India, Canada Reset Ties: CEPA Talks Launched, Energy And Defence Deals Signed

By R Anil Kumar

Bengaluru. Prime Minister Narendra Modi and Canadian Prime Minister Mark Carney on Monday, March 2, agreed to reset and deepen India–Canada relations, launching negotiations for a Comprehensive Economic Partnership Agreement (CEPA) and unveiling a wide-ranging agenda covering energy security, clean technology, critical minerals, defence, talent mobility and people-to-people ties.

Carney paid an official visit to India from Feb. 27 to March 2 at the invitation of PM Narendra Modi, his first trip to the country since taking office and the first bilateral visit by a Canadian prime minister to India since 2018. He was accompanied by senior ministers, provincial leaders and chief executives.

Marking 79 years of diplomatic relations, the two leaders said a stronger partnership between the democracies was essential amid global uncertainty, reaffirming commitments to sovereignty, the rule of law and closer cooperation in multilateral forums. They agreed to anchor the renewed strategic partnership around the principle of “Vasudhaiva Kutumbakam” – One Earth, One Family, One Future – aligning India’s Viksit Bharat vision with Canada’s Build Canada Strong agenda.

Both sides welcomed progress under a new roadmap for relations, citing more frequent ministerial engagement, reactivation of institutional dialogue mechanisms, the return of diplomats to missions and steps toward the gradual normalisation of ties.

A central outcome of the visit was the finalisation of the Terms of Reference to launch formal negotiations on a CEPA, which would cover trade in goods and services and other agreed policy areas. The leaders said the pact was aimed at expanding bilateral trade to CAD 70 billion by 2030 and committed to concluding negotiations by the end of 2026. They also agreed to reinvigorate trade ties through a series of reciprocal ministerial-led business visits and reconstituted the India–Canada CEO Forum to deepen private-sector engagement.

On energy, the leaders agreed to advance an India–Canada Strategic Energy Partnership, spanning clean and conventional energy, civil nuclear cooperation and critical minerals. They welcomed the re-launch of the Canada–India Ministerial Energy Dialogue and the finalisation of a joint action plan. A key commercial outcome was the conclusion of a CAD 2.6 billion long-term agreement between Canada’s Cameco and India’s Department of Atomic Energy for the supply of uranium ore concentrates, supporting India’s nuclear power programme.

The leaders said they would work to expand bilateral energy trade, including liquefied natural gas, liquefied petroleum gas, crude oil, refined petroleum products, potash and uranium, while encouraging private investment and long-term offtake arrangements. Canada reiterated plans to expand LNG and heavy oil export capacity to the Indo-Pacific.

They also signed memoranda of understanding on critical minerals cooperation and renewable energy, aimed at building resilient supply chains and accelerating the energy transition across solar, wind, bioenergy, storage and grid modernisation. Canada said it intends to pursue membership in the International Solar Alliance, while India welcomed Canada’s decision to join the Global Biofuels Alliance as a full member.

In agriculture and nutrition, the two sides backed closer cooperation in agri-technology and food processing and announced plans to establish a Canada–India Pulse Protein Centre of Excellence at NIFTEM Kundli to support innovation, fortified food development and nutrition security.

On education and talent mobility, the leaders highlighted the role of students and researchers in strengthening bilateral ties. They welcomed an MoU between India’s All India Council for Technical Education and Canada’s Mitacs to expand the Globalink Research Internship programme, providing fully funded research placements for up to 300 Indian students annually. They also announced a new Joint Talent and Innovation Strategy and noted the conclusion of 24 education-related agreements between institutions.

Cultural ties were bolstered through an MoU on cultural cooperation, aimed at expanding collaboration in arts, heritage, audiovisual media and creative industries, including the use of emerging technologies. Canada also confirmed participation in Bharat Tribes Fest 2026 in New Delhi.

In science and technology, the leaders agreed to relaunch the Joint Science and Technology Cooperation Committee and expand cooperation in emerging technologies, including artificial intelligence, digital public infrastructure and space. They said space agencies and private sectors would pursue joint projects under an implementation arrangement between the Canadian Space Agency and the Indian Space Research Organisation, including in atmospheric sciences, space exploration and quantum communication.

The two sides also agreed to explore AI-enabled tools for space applications, distance medicine and resilient power grids, and welcomed progress under the Australia–Canada–India Technology and Innovation partnership, formalised through a trilateral MoU.

On security and defence, the leaders agreed to strengthen cooperation through regular national security dialogue, counterterrorism engagement and law-enforcement coordination, including against organised crime and cyber threats. They announced the establishment of an India–Canada Defence Dialogue, welcomed a new Maritime Security Partnership and noted Canada’s appointment of a defence attaché to India.

They reaffirmed a shared commitment to a free, open and inclusive Indo-Pacific and agreed to deepen coordination in regional and global forums. India supported Canada’s interest in joining the Indian Ocean Rim Association as a dialogue partner.

Carney thanked India for its hospitality and said Canada was committed to advancing the comprehensive partnership. Both leaders expressed confidence that the outcomes of the visit would deliver long-term benefits for their economies and peoples and contribute to regional stability and global resilience.