India And Canada Resume FTA Talks, Aim For USD 50 Billion Trade By 2030

India and Canada have agreed to restart negotiations on a Free Trade Agreement (FTA), setting an ambitious target of increasing bilateral trade to USD 50 billion by 2030, Commerce and Industry Minister Piyush Goyal announced on Monday.

Addressing an event, Goyal described a Comprehensive Economic Partnership Agreement (CEPA) as a strategic pact reflecting trust between the two nations. He said such an agreement would instill confidence among investors and businesses on both sides. “We have agreed to begin negotiations on a high-ambition CEPA and double the trade between the two nations by 2030,” he said, noting that India and Canada are natural allies rather than competitors.

Highlighting areas of collaboration, Goyal said, “There is a lot that we can learn from Canada and a lot we can offer Canada. There is a lot of potential on critical minerals, critical minerals processing technologies. There is a good possibility on nuclear energy – particularly with our engagement with Canada on uranium supplies.” He added that the two countries could diversify supply chains and strengthen economic ties.

Negotiations had been paused in 2023 following a diplomatic rift after then-Prime Minister Justin Trudeau alleged a potential Indian link to the killing of Hardeep Singh Nijjar, a claim India dismissed as “absurd.” The countries had earlier relaunched talks in March 2022 for an interim Early Progress Trade Agreement (EPTA), and more than six rounds of discussions have been held so far.

Trade between India and Canada has shown steady growth in recent years. India’s exports to Canada rose 9.8 percent to USD 4.22 billion in 2024–25, while imports dipped 2.33 percent to USD 4.44 billion. Overall bilateral trade in goods and services stood at USD 18.38 billion in 2023.

The renewed momentum follows Prime Minister Narendra Modi’s meeting with Canadian Prime Minister Mark Carney during the G7 Summit in Kananaskis in June. India’s large diaspora of 2.9 million people and over 427,000 Indian students in Canada continue to serve as a key bridge in bilateral relations.

Goyal has also held two rounds of discussions with Canada’s Minister of Export Promotion, International Trade and Economic Development, Maninder Sidhu, and co-chaired the India-Canada Ministerial Dialogue on Trade and Investment (MDTI). He emphasized leveraging opportunities in emerging technologies like AI, quantum computing, machine learning, and data centres, and urged both countries to translate dialogue into concrete outcomes with measurable progress.

The minister called for the resumption of the CEO Forum in early 2026, stressing that business-to-business engagement would reinforce government-level relations. He also highlighted the potential of the Australia-Canada-India Technology and Innovation (ACITI) partnership and pointed to critical sectors for collaboration, including critical minerals, energy, aerospace, defence, and manufacturing.

With PTI inputs