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Report on Canadian province throws cold water on potential marina development

By IBI Magazine

A report on recreational boating in the Canadian province of Newfoundland and Labrador could put a damper on proposals by local ports to build new marinas. The report, commissioned after nine local communities submitted written proposals to build new marinas with government funding, came back with questions about their ability to generate income. The federal Atlantic Canada Opportunities Agency said that a shortage of "out-of-province" boaters would severely restrict revenue streams the marinas could attract.

According to the Newfoundland and Labrador Independent, the data gathered from 81 ports was "limited, anecdotal and very inconclusive."

Doug Burgess, the agency's communications director, told the paper that the inconclusive data was due to poor record-keeping on visiting boats and yachts. He added that a shortage of non-provincial yachts would make it difficult to justify significant public investment in the projects.

The report's author Neil Dawe said the main challenge facing the recreational boat industry is the province's distance from potential markets. Anyone traveling to Newfoundland faces a daunting sea voyage.

Dawe said the primary market for the province's rural communities is the in-province recreational boater. He told the paper that the "best bets" for new marina development would involve promoting "home porting" or catering to local boaters.

But Burgess said the in-province recreational boating industry does not bring the same level of revenues into the province as visiting yachts might. "It would be extremely difficult to justify significant expenditure of public funds to develop marina facilities for the resident yachting community," he told the paper.

(16 May 2008)


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