1940: Saskatchewan

Canada's dust-bowl province of Saskatchewan enjoyed an exceptionally prosperous year in 1940. For the second time in two years it reaped a large wheat harvest. This year's crop was aided materially by a new government wheat exchange plan under which the government distributed a bushel of pure drought-resisting seed wheat in exchange for a bushel of ordinary commercial grade seed. In all some 150,000 bushels of special seed wheat were distributed under this plan at relatively slight cost to the province.

Saskatchewan dairymen and hog-raisers benefited by the German occupation of Denmark and Norway which cut off British dairy supplies and bacon from the Scandinavian states. Largely as a result of this situation, Britain concluded an agreement with Canada absorbing all of Canada's surplus bacon.

With the return of agricultural prosperity, Saskatchewan for the first time in years found it unnecessary to ask the Dominion Government for the $2,000,000 subsidy which has regularly been granted to bolster the province's finances, although an additional grant of $1,500,000, which has been obtained in each of the last three years, was received. Budget estimates for 1940-1941 forecast a rise in revenues of $1,264,000. The deficit for the year ending April 1, 1941, was estimated at only $122,610 — insignificant as compared with recent years. The province's public debt was $214,000,000 at the end of the 1939-1940 fiscal year, a rise of $15,000,000 for the year.

The Liberal party carried Saskatchewan in the Dominion elections of March 26, but Mrs. Dorise W. Neilson of the Unity party, defeated a veteran Liberal in North Battleford to become the only woman in the new Canadian Parliament. Mrs. Neilson had been an active member of the Cooperative Commonwealth Federation until 1939, but had resigned and thrown her efforts into the new federation of left-wing groups which brought her election to Parliament. W. D. Herridge, son-in-law of former Prime Minister Bennett and leader of the New Democracy party, was defeated in Kindersley.

It is expected that the provincial legislature at its next session in 1941 will pass a bill fixing the price of gasoline. Saskatchewan had a gasoline price investigation several years ago, and it was found that some action was desirable. Gasoline and oil are a large item in farm costs, and the use of gasoline for farming is much heavier than for business or pleasure driving.

The Saskatchewan government announced on May 3 that it was forced to discontinue allowances to government employees who enlisted after May 1. The allowances had been making up the difference between service pay and civil service pay.