Economy of Manitoba

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Economy of Manitoba
Manitoba Agriculture - Corn Field.jpg
Corn field in southern Manitoba
Statistics
GDP C$71.019 billion (nominal; 2017) [1]
GDP growth
3.2% (2017) [1]
GDP per capita
C$51,484.89 [1] [2]
1.2% (2015) [3]
External
ExportsC$13.7 billion (2015) [4]
ImportsC$20.9 billion (2015) [5]

All values, unless otherwise stated, are in US dollars.

The economy of Manitoba is a market economy based largely on natural resources. Agriculture, mostly concentrated in the fertile southern and western parts of the province, is vital to the province's economy. Other major industries are transportation, manufacturing, mining, forestry, energy, and tourism.

Contents

The province's economic history dates to before European contact, and was originally based on a First Nations trading network. European traders arrived in the 17th century and organized a trans-Atlantic fur trade. Agricultural settlers arrived in the early 19th century, and Manitoba became a province of Canada in 1870.

Economic history

Red River cart train. Red River cart train 2.jpg
Red River cart train.

Manitoba's early economy depended on mobility and living off the land. Indigenous Nations (Cree, Ojibwa, Dene, Sioux and Assiniboine) followed herds of bison and congregated to trade among themselves at key meeting places throughout the province. After the arrival of the first European traders in the 17th century, the economy centred on the trade of beaver pelts and other furs. [6] Diversification of the economy came when Lord Selkirk brought the first agricultural settlers in 1811, [7] though the triumph of the Hudson's Bay Company (HBC) over its competitors ensured the primacy of the fur trade over widespread agricultural colonization. [6]

HBC control of Rupert's Land ended in 1868; when Manitoba became a province in 1870, all land became the property of the federal government, with homesteads granted to settlers for farming. [6] Transcontinental railways were constructed to simplify trade. Manitoba's economy depended mainly on farming, which persisted until drought and the Great Depression led to further diversification. [8]

Modern economy

Manitoba has a moderately strong economy based largely on natural resources. Its Gross Domestic Product was C$71  billion in 2017. [1] The province's economy grew 2.22% from 2015 to 2016. [1] The average individual income in Manitoba in 2016 was C$51,484.89 [1] [2] As of August 2019, Manitoba's unemployment rate was 5.6%. [9]

Manitoba's economy relies heavily on agriculture, tourism, energy, oil, mining, and forestry. Agriculture is vital and is found mostly in the southern half of the province, although grain farming occurs as far north as The Pas. Around 12% of Canadian farmland is located in Manitoba. [10] The most common agricultural activity is cattle farming (34.6%), followed by assorted grains (19.0%) and oilseed (7.9%). [11] Manitoba is the nation's largest producer of sunflower seed and dry beans, [12] and one of the leading sources of potatoes. Portage la Prairie is a major potato processing center, and is home to the McCain Foods and Simplot plants, which provide French fries for McDonald's, Wendy's, and other commercial chains. [13] Richardson Milling, one of the largest oat mills in the world, also has a plant in the municipality.

The Orange Wheat Blossom Midge ( Sitodiplosis mosellana ) is a major drag on wheat productivity in North America, and nowhere moreso than in the west of Canada, especially here and in Saskatchewan. [14] [15] Although originally from Europe, and upon first introduction to NA primarily a pest of the coasts, for reasons unknown S. mosellana largely disappeared from the east coast around 1925 and became more severe in this province and areas nearby. [14] Even more severe epidemics began in 1983 on the border with Saskatchewan, near the northernmost point of profitable wheat farming. [14] 1983 was a year of unusually high summer rain and this is believed to be the reason. [14]

Manitoba's largest employers are government and government-funded institutions, including crown corporations and services like hospitals and universities. Major private-sector employers are The Great-West Life Assurance Company, Cargill Ltd., and James Richardson and Sons Ltd. [16] Manitoba also has large manufacturing and tourism sectors. Churchill's Arctic wildlife is a major tourist attraction; the town is a world capital for polar bear and beluga whale watchers. [17] Manitoba is the only province with an Arctic deep-water seaport, which links to the shortest shipping route between North America, Europe and Asia. [18]

Key Industries

In 2015, Manitoba's economy had the following relative weighting by industry, as a percentage value of GDP [19]

Related Research Articles

Manitoba Province of Canada

Manitoba is a province of Canada at the longitudinal centre of the country. It is Canada's fifth-most populous province, with a population of 1,342,153 as of 2021, of widely varied landscape, from arctic tundra and the Hudson Bay coastline in the north to dense boreal forest, large freshwater lakes, and prairie grassland in the central and southern regions.

