Soaring loonie could dampen Windsor tourism industry
As the Canadian loonie soars to heights not seen in two years, Windsor tourism officials will be keeping a close eye to see just how much of an impact the stronger dollar will have on the region's economy.
Officials from Tourism Windsor Essex Pelee Island target American travellers who keep track of the exchange rate before planning visits to the region. Though the Canadian dollar continues to gain on its American counterpart, the tourism bureau's president Gordon Orr isn't panicking.
"If it goes to par, it's a whole different ball game, but right now it's still hovering at the 80 cent mark," he said. "They're still getting 20 cents on their dollar."
Stuart Farquharson crossed the border from Michigan to visit Windsor Tuesday. He doesn't have too many concerns about a rising dollar.
"Not really because I'm going to come anyway because I'm visiting in-laws," he said.
But there are certainly Americans who keep a close watch on the loonie before they commit to coming across the border.
"It's definitely something that we think about before we come over," said Monty Luke. "We look at the exchange rate. We pay attention to it for sure."
If the loonie continues to rise, it could hurt the region's tourism. But for now, officials remain optimistic that traffic from the U.S. will continue, explained Stephen MacKenzie, president and CEO of the Windsor Essex Economic Development Corporation.
"If the Canadian dollar remains at 80 cents to the US dollar, or less, then it's still a significant economic advantage," he said. "That's actually the magic number or tipping point according to a lot of economists."
But there are also benefits to the region with a strong loonie. Business is booming at places like Trike My Bike, a Windsor shop that converts three-wheel motorcycles. The lower exchange rates allow owner Lenn Curtis to buy more parts from the U.S.
With those savings, he can then sell his products at a lower price, which has already helped him bring more customers through the door.
"I've had numerous quotes this week from people coming looking to get a trike done," he said.
