CANADA HISTORY

Immigration

The second pillar of Sir John A. Macdonald’s National Policy was the settlement of the Canadian West, a crucial component in transforming the Prairies into an economic engine for the young Dominion. Macdonald’s vision, after the building of the Canadian Pacific Railway (CPR), was to fill the vast western lands with settlers who would cultivate the fertile soil, establish farms, and create communities that would not only feed the country but also purchase goods from the manufacturing hubs of eastern Canada. This grand strategy, which tied the prosperity of the West to the development of the entire nation, encountered significant challenges that shaped the trajectory of Canadian history.

The National Policy and Western Settlement

The National Policy, first introduced in 1879, was a tripartite economic strategy designed to unify the country economically and politically through protective tariffs, a transcontinental railway, and the settlement of the West. The protective tariffs were meant to protect Canadian industries from competition with the United States, the railway would connect the country from coast to coast, and the settlement of the West was intended to expand Canada's agricultural output while creating new markets for eastern Canadian manufacturers. This was, in Macdonald's view, the key to establishing Canada as a self-sustaining and prosperous nation independent of American economic influence.

The Canadian Pacific Railway was the first critical piece of this strategy. Completed in 1885, it provided a means to transport settlers and goods to and from the Prairies, making the vast western interior more accessible to new settlers. The railway was seen as the backbone of Canadian unity, binding the east with the west and facilitating the transport of agricultural products from the western farms to the markets of Ontario, Quebec, and the Maritimes. It was also a vital component in asserting Canadian sovereignty over the West, preventing American expansionism and fulfilling the dream of a transcontinental Canada.

However, while the railway was completed, the second part of the plan—filling the Prairies with farmers—proved more challenging than expected. The goal was to settle the land with people who would farm it, feed the growing nation, and stimulate demand for manufactured goods from the industrial east. But this plan faced considerable obstacles, particularly during the late 1880s when immigration stalled and settlers began to abandon Canada for the United States, lured by better opportunities and lower tariffs.

Stagnation of Immigration and Economic Hardship

Despite the railway’s completion, by the late 1880s, the flow of immigrants to the Canadian West had slowed dramatically. Many early settlers who had claimed land in the Prairies under the Dominion Lands Act of 1872, which granted 160 acres of land to settlers, found the harsh environment and the lack of infrastructure overwhelming. Poor harvests, difficult climatic conditions, and limited access to markets made farming difficult, and many homesteaders began to give up their land and move south to the United States, where better conditions and more accessible markets awaited.

The tariff policy that Macdonald had implemented as part of the National Policy also had unintended consequences. The high protective tariffs imposed between Canada and the United States meant that western farmers faced difficulty selling their surplus crops. Eastern Canadian manufacturers and markets were not sufficient to absorb all the agricultural production from the Prairies, and the tariffs made Canadian grain less competitive in American markets. As a result, many farmers were unable to make a sustainable living, leading to dissatisfaction and calls to open up north-south trade routes to allow for easier access to U.S. markets.

The excitement and optimism that had accompanied the construction of the railway and the settlement boom quickly gave way to disappointment as the economic realities set in. In cities like Winnipeg, land prices, which had skyrocketed during the railway boom, plummeted as the flow of new settlers and economic growth slowed. The anticipated prosperity failed to materialize, and many early settlers packed up and left, heading to the United States in search of better opportunities.

Macdonald’s Turn to the British Empire

Faced with the economic difficulties in the West and the growing dissatisfaction with his government’s handling of the situation, Macdonald sought solutions that would preserve his vision of a strong, unified Canada. Rather than opening up trade with the United States, which he feared would erode Canada’s independence and lead to American economic domination, Macdonald looked toward the British Empire for closer economic ties. He believed that fostering stronger connections with Britain could provide Canada with the markets and immigration it needed to build a sustainable and prosperous western agricultural economy.

The idea was that the British Empire, with its vast global network, could serve as both a source of immigrants to populate the Canadian Prairies and a destination for Canadian agricultural exports. Macdonald hoped to attract British settlers to the West, capitalizing on the shared cultural and political ties between Canada and Britain. However, while some British immigrants did come, the flow of immigration remained insufficient to meet the demands of western settlement, and the region's economic growth stagnated.

The Role of Clifford Sifton and Liberal Immigration Policies

The situation in the West did not improve significantly until the Liberal Party came to power in 1896 under Sir Wilfrid Laurier. One of Laurier’s key ministers, Clifford Sifton, who became Minister of the Interior, was instrumental in reinvigorating western settlement. Sifton, understanding that the economic future of Canada depended on a thriving agricultural sector in the West, embarked on an ambitious campaign to attract European immigrants to the Canadian Prairies. He targeted not only British immigrants but also settlers from eastern and central Europe, particularly from regions like Galicia, Ukraine, and Germany, who had agricultural experience and were willing to farm the harsh conditions of the Canadian West.

Sifton's aggressive immigration policies, combined with the introduction of hardier wheat strains such as Red Fife and Marquis, helped transform the Prairies into the breadbasket of the British Empire. The number of immigrants soared, and by the early 20th century, the Canadian West was booming with agricultural production. Cities like Winnipeg once again became hubs of economic activity, and the western provinces began to emerge as vital components of the national economy.

The Legacy of Macdonald’s National Policy

While Macdonald’s National Policy encountered significant challenges, particularly during the late 1880s when immigration to the West stalled and economic hardships mounted, its long-term impact on Canadian history cannot be overstated. The railway, the settlement of the West, and the establishment of protective tariffs helped lay the groundwork for Canada’s development as a nation. Macdonald’s vision of a transcontinental country, bound together by economic ties and political unity, was realized in part due to the policies he implemented during his time as Prime Minister.

The westward expansion and the eventual success of agricultural settlement in the Prairies also had profound implications for Canada’s identity. It helped solidify the notion of Canada as a coast-to-coast nation, with a diverse economy that included not only industry in the east but also vast agricultural resources in the west. It also played a significant role in shaping Canadian demographics, as waves of European immigrants settled the West and contributed to the cultural and linguistic diversity that defines Canada today.

Furthermore, the tensions between economic nationalism and the desire for reciprocity with the United States that emerged during this period would continue to shape Canadian politics for decades. The debates over free trade, tariffs, and Canada’s economic relationship with its powerful southern neighbor remain central issues in Canadian political discourse to this day.

The second pillar of Sir John A. Macdonald’s National Policy, the settlement of the Canadian West, was a pivotal element in the nation-building project that shaped Canada’s economic and political landscape. While the policy faced significant challenges, including stalled immigration, economic hardship, and the lure of the United States, it ultimately laid the foundation for the development of the Canadian Prairies as a crucial part of the national economy. The eventual success of western settlement under Liberal policies, particularly through the efforts of Clifford Sifton, demonstrated the importance of immigration and agricultural development to the prosperity of Canada. The legacy of Macdonald’s vision can still be seen in the vast agricultural heartland of the Prairies, a testament to the enduring significance of the National Policy in Canadian history.