New Delhi: India and Canada are intensifying negotiations on a proposed Comprehensive Economic Partnership Agreement (CEPA), with both countries seeking to conclude a deal by the end of 2026. The latest push comes amid renewed efforts to strengthen bilateral economic relations and expand trade and investment.
Canadian International Trade Minister Maninder Sidhu met India’s Commerce and Industry Minister Piyush Goyal in New Delhi this week to review progress following the fifth round of negotiations, held in Ottawa from October 5 to 9.
According to a statement from Global Affairs Canada, the ministers discussed the progress achieved so far and the next steps towards a mutually beneficial agreement. However, officials have not disclosed the outstanding issues or announced a date for the next formal negotiating round.
The meeting coincided with a major Canadian business delegation visiting India from October 12 to 17. The Team Canada Trade Mission has brought nearly 300 delegates to Mumbai and Bengaluru to explore commercial partnerships and investment opportunities.
Described by Canada as its largest trade mission to India in more than three decades, the initiative is focusing on sectors including energy, critical minerals, aerospace, artificial intelligence and advanced manufacturing.
$70 Billion Trade Target by 2030
Canada aims to increase annual bilateral trade with India to $70 billion by 2030, more than double the reported $30.4 billion in goods and services exchanged in 2025.
For Ottawa, deeper engagement with India forms part of efforts to diversify export markets and reduce dependence on the United States. For New Delhi, a comprehensive trade agreement could expand access to Canadian markets and encourage investment, technology partnerships and cooperation in strategic industries.
Bilateral merchandise trade figures highlight the existing commercial relationship. Canadian merchandise exports to India stood at $3.9 billion in 2025, while imports from India reached $9.7 billion. Major trade categories included energy products, wood pulp, machinery, pharmaceuticals and precious stones and metals.
Economic Engagement Amid Diplomatic Reconciliation
The renewed trade discussions come as the two countries work to improve relations following a period of diplomatic tensions. Continued ministerial engagement and the Canadian business mission indicate an effort to give economic cooperation greater momentum.
A CEPA could provide a wider framework for market access, investment and commercial cooperation. Its eventual benefits, however, will depend on the final terms and the resolution of outstanding negotiating differences.
Although both governments are targeting a year-end conclusion, a final agreement has yet to be announced. The coming months will be crucial in determining whether the renewed engagement translates into a comprehensive trade pact.
