Hudson’s Bay Company was chartered on May 2, 1670. It began as a fur trading business as a
result of the increasing demand in beaver fur, and it would later become one of the largest fur
trade companies in the world. As of today, Hudson’s Bay Company is a private business owned
by a holding company. The company was founded when French traders Médard Chouart des
Groseilliers and his brother-in-law, Pierre-Esprit Radisson, after being rejected Quebec and
French support, sought patronage of England by proposing a trading route that reached the
interior part of the continent. This route eventually gave traders easy access to fur resources
from the local indigenous people. After being persuaded by Prince Rupert of the idea of a fur
trade and its economic potential of that region, King Charles II agreed to finance a voyage to
Hudson Bay.
The first voyage happened on June 3, 1688 with Radisson setting out on the Eaglet and des
Groseilliers on the Nonsuch. The Eaglet was damaged by a storm, however, the Nonsuch
returned a year later with a cargo of beaver pelts. Convinced by this return, later on May 2,
1760, King Charles II granted a Royal Charter to Prince Rupert and his “Company of
Adventurers of England trading into Hudson’s Bay,” hence the Hudson’s Bay Company was
officially established. This royal charter gave the company the control of trade and ownership of
all lands surrounded by the water flowing into the Bay, which was later named Rupert’s Land,
this totaled to be more than 3 million square miles of land. This territory ultimately became
provinces of Manitoba, Saskatchewan, southern Alberta, parts of British Columbia, northwest-
Nunavut Territory, northern Ontario, and northern Quebec. It also covered regions of present-
day Montana, Minnesota, and North and South Dakota. In fact, many parts of Rupert’s Land
later became known as “Métis Homeland” by the Métis people.
As a result of the fur trade, Indigenous people’s lifestyle and economy has changed; many
came to rely on European manufactured goods and food for survival, and led to an increased
competition among Indigenous peoples for European goods. Previously, Indigenous traders
mostly acted as the middlemen, as they brought furs from communities hidden further inland to
trading posts. Later more indigenous people moved away from their territory in search of fur
animals in order to obtain a better trade position.
Among the goods traded, beaver pelts were the most valuable to the settlers, and they were
considered the highest quality after trapping during fall and winter months. The indigenous
traders traded beaver pelts for metal goods like guns, also textiles and food. They had a
currency of the fur trade which was the Made Beaver coin, this was introduced in order to
standardize trade; one beaver coin was equivalent to one prime beaver skin.
Suggested Sources:
Arthur J. Ray, “Hudson’s Bay Company,” The Canadian Encyclopedia, Nathan Coschi, Leanna Fong, Sasha Yusufali, Nathan Baker, and Jessica Poulin (eds.). Published online, 2 April 2009; Last edited, 19 January 2013. Accessed online, 6 March 2025, https://www.thecanadianencyclopedia.ca/en/article/hudsons-bay-company
Harris, Carolyn, “Rupert’s Land,” Canada’s History. Published online, 26 October 2016. Accessed online, 6 March 2025, https://www.canadashistory.ca/explore/exploration/rupert-s-land
“What is Rupert’s Land?” Rupert’s Land Institute. Accessed online, 6 March 2025, https://www.rupertsland.org/about/what-is-ruperts-land/
“The Fur Trade,” The Canadian Encyclopedia, Accessed online 6 March 2025, https://www.thecanadianencyclopedia.ca/en/timeline/the-fur-trade.
“Hudson’s Bay Company Beginnings,” CBC History, Accessed online, 6 March 2025, https://www.cbc.ca/history/EPCONTENTSE1EP6CH1PA5LE.html
Related Contents:
Métis People
Other Materials:
Film about Métis struggles with monopoly of HBC: https://www.nfb.ca/film/mistress_madeleine/
Synopsis (NFB): Part of the Daughters of the Country series, this film, set in the 1850s, unfolds against the backdrop of the Hudson’s Bay Company’s monopoly of the fur trade. In protest, some Métis engage in trade with the Americans. Madeleine, the Métis common-law wife of a Hudson’s Bay Company clerk, is torn between loyalty to her husband and loyalty to her brother, a freetrader. Even more shattering, a change in company policy destroys Madeleine’s happy and secure life, forcing her to re-evaluate her identity.
