Canada and India Forge New Trade Path with $30 Billion Partnership

Canada is deepening trade ties with India. This follows a high-level ministerial visit to New Delhi. The goal is to boost non-US exports and build economic resilience.

International Trade Minister Maninder Sidhu concluded his trip on Friday. He met with Indian counterpart Piyush Goyal. The talks focused on strengthening a partnership now worth over CA$30 billion annually.

Strategic Shift Towards Indo-Pacific Markets

The push is part of a broader Canadian strategy. Prime Minister Mark Carney aims for CA$300 billion in non-US exports within a decade. According to Reuters, India is central to this plan as Canada’s third-largest trading partner in the Indo-Pacific.

Minister Sidhu emphasized the importance of face-to-face engagement. He stated that being present is critical for building lasting partnerships. This visit helped maintain the positive momentum in the bilateral relationship.

Key Sectors and Future Collaborations

Several industries are poised for growth. Clean technology, agriculture, and aerospace lead the potential collaborations. Canada is also positioning itself as a reliable energy partner for India’s growing needs.

India’s demand for energy is projected to surge. Sidhu noted Canada can supply clean energy like LNG and nuclear power. This aligns with India’s own growth and sustainability targets.

Thought you’d like to know-

What is the current value of trade between Canada and India?

Bilateral trade surpassed CA$30 billion in 2024. This makes India Canada’s third-largest trading partner in the crucial Indo-Pacific region. The relationship shows significant potential for further expansion.

Which sectors are the two countries focusing on?

Key areas include clean technology, agriculture, and aerospace. Canada is also promoting itself as a stable supplier of clean energy, including liquefied natural gas. These sectors align with India’s massive growth requirements.

Is a formal trade deal being negotiated?

Not immediately. Minister Sidhu described this visit as a “scoping” exercise to determine the path forward. The immediate focus is on building momentum through ministerial exchanges and business delegation visits.

How have diplomatic relations improved?

Relations have steadily repaired since a low point in 2023. The meeting between Prime Ministers Carney and Modi at the G7 summit in June was a key breakthrough. This has led to a series of high-level ministerial visits.

What happens next in this trade relationship?

Indian Commerce Minister Piyush Goyal will lead a trade delegation to Canada early next year. This reciprocal visit is intended to build on the momentum generated by Sidhu’s trip and explore concrete commercial opportunities.