The identification of the Allan family with the shipping interests of the St. Lawrence dated back to about 1825, when Captain Alexander Allan sailed up the river in the brig Favorite from Glasgow. There were no wharves then. The vessel was assisted up the St. Mary’s current by oxen. The cargo was discharged on the beach, over long planks.
Sir Hugh Allan was the second son of Captain Alexander, and was born September 29, 1810, in Saltcoats, County Ayr, Scotland. Sir Hugh Allan was in his sixteenth year, when on the 12th of April, 1826, he sailed from Greenock for Montreal on the brig Favorite, commanded by his father, and on which his eldest brother was second officer. They arrived in Montreal on the 21st of May. Hugh Allan entered the employ of William Kerr & Company, and afterward travelled for some time in the United States. He then visited Scotland and a year later returned to Montreal, where he secured a position with J. Millar & Company, shipbuilders and shippers. So excellent was his service in that connection that after four years he was admitted to partnership and following the death of Mr. Millar in 1838 the business was conducted by the firm of Edmonstone & Allan, ship agents, shipbuilders, importers and general merchants. In 1846, Andrew Allan, a younger brother of Hugh’s, was taken into the firm. It owned a fleet of fast sailing vessels of about 350 tons register, full-rigged ships which, with ice-blocks round their bows, pushed their way through the ice, so that sometimes they would arrive in port on the 15th of April. In 1853 Hugh Allan, who was a man of great tenacity of purpose, and at the same time of remarkable foresight, saw that the time had come for the building of iron ships for the St. Lawrence trade. Besides, there was the consideration that they would run to Portland in the winter time, and connect with Montreal by rail. He enlisted the support of several wealthy men, including William Dow and Robert Anderson, of Montreal, and formed the Montreal Ocean Steamship Company. The Canadian and Indian were the first two boats built by the company. The boats cost about two hundred and fifty thousand dollars each and had a speed of eleven knots. They were wonders at the time and made a great impression, as the people had not been accustomed to see iron ships.
It happened that about this time the Crimean war broke out, and the government was at its wits’ end to provide transports. The Allans went into the business and while the war lasted made large profits.
The first ocean steamship, the Genova, reached Quebec in 1853 and proceeded to Montreal, where there was great rejoicing. She was an iron boat of eight hundred tons and was succeeded by the Cleopatra and the Sarah Sands. Newer and larger vessels were built in the succeeding year and what was deemed experimental at the start became fixed features of the new navigation, which was dangerous, owing to so many sunken reefs in the St. Lawrence and the poor lighting of the river. The Canadian government made a contract with Hugh Allan for carrying the mails, paying an annual subsidy of one hundred and twenty thousand dollars. The Anglo-Saxon, a new boat, ran from Quebec to Liverpool in nine days on one occasion. This was thought to be wonderful, as the people had been accustomed to a voyage of forty days on the old sailing vessels. At that time the grain carrying charge was thirty cents per bushel.
The requirements of the service in 1858 demanded more accommodation, and the Allan brothers determined on a weekly service. Larger and faster boats were introduced. The government paid subsidies to the new service totaling four hundred and sixteen thousand dollars per annum. Year by year the Allans launched new boats, always bigger and faster, though speed was never the chief consideration with the company. In 1861 they had a fleet of over twenty vessels, but a sinister fortune befell the company in the first ten years of its existence. Eight ships were lost in as many years. The Indian, the Hungarian, a second Canadian, the North Briton, the Anglo-Saxon, the Norwegian, the Bohemian, all became total wrecks. The river was badly lighted, the tides did not run true, the pilots were incompetent and the compass deviated owing to some strange local attraction due, it was said, to mineral deposits in the gulf. Anyway, disaster followed disaster, and, as was said at the time, any other man than Mr. Allan would have given up in despair. But that gentleman had something of the firmness of his native granite in his composition and he never wavered. Difficulties in time were overcome, the Allans began to prosper and from this on their boats were singularly free from accidents.
To show, however, how little even the most perspicacious can see in advance of their time, it may be stated that at the banquet which the citizens tendered Hugh Allan in 1850, he said that ships of one thousand seven hundred tons were the most suitable for the Montreal trade. He lived to see his boats grow to five thousand five hundred tons. The line prospered; the number of boats was constantly increased to meet the need; the Northwest was opened up; and the Allan boats brought in many thousands of immigrants. The building of the Parisian in 1881 was supposed to be about the last word in shipbuilding. She was far in advance of anything to be seen on the route. Today she is, by comparison with the leviathans of the route, almost as antique as the old Favorite was when steamships came in.
As prosperity came to him in one direction, Sir Hugh Allan extended his efforts into other fields. He not only kept abreast with the times but was ever in the vanguard of progress. He became president of the Montreal Telegraph Company, of the Canadian Navigation Company, the Merchants Bank of Canada, and the Lake Memphremagog Navigation Company. He was also interested in mining as president of the Mulgrave Gold Mining Company and his activities extended to the presidency of the Montreal Warehousing Company, the Vermont & Canada Marble Company, and many other business enterprises of importance. Indeed, no citizen of Canada has deserved popular recognition in larger measure than Sir Hugh, and Queen Victoria acknowledged the value of his service to his country by knighting him with her own hand in 1871.
In 1877 he decided to associate his name with the Canadian Pacific Railway enterprise. He, in fact, formed the first syndicate to build it. The fall of the Macdonald government defeated his plan.
On the 13th of September, 1844, Sir Hugh was married to Miss Matilda Smith, the second daughter of John Smith, one of the leading merchants of Montreal. They became parents of nine daughters and four sons. Sir Hugh died in Edinburgh while on a visit to Scotland on the 9th of December, 1882, having passed the seventy-second milestone on life’s journey. His remains were brought to Montreal in one of his own vessels, and laid to rest in Mount Royal cemetery. Well merited encomiums were passed upon him and high honors awaited him during his active life. He was one who pushed forward the wheels of progress. Looking into the future he saw something of the greatness in store for Canada and became a factor in the fulfillment of the progress which he believed possible for a country having the natural advantages here offered. He builded perhaps even better than he knew, for his work continues today, remaining an important element in Canada’s enterprise, activity and greatness.