NEW DELHI: India and Canada are working to finalise a visit by Canadian Prime Minister Mark Carney to New Delhi in March, as both sides seek to accelerate negotiations on a bilateral trade deal.
The visit would mark the next phase in warming ties between the two countries, which have moved to restart talks on a Comprehensive Economic Partnership Agreement (CEPA) after a diplomatic impasse.
New Delhi and Ottawa are in talks to finalise the terms of reference for the CEPA negotiations, which aim to double bilateral trade to $50 billion by 2030, sources said.
The push for a CEPA has gained urgency amid rising trade tensions with the United States. India is currently subject to 50% US tariffs on certain goods, while Canada faces 35% tariffs under measures imposed during the Trump administration. Against this backdrop, New Delhi has sought to diversify export markets and expand trade agreements beyond the US.
The two sides are also looking to deepen cooperation in the civilian nuclear sector, and India is exploring increased investment from Canadian pension funds. Carney’s remarks at the World Economic Forum (WEF) in Davos are widely seen as Canada’s shifting strategic posture. He said Canada was pursuing new trade and security partnerships with countries including India, Qatar, Thailand and the Philippines, as well as with regional blocs such as Mercosur and ASEAN.
India-Canada ties have substantially improved since Carney became prime minister last year. He met Prime Minister Narendra Modi in Johannesburg in November on the sidelines of the G20 Summit, where both sides agreed to initiate high-ambition CEPA talks.
The timing of the renewed engagement comes as India finalises other major trade agreements. New Delhi and the European Union are set to announce the conclusion of their trade negotiations on January 27, alongside a new security and defence partnership. India also recently signed a free-trade agreement with Oman and continues to pursue additional FTAs.
The bilateral push with Canada is being reinforced by broader economic diplomacy. Canada’s Energy Minister Tim Hodgson is currently in India to participate in India Energy Week in Goa, reflecting growing cooperation in energy and investment ties.