India, Canada launch Trade and Investment Forum; target CEPA conclusion by year-end

By R Anil Kumar

Bengaluru, May 29, 2026. India and Canada have reaffirmed their commitment to strengthening bilateral trade and investment ties, with both countries agreeing to conclude negotiations for a Comprehensive Economic Partnership Agreement (CEPA) by the end of 2026.

The commitment was announced during the 2026 Canada-India Trade and Investment Forum, where Union Commerce and Industry Minister Piyush Goyal and Canadian Trade Minister Maninder Sidhu held discussions aimed at deepening economic cooperation and expanding commercial opportunities for businesses in both countries.

Sidhu welcomed Goyal and what was described as the largest Indian delegation ever sent abroad for such an engagement, highlighting the growing importance of India-Canada economic ties.

Both sides identified several sectors with strong potential for collaboration, including clean energy, critical minerals, agri-food, advanced manufacturing, digital technologies and skills development.

The two ministers reiterated their commitment to advancing an “ambitious and mutually beneficial” Comprehensive Economic Partnership Agreement and stressed its importance in improving market access, strengthening resilient supply chains and promoting two-way economic growth.

As part of the initiative, the two countries launched the Canada-India Trade and Investment Forum, which will serve as a platform to connect business leaders from both nations and encourage new commercial partnerships and investment opportunities.

The ministers also underlined the importance of improving connectivity between India and Canada through stronger people-to-people ties, enhanced business mobility and direct commercial linkages to facilitate trade and investment growth.

Canada further announced that it will lead a Team Canada Trade Mission to India later this year, reflecting growing interest among Canadian businesses in expanding their presence in the Indian market.

Both countries agreed to continue encouraging long-term, high-quality investments in priority sectors and to strengthen collaboration among businesses, innovators and institutional partners.

The ministers also committed to maintaining regular dialogue and working towards concrete economic outcomes in the coming months as both nations seek to deepen their strategic economic partnership.

Canada-India Joint Statement 2026 Trade and Investment Forum

Minister Sidhu and Minister Goyal reaffirmed their shared commitment to strengthening bilateral trade and investment ties, to deliver tangible outcomes that support economic growth and increased commercial opportunities for businesses in both countries. Building on the momentum generated through recent ministerial engagement, Minister Sidhu welcomed Minister Goyal and the largest Indian delegation ever sent anywhere in the world, and underscored opportunities to deepen cooperation across complementary sectors such as clean energy, critical minerals, agri‑food, advanced manufacturing, digital technologies, and skills development.

Both Ministers reiterated their commitment to advancing an ambitious and mutually beneficial Comprehensive Economic Partnership Agreement (CEPA) and affirmed their shared objective of concluding negotiations by the end of this year. They underscored CEPA’s importance in expanding market access, supporting resilient supply chains, and enabling two‑way economic growth.

The Ministers launched the Canada-India Trade and Investment Forum as a key platform that brings together Canadian and Indian business leaders and fosters new commercial partnerships and increased business engagement.

The Ministers also emphasized the importance of enhancing connectivity between India and Canada — including people‑to‑people ties, business mobility, and direct commercial linkages — as essential enablers of expanded trade and investment.

Minister Sidhu confirmed that Canada will lead a Team Canada Trade Mission to India later this year, reflecting the strong interest of Canadian businesses in expanding their presence in the Indian market and the shared ambition to deepen commercial partnerships.

Canada and India agreed to continue encouraging long‑term, high‑quality investment in priority sectors and to support deeper collaboration between businesses, innovators, and institutional partners in both countries. The Ministers committed to maintaining regular dialogue and advancing concrete outcomes in the months ahead.

Bilateral relations

Canada and India share over 75 years of diplomatic relations and deep people-to-people ties. Bilateral relations were formally designated as a “Strategic Partnership” in 2018, structured around Ministerial Dialogues on:

• Foreign Policy
• Trade and Investment
• Finance
• Energy

At the officials level, there are regular working groups that focus on:

• Counter-terrorism
• Security
• Agriculture
• Education
• Science and Technology

India is Canada’s largest source country for most immigration categories, including 392,810 study permit holders with Indian citizenship in Canada in 2024. As of the 2021 federal census, there are more than 1.8 million Canadians of Indian origin.

In India, Canada is represented by the High Commission of Canada in New Delhi. Canada has Consulates General in Bengaluru, Chandigarh and Mumbai, as well as trade offices in Ahmedabad, Chennai, Hyderabad and Kolkata.

India is represented in Canada by a High Commission in Ottawa and by Consulates General in Toronto and Vancouver.

India and Canada are deepening engagement, marked by meetings between Prime Ministers Carney and Modi at the G7 Summit in Canada in June 2025 and the G20 Summit in South Africa in November 2025, reinstatement of high commissioners and the announcement of a shared roadmap for future collaboration during Foreign Minister Anand’s visit to India in October 2025.

