Travel Price Index

The Travel Price Index (TPI) showed that prices Canadians paid to travel inside the country between the first quarters of 2005 and 2006 increased at a slower pace than the rate of inflation as measured by the Consumer Price Index.

The TPI reached 141.7 (1992=100) in the first quarter of 2006, up 1.4% compared to the first quarter of 2005. In comparison, the Consumer Price Index increased 2.4%.

The components which contributed the most to the growth in the Travel Price Index were the costs related to the operation of automotive vehicles and costs associated to the purchase of food from restaurant and served alcoholic beverages.

Costs related to operating automotive vehicles climbed 4.9% between the first quarters of 2005 and 2006. This growth was mainly due to the continuous rise in the price of gasoline during this period (+11.2%).

Between the first quarters of 2005 and 2006, both the costs of food purchased from restaurants and of served alcoholic beverages rose 3.1%.

Despite the 5.2% increase, costs incurred from using local and commuter transportation has only slightly influenced the TPI. The increase resulted from an 8.7% rise in taxi prices.

However, the growth in the TPI in the first quarter of 2006 compared to the first quarter of 2005 was mitigated by a 5.5% decline in the price of traveller accommodation.

Three of the remaining components of the TPI fell, namely clothing (-2.6%), footwear (-1.9%) and rental of automotive vehicles (-1.7%). The other components posted increases between 1.0% and 2.7%.

On a quarter-over-quarter basis, the TPI edged down 0.6% between the fourth quarter of 2005 and the first quarter of 2006.

Four components contributed to the slight quarterly decrease in the TPI. The price paid for traveller accommodation fell 3.6%, continuing the downward trend of last quarter.

Lower costs related to the purchase of footwear (-2.6%) and clothing (-1.1%) also negatively affected the index.

Finally, the 1.9% reduction in costs related to the use of inter-city transportation also contributed to the quarterly decrease of the TPI. A 2.5% drop in airplane ticket prices was responsible for the decrease in this component.

Two other components of the TPI declined between the fourth quarter of 2005 and the first quarter of 2006: rental of automotive vehicles (-1.9%) and operating automotive vehicles (-0.3%). The remaining components registered increases ranging between 0.4% and 2.3%.

Available on CANSIM: table 428-0002.

For general information, contact Client Services (1-800-307-3382; 613-951-9169; fax: 613-951-9040; cult.tourstats@statcan.gc.ca). To enquire about the concepts, methods or data quality of this release, contact Marinka Ménard (613-951-4483; marinka.menard@statcan.gc.ca), Culture, Tourism and the Centre for Education Statistics.