P.E.I. craft makers hope tourism boom helps cover rising costs 

Artisans in P.E.I. are "very optimistic" as they head into the summer based on the impressive sales they've already seen this season for their crafts.

Makers are hoping the jump in sales will help them cover higher costs, saying some supplies have doubled or tripled in price in addition to rising shipping fees.

"I'm pretty optimistic. We've been looking at the numbers — for example, this May, we're actually double last year," said Peter Llewellyn at Shoreline Design in Georgetown.

"But the most exciting part is that we're five per cent ahead of 2019, which was our biggest year ever."

Llewellyn said the tourism traffic started early — particularly visitors from Europe — and that he's seeing a lot of "big spenders."

"There's a lot of talk about the economy, and people don't have money to spend. I had a couple came twice here last week and, between the two of them, they spent $1,500 in the shop," he said.

"We're seeing a lot of people that have sort of a pent-up demand. They're looking at things that they normally don't and they're saying, 'I want it. I'm going to have it.'"

We're seeing a lot of people that have sort of a pent-up demand​​​​​​—Peter Llewellyn, Shoreline Design 

But Llewellyn said costs have also gone up dramatically, including for the silver he uses to make jewellery and other products.

"That doubled during COVID and never went back down. So we're kind of stuck with that," he said. 

"But the other thing that we're doing is we hired more staff. We're more productive, we're introducing new products, and we started training. So we're trying to offset some of the material expenses with making better use of our labour."

Rising costs

Cathy Murchison of the Kro in the Skye Art Studio in Point Prim is also noticing a bump in business. But Murchison said she and others in the industry are watching to see the impact of the current economic situation. 

"People travel less when they can't afford it, when they have to pay their mortgage," she said.

"Maybe they don't go on vacation — and we really rely on tourists here. So that's always a concern in the back of your head. But if May is an indication, that it's been a good sign so far with the people that have come."

Murchison said while the supply chain is better this year, prices have still seen a dramatic jump.

"All of my material costs have gone way up. And the shipping has more than doubled, which was really a shock," she said.

"All of my material costs have gone way up, and the shipping has more than doubled—Cathy Murchison, Kro in the Skye Art Studio 

Murchison said she's had to make some difficult choices when setting her prices for the season.

"I don't like to raise my prices too much. I like to have affordable things for people. But I did have to raise some of my prices, because you could just absorb so much and then, you do have to make a change," she said.

"I tried not to raise my prices on everything. Just maybe on some things that could make up for others."

'Cold calculation'

Ayelet Stewart, executive director of the P.E.I. Crafts Council, said the council's store in downtown Charlottetown is having its best year yet since its opening in 2018.

Stewart said craft makers have been telling her they're feeling the squeeze of soaring costs.

"I think everybody checks what the markets can bear, what other people are pricing their items at, and then you have to make the cold calculation," Stewart said.

"If you're losing money, it's not worth making. So we've seen a big rise in prices in here, but the market seems to be accommodating and nobody questions it and everything is selling."

Stewart said the crafts council encourages members to emphasize their products are made by hand in P.E.I.

"There's a price to that. They're not mass produced, they're not coming from abroad: they're actually made on the Island," Stewart said.

"The costs on the Island are high for living, for wages. And materials being shipped here are also expensive. So for all those reasons, the prices are a little higher."