Trade relations

India is an increasingly important partner as Canada undertakes a comprehensive trade diversification strategy and seeks to double exports to markets beyond the United States over the next decade, including a doubling of two-way trade with India to $70 billion annually by 2030.

At the recent G20 Summit, both leaders announced the launch of negotiations for a Comprehensive Economic Partnership Agreement (CEPA) to encompass goods and services trade, investment, agriculture and agri-food, digital trade, mobility and sustainable development.

In 2025, two‑way merchandise trade between Canada and India reached $13.6 billion. Canadian exports totaled $3.9 billion, led by vegetables, mineral fuels and oils, and wood pulp. Merchandise imports from India amounted to $9.7 billion, primarily consisting of precious stones and metals, machinery, and pharmaceutical products.

Services trade also grew significantly in 2025. Canada’s service exports to India were $15.2 billion, an increase of 0.03% from 2024, with education‑related travel accounting for the largest share. These exports represented 6.3% of Canada’s total services exports. Service imports from India totaled $4.5 billion (up 3.0% from 2024), representing 1.9% of Canada’s total services imports.

India’s vast scale, sustained growth and economic reforms present significant commercial opportunities for Canadian companies and investors across a range of sectors. These include:

Clean technology and energy transition – India’s commitments on renewable energy, grid modernization, hydrogen development, and emissions reduction create strong demand for Canadian expertise in clean power, carbon capture, energy storage, and environmental services.

Critical minerals and supply chain diversification – India is seeking secure access to critical minerals for its manufacturing and cleantech ambitions. Canada’s resource base and regulatory stability position it as a strategic partner for long-term supply agreements, joint ventures, and technology collaboration.

Infrastructure and urban development – India’s infrastructure push—including transportation, smart cities, water management, and logistics—offers opportunities for Canadian engineering firms, pension funds, and infrastructure investors.

Digital industries and cybersecurity – India’s rapidly expanding digital economy aligns with Canadian strengths in AI, fintech, cybersecurity, and digital public infrastructure. Demand is growing for Canadian solutions in secure data management, digital payments, and advanced analytics.

Agrifood and food security – India’s rising middle class and evolving food systems create opportunities for Canadian exporters of pulses, canola, fertilizers, and agri-tech solutions, as well as partnerships in food processing and cold chain logistics.

Education, skills, and research partnerships – Canada’s academic and research institutions remain highly attractive to Indian students and partners. Opportunities exist to expand joint research, vocational training, and innovation partnerships in priority fields such as health, clean tech, and digital technologies.

Investment partnerships – Canadian pension funds and institutional investors continue to view India as a high growth market. Opportunities are expanding in renewable energy, infrastructure, logistics, and financial services.

The 7th edition of the biennial Canada –India Ministerial Dialogue on Trade and Investment took place in November 2025, co-chaired Canada’s International Trade Minister and India’s Commerce and Industry Minister. Both ministers emphasized collaboration in energy, supply chain resilience, critical minerals, aerospace, and investment, as well as plans for reciprocal investment promotion offices and a 2026 relaunch of the Canada–India CEO Forum.

Canada and India have a long‑standing record of cooperation in science, technology, and innovation under the 2005 bilateral Science and Technology Cooperation Agreement, supported by the Joint Science and Technology Coordination Committee (JSTCC), which last met in Ottawa in May 2022 and committed to deepen collaboration in areas such as researcher mobility, nanotechnology, health, sustainable infrastructure, and clean technology The next JSTCC meeting is expected to take place later in 2026.

At the recent G20 Summit, Canada joined India and Australia in launching the trilateral Australia-Canada-India Technology and Innovation Partnership (ACITI) at the recent G20 Summit, aimed at strengthening cooperation in critical and emerging technologies.

Canada’s first Air Transport Agreement with India was concluded in 1982 and was last expanded in 2022. The Agreement allows Canadian and Indian air carriers to operate an unlimited number of weekly flights between specific cities in the two countries. Canadian air carriers are granted access to Bengaluru, Chennai, Delhi, Hyderabad, Kolkata, and Mumbai, and access for India air carriers to Toronto, Montreal, Edmonton, Vancouver, and two additional points to be selected by India. Other cities in both countries can be served indirectly through code-share services.

Development

Canada’s bilateral development program ended in 2006 following a change in Indian government policy on aid. Canada provided $2.4 billion in international assistance over a 56-year period.

Canada continues to provide international assistance to India through multilateral programs; partnerships between Indian and Canadian NGOs and academic institutions; and the Canada Fund for Local Initiatives (CFLI). In fiscal year 2023-2024, Canada provided $39.41M in international assistance to India via all channels.

Partnerships and organizations

To develop effective responses to today’s most pressing global challenges, Canada and India work closely in multilateral fora, such as:

• International Civil Aviation Organization (ICAO)
• United Nations (UN)
• United Nations Educational, Scientific and Cultural Organization (UNESCO)
• World Trade Organization (WTO), among others.