more difficult to access, made Indigenous operations particularly vulnerable.
Darcie Guarderas, director and client strategist for Tansi Tourism Solutions, often works with Indigenous tour operators on a one-on-one basis. She had a call with another Indigenous business owner in the Northwest Territories whose operation didnѻýt survive the pandemic, even though it was at its peak.
ѻýHe wants to get back to what heѻýs doing because he has the passion for it, but they need more support,ѻý Guarderas said, noting that many operators leave the industry for more steady work.
ѻýWhen youѻýre a small business with not a lot of funding, you know, the pandemic just crushed them,ѻý she told Canadaѻýs National Observer.
One in three international visitors expressed interest in Indigenous tourism, according to a 2021 survey by Destination Canada. Travel magazines also identified Indigenous tourism as a trend for 2023, according to the internal documents.
ѻýAt present, projections point to a strong decade of growth globally for the sector, as the World Travel and Tourism Council projects that travel and tourism GDP will outpace the growth of the overall economy by more than two times,ѻý the documents found.
Baileyѻýs business operated almost exclusively for international guests seeing the Aurora Borealis. Now, more domestic tourism is arriving in Yellowknife, while the international audience continues to rebuild.
However, it wasnѻýt just a pandemic problem. The document revealed there is ѻýevidence of a gap in international travelersѻý awareness of Indigenous tourism offerings in Canada.ѻý
Henry is not surprised and argues that Ottawa is failing to meaningfully invest in his industry.
ѻýThe bottom line is we donѻýt have the investment structures yet to really continue to tap into the potential of what could be there,ѻý he said. ѻýThat takes marketing and development and we donѻýt have that reality in our sector yet.ѻý
Guardaras, for example, points to airports as the ѻýground zeroѻý for creating awareness of Indigenous tourism. And yet, only Vancouver, Winnipeg and Edmonton do a good job of telling visitors that they are landing in Indigenous territory. Thatѻýs not the case for other provinces.
Henry argues development and marketing will require ѻýreal investmentsѻý into Indigenous tourism from the federal and provincial governments, as well as from the larger tourism sector.
ѻýIѻým beyond listening to lip service,ѻý he said.
In a statement to Canadaѻýs National Observer, Alexander Cohen, director of communications for Tourism Minister Soraya Martinez Ferrada, , acknowledged that Indigenous tourism has the power to advance reconciliation and self-determination.
ѻýThatѻýs why supporting the growth of Indigenous tourism is one of our top priorities, in close partnership with Indigenous leaders,ѻý the statement added. ѻýItѻýs important to emphasize that communities make their own decisions and do tourism at their own pace. We must respect that.ѻý
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