Duty-free shop owner says his B.C. business is a hostage in cross-border economic war

Yahoo

23-03-2025

Cameron Bissonnette, a second-generation duty-free shop owner in Osoyoos, B.C., is facing the harsh reality that his business may no longer be viable for the next generation of his family.
His son and daughter, in their early and mid-20s, have expressed interest in taking over, but that, he says, now seems unlikely.
"I don't think there's going to be much here for us, so [they're] going to have to strike their own path," he told CBC's Radio West.
Bissonnette, himself, is also looking ahead, pivoting to a different career in real estate finance.
"I am starting on a [fresh] path... because I could see the writing on the wall," he said.
His family's business, located near the U.S. border south of Osoyoos, has relied on cross-border shoppers since the 1980s, when his parents first obtained a permit to open duty-free shops in B.C., one in Osoyoos and another in the East Kootenays.
For years, the business thrived, Bissonnette says, but the pandemic and growing political tensions between the U.S. and Canada have taken a toll.The shop owner says he feels his business is being held "hostage" to the "economic warfare" between the two countries, as many Canadians opt to avoid travelling south of the border.
He says customers are scarce—some days, fewer than a dozen people walk through the door. On one occasion, the only visitor to the store came to process a refund, leaving the shop with what he called a "negative $67 day."
The store, which once employed about 15 staff members, now operates with just three after multiple layoffs.
Bissonnette had to fight back tears as he recounted his struggles during a virtual news conference on Friday, where some border business owners and mayors from Canadian border towns warned of the growing financial strain on their communities.
A duty-free shop owner in Osoyoos, B.C., which has been operating since the 1980s, might soon be closing for good as the business struggles amid rising U.S.-Canada tensions. (Google street view)
Osoyoos Mayor Sue McKortoff was one of eight mayors at the event, part of the Border Mayors Alliance, a coalition spanning the length of the Canada-U.S. border. The alliance aims to provide a unified municipal voice in international discussions and advocate for policies that safeguard border communities.
"The duty free is one of the best businesses in town. They've been very supportive of the town. They've hired people in the town," McKortoff said.
The province has been talking of boycotts and taking reciprocal action against the threat of American tariffs on Canadian exports, with B.C. Premier David Eby recently cancelling his family trip to Disneyland and urging British Columbaisn to avoid travelling to the states.
WATCH | Peace Arch duty-free shop owner struggles to stay afloat:
Recent data from U.S. Customs and Border Protection shows a sharp decline in cross-border travel, with nearly 500,000 fewer travellers crossing into the U.S. in February compared to the same month last year.
Similarly, data from the Whatcom Council of Governments shows that the number of B.C. drivers heading south through the Peace Arch border crossing in Surrey has dropped by about 25 per cent compared to 2024.
McKortoff says border communities like Osoyoos, a town of about 5,500, is feeling the squeeze with fewer Canadians crossing south.
Barbara Barrett, executive director of the Frontier Duty Free Association (FDFA), warns that Canada's 32 duty-free stores—spread across seven provinces—are at risk of closure.
"The businesses are facing literal demise," Barrett said. "And all of this after still not being recovered from the 20-month-long border closure during the pandemic."
Businesses near the U.S.-Canada border at Osoyoos, the south Okanagan city of about 5,500, are struggling as fewer Canadians are travelling south, says Mayor Sue McKortoff. (Thomas Popyk/CBC)
According to a 2024 FDFA report, duty-free stores contribute approximately $35 million in taxes annually and invest more than $60 million in local economies.
Now, the FDFA and the Border Mayors Alliance are calling on the federal government to provide targeted financial support to help border communities weather the crisis.
Bissonnette says he hopes Ottawa will forgive loans from the Canada Emergency Business Account (CEBA) program, which many border businesses relied on during the COVID-19 pandemic. He's also pushing for interest-free loans and grants to help keep his business afloat.
Without assistance, he warns, the Osoyoos duty-free shop — and others like it — may not survive.
"It's getting to a point where you have to have a real moment of reckoning," he said. "I never thought I'd have to seriously consider closing this business down."