Soaring loonie means tougher times for film industry
The rapidly rising Canadian dollar could wipe out much of the financial incentive that helps to attract Hollywood producers to B.C.
The Canadian dollar is now at its highest level against the U.S. greenback in more than five years.
- FROM MAY 6, 2003: Loonie closing in on 72 cents US
Producer Brent O'Connor who is shooting the sequel to the 2002 hit movie, Scooby Doo in Vancouver, says the stronger Canuck buck will determine which films can or cannot be shot here in the future.
"I started budgeting this show when it was 63 cents," he says. "I think that if I was budgeting Scooby 2 right now, at the exchange rate now, I would not be able to do it in Canada."
O'Connor says he isn't affected because he's working with a fixed exchange rate that was negotiated several months ago.
However, he says other U.S. film-makers are already taking note of the soaring loonie, and are considering other countries because of it.
"Earlier today I got a call from a good friend who is hoping to come to Vancouver but is now going to New Zealand to scout a show in New Zealand, specifically and solely because the dollar's gone up."
- LINK: B.C. Film Commission
The B.C. Film Commission's Web site boasts a list of incentives that might entice Hollywood film-makers north. At the top of the list a favourable exchange rate.