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Carney’s challenge

Intent alone not enough to mend ties with India
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As Mark Carney prepares to take over as Canada’s Prime Minister, he has signalled a desire to "rebuild" ties with India, which deteriorated sharply under Justin Trudeau. His focus on diversifying Canada’s trade partnerships presents an opportunity for a fresh start, but words alone won’t be enough. Concrete steps are needed to restore trust. A key challenge remains Canada’s handling of pro-Khalistan elements. Trudeau’s accusation against India in the Hardeep Singh Nijjar case led to a full-blown diplomatic standoff in 2023. It was marked by expelled diplomats and stalled trade talks. Carney must take visible action against anti-India activities on Canadian soil and ensure that the activists do not exploit Canada’s democratic space to spread separatist propaganda. A stronger security partnership with India, particularly on counterterrorism, could go a long way in restoring confidence.

For the Indian diaspora, Carney’s government should address concerns over student visa restrictions and post-study work permits. India is Canada’s largest source of international students. Safeguarding a stable, welcoming environment for them could help mend relations at a grassroots level. Engaging more actively with the Indo-Canadian community could foster a more balanced approach. On the economic front, Carney’s experience as a central banker gives him the tools to mend the roadblocks in bilateral trade. His recent statements about diversifying Canada’s trade relationships with "like-minded" nations, including India, give hope for a policy shift. Reviving the stalled Comprehensive Economic Partnership Agreement (CEPA) negotiations should be high on his agenda. Encouraging greater investment from Indian businesses and expanding cooperation in sectors like renewable energy, technology and infrastructure would further strengthen economic ties.

A thaw in relations is possible, but Carney faces the challenge of balancing domestic political compulsions with foreign policy pragmatism. This balance will ultimately shape the trajectory of India-Canada relations.

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