Saskatchewan Province of Canada

Saskatchewan is a prairie and boreal province in Western Canada, the middle of the three prairie provinces. It is bordered on the west by Alberta, on the north by the Northwest Territories, on the east by Manitoba, to the northeast by Nunavut, and on the south by the U.S. states of Montana and North Dakota. Saskatchewan and Alberta are the only landlocked provinces of Canada. As of Q1 2020, Saskatchewan's population was estimated at 1,181,987. Nearly 10% of Saskatchewan’s total area of 651,900 square kilometres (251,700 sq mi) is fresh water, which is composed mostly of rivers, reservoirs, and the province's 100,000 lakes. The absence of nearby moderating bodies of water results in severe winters throughout the province, on account of Saskatchewan's continental climate. Southern areas have very warm or hot summers. In winter, temperatures below −45 °C (−49 °F) are possible even in the south during extreme cold snaps.

Red River Colony 1811–1870 British colony in modern Canada

The Red River Colony was a colonization project set up in 1811 by Thomas Douglas, 5th Earl of Selkirk, on 300,000 square kilometres (120,000 sq mi) of land in British North America. This land was granted to Douglas by the Hudson's Bay Company in the Selkirk Concession. It included portions of Rupert's Land, or the watershed of Hudson Bay, bounded on the north by the line of 52° N latitude roughly from the Assiniboine River east to Lake Winnipegosis. It then formed a line of 52° 30′ N latitude from Lake Winnipegosis to Lake Winnipeg, and by the Winnipeg River, Lake of the Woods and Rainy River.

Pemmican Proclamation

In January 1814 Governor Miles MacDonell, appointed by Thomas Douglas, 5th Earl of Selkirk issued to the inhabitants of the Red River area a proclamation which became known as the Pemmican Proclamation. The proclamation was issued in attempt to stop the Métis people from exporting pemmican out of the Red River district. Cuthbert Grant, leader of the Métis, disregarded MacDonell's proclamation and continued the exportation of pemmican to the North West Company. The proclamation overall, became one of many areas of conflict between the Métis and the Red River settlers. Thomas Douglas, 5th Earl of Selkirk had sought interest in the Red River District, with the help of the Hudson's Bay Company as early as 1807. However, it was not until 1810 that the Hudson's Bay Company asked Lord Selkirk for his plans on settling in the interior of Canada.

Pallisers Triangle

Palliser's Triangle, or the Palliser Triangle, is a semi-arid steppe occupying a substantial portion of the Western Canadian Prairie Provinces, Saskatchewan, Alberta and Manitoba, within the Great Plains region. While initially determined to be unsuitable for crops outside of the fertile belt due to arid conditions and dry climate, expansionists questioned this assessment, leading to homesteading in the Triangle. Agriculture in the region has since suffered from frequent droughts and other such hindrances.

Canadian Wheat Board Defunct Canadian marketing board

The Canadian Wheat Board was a marketing board for wheat and barley in Western Canada. Established by the Parliament of Canada on 5 July 1935, its operation was governed by the Canadian Wheat Board Act as a mandatory producer marketing system for wheat and barley in Alberta, Saskatchewan, Manitoba, and a small part of British Columbia. It was illegal for any farmer in areas under the CWB's jurisdiction to sell their wheat and barley through any other channel than the CWB. Although often called a monopoly, it was actually a monopsony since it was the only buyer of wheat and barley. It was a marketing agency acting on behalf of Western Canadian farmers, passing all profits from its operation back to farmers. Its market power over wheat and barley marketing was referred to as the "Single Desk".

Economic history of Canada Aspect of history

Canadian historians until the 1960s tended to focus on the history of Canada's economy because of the far fewer political, economic, religious and military conflicts present in Canadian history than in other societies. Many of the most prominent English Canadian historians from this period were economic historians, such as Harold Innis, Donald Creighton and Arthur R. M. Lower.

Selkirk, Manitoba City in Manitoba, Canada

Selkirk is a city in the western Canadian province of Manitoba, located on the Red River about 22 kilometres (14 mi) northeast of the provincial capital Winnipeg. It has a population of 10,278 as of the 2016 census.

