Weak Canadian Dollar Fails To Spark Tourist Rush Despite Favorable Exchange Rate, Canadian Merchants Haven’t Seen A Big Increase In American Shoppers

Overshadowed by the fall of the Mexican peso, Canada’s currency in recent months has continued to fall toward historic lows.

Numbers from border and tourism officials from Canada and the U.S. suggest the traditional flow of Canadians southward has turned around. More Americans visited Canada last summer, while fewer Canadians were making the trip to the states.

With the onset of winter, citizens on both sides of the border appear to be staying put.

Numbers from nine border crossings in Northeastern Washington and North Idaho show that 2.4 million Canadians came here in 1994 compared to 2.6 million in 1993.

British Columbian tourism officials show that 6.3 percent more Americans visited the province through the end of September 1994 than at the same time a year earlier.

But despite these numbers, British Columbia’s Kootenai Country merchants and resorts say they haven’t seen more Americans taking advantage of a favorable exchange rate.

The Canadian dollar continues to lose value, as one America dollar now is worth $1.41 Canadian.

That has meant dwindling Canadians for local hoteliers and retailers in recent years as American goods and services have become increasingly expensive.

“Our Canadian traffic has steadily gone down since 1991,” said Hiram Naipo, sales manager at the Thunderbird Best Western Inn in Spokane. The inn offered to accept Canadian money at par for parts of last summer and may do so depending on the market this summer, he said.

With goods and services in Canada appearing that much cheaper, you’d think Spokanites and Idahoans alike might be booking ski trips and tours in Kootenai Country in British Columbia.

“Well, we just haven’t seen that many Americans up here, and it’s been surprising,” said Eric Skat-Peterson, marketing director and partner in Red Mountain Ski Resort near Rossland, B.C.

“I think the unusually warm weather we’ve had in the first weeks of January may have had a factor,” Skat-Peterson said. “But overall I think American ski visits may be a tad bit down from last year.”

Americans don’t realize the savings with the exchange rate, said Linda Stevens, owner of Inn The Garden, a bed and breakfast in Nelson, B.C.

“We were a little surprised not to see more Americans up here,” Stevens said. “I don’t think they’re really informed about the rate difference. When I tell Americans who call up here about what our room rates are in your money, they’re pleasantly surprised.”

Stevens and other Nelson merchants expect American traffic to pick up in the spring and summer. “Two summers ago we had quite a few Americans from all over the place - Florida, Alabama, and a fair number from Washington state too,” Stevens said.

The Kootenai Country Tourism Agency recently placed ads in regional travel magazines, said Jan Kozlowski, research coordinator in Nelson. Nearly two-thirds of those who responded to those ads were from the Pacific Northwest area, he said, so the agency expects stronger American tourism for the upcoming months.

Rick Stevens of B.C. Tourism in Victoria said the increased numbers of American travelers was most likely felt in the Vancouver area. For Dave Schemenaur at White Buffalo Gifts in Nelson, he’s seen no increase in Americans.

“It’s been a bit surprising for us, considering the exchange,” he said. “But this isn’t the peak season, so things will hopefully heat up in the summertime.”