Real works of art cannot be easily translated into commodities that pay for themselves. They are gifts. To say that only that should survive which can pay for itself … is to confuse art and entertainment and to doom us to the destroying monotony of market forces.

Canadian poet Rosemary Sullivan

In 1929, the Royal Commission on Broadcasting (the Aird Commission) noted it was in the "the national interest" to ensure that Canada's cultural identity is reflected in the radio programming available to Canadians. This led to the creation of what was to become the Canadian Broadcasting Corporation (CBC), and marked the beginning of the "great cultural experiment" to preserve Canada's unique cultural identity. This cultural experiment would evolve over time to touch upon many of Canada's cultural activities - broadcasting, music, film and video production, publishing and, more recently, multi-media.

However, throughout it all, Canada's cultural policies have been at the centre of controversy. Some, like the C.D. Howe Institute, argue that a freer market for cultural products will provide incentives for Canadian culture producers to create and profit from their work. Others, like Canadian poet Rosemary Sullivan, believe that government grants for small presses, local theatres and new Canadian artists are essential to nurturing Canadian voices and preserving Canadian stories.

The pressures of global trade and new technologies have exacerbated the tensions, but in many ways, they are just new twists on the continuing debate about the vitality of Canadian culture.

What is Canada's Cultural Policy?

Canada's "cultural policy" is actually the sum of various policy initiatives created by legislation, regulations, program support and tax measures.

The main government body responsible for Canadian cultural policies is the Department of Canadian Heritage. Heritage's mission is to promote:

• the creation and dissemination of diverse Canadian cultural works, stories and symbols
  
  
• access to and participation in Canada's cultural life
  
  
• connections among Canadians and deeper understanding across diverse communities
  
  
• understanding of the rights and responsibilities of shared citizenship and opportunities to participate in Canada's civic life

Canadian Cultural Institutions

Legislation passed by the federal government has created a number of Canadian national cultural institutions, including the CBC, the Canada Council for the Arts, the National Film Board, and Telefilm Canada.

The CBC's mandate requires the national broadcaster to air primarily Canadian productions.

Canadian Content and Ownership Regulations

Canadian Content regulations (Cancon) require television and radio stations to play a certain amount of domestic programming. The Cancon rules are established under the Broadcasting Act and enforced by the Canadian Radio-television and Telecommunications Commission (CRTC) as a condition of licensing for broadcasters. For more information on Cancon, see Canadian Content Rules in the menu below.

The CRTC also enforces provisions in the Broadcasting Act and Telecommunications Act which restrict foreign ownership in broadcasting and telecommunications enterprises to 20 per cent as a condition of licensing.

Foreign investment rules under the Investment Canada Act prohibit foreign acquisitions of Canadian publishing companies; and also restrict foreign companies from distributing films unless they hold worldwide distribution rights or have invested at least 50 per cent of the production costs.

Official Languages Policy

Following the work of the Royal Commission on Bilingualism and Biculturalism (1963-1970), the Official Languages Act was passed in 1969. The Act mandates the use of both French and English in all federal institutions, and commits the government to "support the development of English and French linguistic minority communities and generally advance the equality of status and use of the English and French languages within Canadian society."

Program Support

Government programs are a framework of grants and contributions to support Canada's cultural industries through agencies such as the Canada Council, Telefilm or the National Film Board. Specific programs, such as the Feature Film Fund or the Sound Recording Development Program, are also established to meet the special needs of Canada's various cultural industries.

For more information, see Sources of Funding for Canadian Cultural Products in the sidebar.

Taxation Measures

Tax credit incentives to corporations have been put in place to support Canada's cultural industries.

The Canadian Film or Video Production Tax Credit provides a fully refundable tax credit of up to 12 per cent of the cost of production to eligible Canadian corporations. Section 19 of the Income Tax Act allows Canadian advertisers to claim advertising expenses placed in periodicals which are at least 75 per cent Canadian owned, or on television stations which are at least 80 per cent Canadian owned.