History of Alberta Aspect of history

What is today the province of Alberta, Canada, has a history and prehistory stretching back thousands of years. Recorded or written history begins with the arrival of Europeans. The rich soil was ideal for growing wheat and the vast prairie grasslands were great for raising cattle. The coming of the railroads in the late 19th century led a to large-scale migration of farmers and cattleman from Eastern Canada, the United States, and Europe. Wheat and cattle remain important, but the farms are much larger now and the rural population much smaller. Alberta has urbanized and its economic base has expanded from the export of wheat and cattle to include the export of petroleum as well.

Agriculture in Canada Overview of agriculture in Canada

Canada is one of the largest agricultural producers and exporters in the world. As with other developed nations, the proportion of the population agriculture employed and agricultural GDP as a percentage of the national GDP fell dramatically over the 20th century, but it remains an important element of the Canadian economy. A wide range of agriculture is practised in Canada, from sprawling wheat fields of the prairies to summer produce of the Okanagan valley. In the federal government, overview of Canadian agriculture is the responsibility of the Department of Agriculture and Agri-Food.

Selkirk Concession 1812 land grant issued by the Hudsons Bay Company

The Selkirk Concession was a land grant issued by the Hudson's Bay Company (HBC) to Thomas Douglas, 5th Earl of Selkirk, in 1812. The Hudson's Bay Company held a commercial monopoly in Rupert's Land, consisting of the entire Hudson Bay drainage basin. The Selkirk Concession, also known as Selkirk's Grant, included a large section of the southwest area of Rupert's Land, bounded: on the north by the line of 52° N latitude roughly from the Assiniboine River east to Lake Winnipegosis, then by the line of 52° 30′ N latitude from Lake Winnipegosis to Lake Winnipeg; on the east by the Winnipeg River, Lake of the Woods and Rainy River; on the west roughly by the current boundary between modern Saskatchewan and Manitoba; and on the south by the rise of land marking the extent of the Hudson Bay watershed. This covered portions of present-day southern Manitoba, northern Minnesota and eastern North Dakota, in addition to small parts of eastern Saskatchewan, northwestern Ontario and northeastern South Dakota.

Saskatchewan Wheat Pool Canadian grain handling company

The Saskatchewan Wheat Pool was a grain handling, agri-food processing and marketing company based in Regina, Saskatchewan. The Pool created a network of marketing alliances in North America and internationally which made it the largest agricultural grain handling operation in the province of Saskatchewan. Before becoming Viterra, SWP had operated 276 retail outlets and more than 100 grain handling and marketing centres. The Saskatchewan Wheat Pool operated under the name of AgPro in the prairie provinces of Manitoba and Alberta. Begun as a co-operative in the 1920s, the company became a publicly traded corporation in the 1990s. After the 2007 takeover of its competitor, Winnipeg-based Agricore United, the Pool name was retired. The merged company operated under the name Viterra until 2013, when it was acquired by Glencore International.

History of Saskatchewan

History of Saskatchewan encompasses the study of past human events and activities of the Canadian province of Saskatchewan, the middle of Canada's three prairie provinces. Archaeological studies give some clues as to the history and lifestyles of the Palaeo-Indian, Taltheilei, and Shield Archaic Traditions who were the first occupants of the prehistoric era of this geographical area. They evolved into the history of the first nations people who kept their history alive in oral tradition. The First Nation bands that were a part of this area were the Chipewyan, Cree, Saulteaux, Assiniboine, Atsina, and Sioux.

History of Manitoba History of Canadian province of Manitoba

The history of Manitoba covers the period from the arrival of Paleo-Indians thousands of years ago to the present day. When European fur traders first travelled to the area present-day Manitoba, they developed trade networks with several First Nations. European fur traders in the area during the late-17th century, with the French under Pierre Gaultier de Varennes, sieur de La Vérendrye set up several trading post forts. In 1670, Britain declared sovereignty over the watershed of Hudson's Bay, known as Rupert's Land; with the Hudson's Bay Company granted a commercial monopoly over the territory.

Agriculture in Saskatchewan Agriculture of the Province Saskatchewan in Canada

Agriculture in Saskatchewan is the production of various food, feed, or fiber commodities to fulfill domestic and international human and animal sustenance needs. The newest agricultural economy to be developed in renewable biofuel production or agricultural biomass which is marketed as ethanol or biodiesel. Plant cultivation and livestock production have abandoned subsistence agricultural practices in favor of intensive technological farming resulting in cash crops which contribute to the economy of Saskatchewan. The particular commodity produced is dependent upon its particular biogeography or ecozone of Geography of Saskatchewan. Agricultural techniques and activities have evolved over the years. The first nation nomadic hunter-gatherer lifestyle and the early immigrant ox and plow farmer proving up on his quarter section of land in no way resemble the present farmer operating huge amounts of land or livestock with their attendant technological mechanization. Challenges to the future of Saskatchewan agriculture include developing sustainable water management strategies for a cyclical drought prone climate in south western Saskatchewan, updating dryland farming techniques, stabilizing organic definitions or protocols and the decision to grow, or not to grow genetically modified foods. Domestically and internationally, some commodities have faced increased scrutiny from disease and the ensuing marketing issues.

