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PEI

P.E.I. food and beverage sales show small improvement

Restaurants and bars are off to a better start in 2017, but they are still not keeping pace with increased sales nationally.

Tourists opting to prepare more meals themselves, says P.E.I. Restaurant Association

Food service sales on the Island are growing only slowly. (Elaine Thompson/Associated Press)

Restaurants and bars are off to a better start in 2017, but they are still not keeping pace with increased sales nationally.

Sales were up 2.9 per cent in the first five months of 2017, according to figures released Monday by Statistics Canada. Nationally, sales were up 4.4 per cent.

The tourism industry is expecting another record year in 2017, but the record set in 2016 did not provide a huge boost in food service.

Carl Nicholson,president of the P.E.I. Restaurant Association and general manager of New Glasgow Lobster Suppers, said the difference is in the demographic.

He said more tourists arepreparing their own meals and only going out on special occasions.

Overnight stays much higher than sales

Figuresfrom Statistics Canada add weight to Nicholson's assessment.Total overnight stays on the Island were up 10.2 per cent in 2016, according to provincial reporting, but food service and drinking places sales rose only 1.9 per cent.

Part of this, Nicholson estimates, has to do with the change in how people arespending their money while on vacation.

Nicholson said tourists arebookingaccommodations that "have the ability for them to prepare their own meals in house"and that visitors are more conscious about fixingtheir meals to their budget.

Carl Nicholson says more tourists are opting to eat in, saving dining out for special occasions. (Getty Images)

"We're seeing a lot of people that are coming with extended family, parents, grandparents and kids all sitting in a row eating together."

Dining out is nowmore of a special occasion now, he said, as more visitorsprepare their own meals.

"We're seeing less people dining out for every meal," he said.