Minister-level discussions between India and Canada to resume from May 25 amid ongoing free trade agreement negotiations

Commerce and Industry Minister Piyush Goyal will begin a three-day visit to Canada from May 25, accompanied by a business delegation and negotiators, as India and Canada continue discussions on the proposed Comprehensive Economic Partnership Agreement (CEPA).

The visit comes after both countries concluded the second round of negotiations on May 8 and are preparing for the next phase of discussions scheduled for July in Ottawa.

India and Canada continue CEPA negotiations

According to officials, the upcoming visit is intended to accelerate trade talks related to the proposed CEPA by December. A commerce ministry official stated that the visit would not be considered the third round of negotiations, but rather an extension of the second round held earlier.

During the negotiations in New Delhi, both countries discussed several areas including trade in goods and services, intellectual property, rules of origin, sanitary and phytosanitary measures, and technical barriers to trade.

The visit will mark the first minister-level discussions between India and Canada since the signing of the terms of reference for the free-trade agreement in March. Officials indicated that the minister is expected to review the progress achieved in the discussions so far.

Bilateral trade target set at $50 billion by 2030

India and Canada recorded bilateral trade of $7.96 billion in FY26, with both countries aiming to increase the figure to $50 billion by 2030.

India’s exports to Canada include drugs and pharmaceuticals, iron and steel, seafood, cotton garments, electronic goods, and chemicals. India registered a trade surplus of $1.39 billion with Canada during FY26.

Canada, which is home to 425,000 Indian students, is also a significant market for India’s services exports, including telecommunications, computer services, information technology services, and other business services.

Trade talks resume after earlier pause

India-Canada trade discussions resumed in March 2022 after a gap of nearly a decade. However, negotiations were paused in September 2023 following allegations made by former Canadian Prime Minister Justin Trudeau regarding the involvement of the Indian government in the assassination of Hardeep Singh Nijjar, a Canada-based Khalistan separatist designated as a terrorist by New Delhi. India had denied the allegations.

FIEO highlights potential opportunities for exporters

Federation of Indian Export Organisations (FIEO) President S C Ralhan stated that the minister’s visit reflects efforts by both countries to rebuild economic engagement and continue discussions on the proposed CEPA.

Ralhan said the proposed agreement could create opportunities for Indian exporters, particularly MSMEs, through improved market access, smoother trade procedures, and increased collaboration in technology and innovation-driven sectors.

He also noted that stronger India-Canada trade ties could support economic resilience and growth amid evolving global trade dynamics and supply chain realignments.