The economy of Saskatchewan has been associated with agriculture resulting in the moniker "Bread Basket of Canada" and Bread Basket of the World. According to the Government of Saskatchewan, approximately 95% of all items produced in Saskatchewan, depend on the basic resources available within the province. Various grains, livestock, oil and gas, potash, uranium, wood and their spin off industries fuel the economy.

Western Canada Region of Canada

Western Canada, also referred to as the Western provinces, Canadian West or the Western provinces of Canada, and commonly known within Canada as the West, is a Canadian region that includes the four western provinces just north of the Canada-United States border, namely British Columbia, Alberta, Saskatchewan and Manitoba. The people of the region are often referred to as "Western Canadians" or "Westerners", and though diverse from province to province are largely seen as being collectively distinct from other Canadians along cultural, linguistic, socioeconomic, geographic, and political lines. They account for approximately 32% of Canada's total population.

Agriculture in Upper Canada Agriculture in Upper Canada (now Ontario)

Upper Canada had few exports with which to pay for its imported manufactured needs. For those who settled in rural areas, debt could be paid off only through the sale of wheat and flour. However, for much of the 1820s, the price of wheat went through cycles of boom and bust depending upon the British markets that ultimately provided the credit upon which the farmer lived.

<i>Sitodiplosis mosellana</i> Species of fly

Sitodiplosis mosellana, the wheat midge or orange wheat blossom midge, is a species of fly in the family Cecidomyiidae. It is found in the Holarctic, where it is a significant pest of wheat, triticale and rye.

History of agriculture in Canada Archaeological findings

In the 16th century Samuel de Champlain and Gabriel Sagard recorded that the Iroquois and Huron cultivated the soil for maize or "Indian corn". Maize, potatoes, beans (phaseolus), squash (Cucurbita) and the sunflower were grown throughout agricultural lands in North America by the 16th century. As early as 2300 BC evidence of squash was introduced to the northeastern woodlands region. Archaeological findings from 500 AD have shown corn cultivation in southern Ontario.

References

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  2. 1 2 Population estimates on July 1st, by age and sex [Retrieved 2018-09-28].
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  5. Economy: Manitoba Imports [Retrieved 2018-09-28].
  6. 1 2 3 Friesen, Gerald.The Canadian prairies: a history.Toronto:University of Toronto Press;1987. ISBN   0-8020-6648-8.p. 22–47, 66, 183–184.
  7. Morton, William L.Lord Selkirk Settlers.Manitoba Pageant.April 1962;7(3):n.p.
  8. Easterbrook, William Thomas; Aitken, Hugh GJ. Canadian economic history .Toronto:University of Toronto Press;1988[Retrieved 2009-11-07].p. 493–494.
  9. Labour force characteristics by province, monthly, seasonally adjusted.
  10. Statistics Canada. Total farm area, land tenure and land in crops, by province (Census of Agriculture, 1986 to 2006) (Manitoba) [ archived 2011-01-15;Retrieved 2009-10-28].
  11. Statistics Canada. Statcan Summary Table of Wheats and Grains by Province [ archived 2011-01-15;Retrieved 2007-08-07].
  12. University of Manitoba. A Century of Agriculture [ archived 2008-09-10;Retrieved 2009-10-28].
  13. New Simplot french fry plant in Canada expected to come on line later this year.Quick Frozen Foods International.2002-07-01;2(3):3.
  14. 1 2 3 4
  15. "Sitodiplosis mosellana (orange wheat blossom midge)". CABI (Centre for Agriculture and Bioscience International). 2021-11-17. Retrieved 2022-06-26.
  16. Top 100 Companies Survey 2000.Manitoba Business Magazine.July 2000;26.
  17. Shackley, Myra L.Wildlife tourism.International Thomson Business Press;1996. ISBN   0-415-11539-6.p. xviii.
  18. Hudson Bay Port Company. Port of Churchill [ archived 2009-09-26;Retrieved 2009-10-28].
  19. Economy: Manitoba GDP by Industry (Basic Prices) [Retrieved 2018-09-28].

Further reading