India, Canada begin CEPA talks; aim $50-billion bilateral trade by 2030
Key exports from India to Canada include drugs & pharmaceuticals, iron & steel, seafood, cotton garments, electronic goods and chemicals among others
India and Canada on Monday launched negotiations for the Comprehensive Economic Partnership Agreement (CEPA) in New Delhi, indicating a strengthening of trade relations with the two nations.
Union Commerce and Industry Minister Piyush Goyal and Canada’s Minister of International Trade Maninder Sidhu signed the Terms of Reference (ToR) for the agreement in the presence of PM Narendra Modi and Canadian Prime Minister Mark Carney.
During the meeting, PM Modi highlighted that the goal for bilateral trade is to reach US$50 billion by 2030. The priority is to unlock the full potential of economic cooperation for which India and Canada has decided to finalise the CEPA soon.
Echoing a similar sentiment, Prime Minister Carney said it is the expansion of a valued partnership with new ambition, focus and foresight—a partnership between two confident countries charting own course for the future.
The ToR of negotiations will provide format, frequency and approach to India-Canada CEPA negotiations. It will serve as a guide to facilitate negotiations in order to conclude an ambitious, balanced and mutually beneficial CEPA.
Canada represents a market of 41.65 million people (2025) and US$ 2.34 trillion in terms of GDP at PPP. The India–Canada CEPA holds significant potential to unlock and expand bilateral trade which stood at USD 8.66 billion in FY 2024-25 (Exports: USD 4.22 billion; Imports: USD 4.44 billion).
Key exports from India to Canada include drugs & pharmaceuticals, iron & steel, seafood, cotton garments, electronic goods and chemicals among others. While key imports of India from Canada include pulses, pearls & semiprecious stones, coal, fertilizer, paper and petroleum crude.
Meanwhile, the key sectors of India’s services exports to Canada include telecommunications, computer and information services, and other business services. These sectors hold significant future growth potential and are expected to expand further following the conclusion of the CEPA.
In addition, Canada is also home to over 4,25,000 Indian students and a strong Indian community. These strong and enduring people-to-people ties which constitute “One Family” would be further reinforced by the conclusion of India-Canada CEPA.
