Sales in the food services and drinking places subsector plummeted in Canada by 39.7 per cent to $2.4 billion in April compared with the previous month, with businesses across the country being closed for the entire month due to COVID-19 regulations, reported Statistics Canada on Wednesday.
In Alberta, sales plunged by 33.4 per cent on a month-over-month basis and by 56.2 per cent year-over-year to $348.4 million.
The federal agency said lower sales were reported across all industry groups and in every province.
“In March, a sequence of unprecedented government interventions were put in place related to COVID-19, including the closure of non-essential businesses, travel restrictions, and public health measures directing Canadians to limit public interactions. During this time, all provinces restricted access and implemented closures to businesses in the restaurant industry, which continued for the entire month of April and into subsequent months. Based on respondent feedback, more than half (56 per cent) of food service and drinking places operators reported being closed at some point in April, while 41 per cent reported being closed for the entire month,” said StatsCan.
“The largest decline in dollar terms was reported at full-service restaurants (-57.6 per cent) followed by limited-service restaurants (-22.8 per cent), special food services (-59.5 per cent) and drinking places (-79.1 per cent).
“Across the country, dining rooms were closed for the entire month of April, with take-out and delivery being the only options. Nearly two-thirds (65 per cent) of full-service restaurants were closed for part of April, while almost half (47 per cent) were closed for the entire month.”
Sales at drinking places saw the largest decline in percentage terms (-79.1 per cent), as nightclubs and bars were closed and many do not have take-away food options. Most (89 per cent) drinking places were closed at some point in April, while 79 per cent were closed for the entire month, added the federal agency.
