Canadian Industry and Profiteering during WWI. Before the War, Canadian factories produced goods solely for the Canadian market. Most exports were raw.

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Presentation transcript:

Canadian Industry and Profiteering during WWI

Before the War, Canadian factories produced goods solely for the Canadian market. Most exports were raw materials, to be processed elsewhere. When the war started business people saw new opportunities. Canadian companies started to make armaments for the Allied forces.

Steel companies turned out shell cases. Others made fuses and explosives. By 1917 Canada was making one- third of the shells used by Britain during the war. The increased demand for nickel and copper in the northern mines further boosted the economy.

Canadians made guns, airplane parts, submarines, and ships. Aluminum, nickel, railway tracks and timber were all sent to Europe. Uniforms equipment, and medical supplies were made for the Canadian army.

Everyone chipped in to help. City workers gave up free time to work on farms. Women entered the workforce. Children created victory gardens and bought "victory stamps". All this activity created great opportunity for profit.

Profiteering Most Business people were content to take a fair mark-up, but some tried to "corner the market" on a product. A few engaged in what is known as "Profiteering" They would not sell until they could get the best price. Others used cheap materials to make more money. The boots the first Canadian troops got wore out in less than two months. Canned meat for soldiers sometimes came from diseased animals. Some industrialists used bribery to get government contracts

The Shell committee received $170 million in government contracts to make artillery shells. By 1915 word of profiteering at Shell had leaked out. Shell was only able to deliver $5.5 million worth of shells, and even those deliveries were late.