Canada Looks to Revive Trade Talks With India, Says Trade Minister Maninder Sidhu.
Ottawa and New Delhi are moving to restore and strengthen trade relations after a two-year pause, Canadian Trade Minister Maninder Sidhu said on Thursday. Sidhu, on a three-day visit to India, highlighted efforts to restart trade negotiations under “a new process” aimed at expanding economic cooperation.
During his visit, Sidhu held talks with Commerce Minister Piyush Goyal, describing the discussions as “very productive” and focusing on sectors including critical minerals, clean energy, agriculture, artificial intelligence, and aerospace.
“The meeting went really well. We focused on areas of opportunity — aerospace, AI, critical minerals, energy, agriculture — and explored what more we can do together,” Sidhu told Reuters.
Restarting Trade Talks
The engagement marks a significant step since Canada paused broad trade pact negotiations in 2023, following tensions after Ottawa accused New Delhi of involvement in the killing of a Canadian Sikh separatist. Sidhu said both countries are now in early discussions to restart the process, taking into account global economic shifts, including high tariffs imposed by the United States on goods from both nations.
Canada’s new government under Prime Minister Mark Carney brings “new focus, energy, and mandate” to enhance trade and attract investment from India, particularly in energy and critical minerals. Sidhu noted, “Canada has every element needed to build an electric battery,” and welcomed Indian investment in mining and infrastructure projects.
Growing Economic and Cultural Ties
Relations have warmed since Prime Minister Narendra Modi met Carney on the sidelines of the G7 summit in June. India remains a priority market for Canada, with two-way trade in goods and services reaching about $31 billion in 2024, and India is Canada’s largest source of immigrants, with nearly 393,000 Indian students and over 1.8 million Canadians of Indian origin.
Sidhu also met executives from major Indian companies, including Tata, who expressed interest in expanding operations in Canada. He added that Goyal had promised to visit Canada soon with a trade and investment delegation, signaling renewed momentum in bilateral economic cooperation.
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