Total sales in the food services and drinking places industry rose 0.5% to $4.5 billion Canada-wide in January compared with the previous month, according to new Statistics Canada data.
However, sales fell in B.C. by 0.3% to $671 million in the same period – the second-largest drop among the provinces after Saskatchewan, which saw a monthly decrease of about 0.7%. Saskatchewan, however, enjoyed the highest year-over-year increase.
“B.C. is the worst-performing [restaurant industry] in all of Canada,” said Ian Tostenson, president and CEO of the BC Restaurant & Foodservices Association.
Tostenson told Business in Vancouver that there are three reasons the food services industry in B.C. lags behind those of the other provinces:
- the generally poor economy;
- the HST, which was applicable on all B.C. restaurant bills until today, the move away from which should improve the province’s food industry; and
- B.C.’s strict drinking and driving laws.
Year-over-year, B.C. did see growth of 2.9% in sales for food services and drinking places – but this remains well below the national average growth of 4.7%.
The provinces with the largest increases, year-over-year, were:
- Saskatchewan (8.9%);
- Alberta (7.7%); and
- Newfoundland and Labrador (7.6%).