Foundation and Royal Decree
The history of Ostersund is unique in that the city did not grow organically from an ancient settlement but was created as a result of state planning. It was founded on 23 October 1786 by the Swedish King Gustav III. The monarch sought to strengthen the Crown's influence in the province of Jämtland and create an official administrative centre to control this territory, which was distant from the capital.
Key Factors of Development
The development of the city and the choice of its location were determined by a combination of geographical and political reasons:
- Struggle for Trade Monopoly: Before the city was founded, local residents (farmer-traders) engaged in active commercial activities, often trading directly with Norway and avoiding Swedish tariffs. Ostersund was created to centralise these flows and direct taxes to the treasury.
- Geography and Neighbourhood: The city was laid out on the shores of Lake Storsjön, opposite the island of Frösön. Frösön had been the historical, cultural, and military heart of Jämtland for centuries (home to the ancient Thing — the people's assembly). Ostersund was intended to take over this role, becoming the new centre of attraction.
- Incentives: To encourage people to move to the new city, the authorities granted the first settlers tax exemptions for 20 years, as well as freedom of religion and trade.
Early Cultural and Economic Features
Despite royal support, Ostersund grew extremely slowly and remained a tiny settlement with wooden buildings for a long time. The city's economy came alive mainly during major seasonal events. A key moment was the relocation of the ancient winter fair, Gregoriemarknaden, to the city, the roots of which go back to the Viking Age. This allowed the new city to integrate into the age-old traditions of the region and gradually become the main trading hub of the province.