From the Frontier Centre for Public Policy

By Scott McGregor

Weak oversight and fragmented enforcement are enabling criminal networks to undermine Canada’s economy and security, requiring a national-security-level response to dismantle these systems

A massive drug bust reveals how organized crime has turned Canada into a source of illicit narcotics production

Canada is no longer just a victim of the global drug trade—it’s becoming a source. The country’s growing role in narcotics production exposes deep systemic weaknesses in oversight and enforcement that are allowing organized crime to take root and threaten our economy and security.

Police in Edmonton recently seized more than 60,000 opium poppy plants from a northeast property, one of the largest domestic narcotics cultivation operations in Canadian history. It’s part of a growing pattern of domestic production once thought limited to other regions of the world.

This wasn’t a small experiment; it was proof that organized crime now feels confident operating inside Canada.

Transnational crime groups don’t gamble on crops of this scale unless they know their systems are solid. You don’t plant 60,000 poppies without confidence in your logistics, your financing and your buyers. The ability to cultivate, harvest and quietly move that volume of product points to a level of organization that should deeply concern policymakers. An operation like this needs more than a field; it reflects the convergence of agriculture, organized crime and money laundering within Canada’s borders.

The uncomfortable truth is that Canada has become a source country for illicit narcotics rather than merely a consumer or transit point. Fentanyl precursors (the chemical ingredients used to make the synthetic opioid) arrive from abroad, are synthesized domestically and are exported south into the United States. Now, with opium cultivation joining the picture, that same capability is extending to traditional narcotics production.

Criminal networks exploit weak regulatory oversight, land-use gaps and fragmented enforcement, often allowing them to operate in plain sight. These groups are not only producing narcotics but are also embedding themselves within legitimate economic systems.

This isn’t just crime; it’s the slow undermining of Canada’s legitimate economy. Illicit capital flows can distort real estate markets, agricultural valuations and financial transparency. The result is a slow erosion of lawful commerce, replaced by parallel economies that profit from addiction, money laundering and corruption. Those forces don’t just damage national stability—they drive up housing costs, strain health care and undermine trust in Canada’s institutions.

Canada’s enforcement response remains largely reactive, with prosecutions risk-averse and sentencing inadequate as a deterrent. At the same time, threat networks operate with impunity and move seamlessly across the supply chain.

The Edmonton seizure should therefore be read as more than a local success story. It is evidence that criminal enterprise now operates with strategic depth inside Canada. The same confidence that sustains fentanyl synthesis and cocaine importation is now manifesting in agricultural narcotics production. This evolution elevates Canada from passive victim to active threat within the global illicit economy.

Reversing this dynamic requires a fundamental shift in thinking. Organized crime is a matter of national security. That means going beyond raids and arrests toward strategic disruption: tracking illicit finance, dismantling logistical networks that enable these operations and forging robust intelligence partnerships across jurisdictions and agencies.

It’s not about symptoms; it’s about knocking down the systems that sustain this criminal enterprise operating inside Canada.

If we keep seeing narcotics enforcement as a public safety issue instead of a warning of systemic corruption, Canada’s transformation into a threat nation will be complete. Not because of what we import but because of what we now produce.

Scott A. McGregor is a senior fellow with the Frontier Centre for Public Policy and managing partner of Close Hold Intelligence Consulting Ltd.

From the Frontier Centre for Public Policy

By Tom Flanagan

Ottawa’s refusal to test Indigenous claims in court is fuelling a billion-dollar wave of settlements and legal copycats

First Nations led the charge. Now the Métis are catching up. Ottawa’s legal surrender strategy could make payouts the new national policy.

Indigenous class-action litigation seeking compensation for historical grievances began in earnest with claims related to Indian Residential Schools. The federal government eventually chose negotiation over litigation, settling for about $5-billion with “survivors.” Then–prime minister Stephen Harper hoped this would close the chapter, but it opened the floodgates instead. Class actions have followed ever since.

By 2023, the federal government had paid or committed $69.6-billion in 2023 dollars to settle these claims. What began with residential schools expanded into day schools, boarding homes, the “Sixties Scoop,” unsafe drinking water, and foster-care settlements.

Most involved status Indians. Métis claims had generally been unsuccessful—until now.

Download the Essay. (4 pages)

Tom Flanagan is professor emeritus of political science at the University of Calgary and a senior fellow of the Frontier Centre for Public Policy.