The two countries launched formal negotiations after Canadian Prime Minister Mark Carney’s visit to India in February-March 2026. Both sides have committed to concluding the talks by the end of 2026.
India and Canada are seeking to deepen trade and investment ties through a proposed Comprehensive Economic Partnership Agreement (CEPA), with both countries aiming to expand bilateral trade to CAD 70 billion ( ₹4.65 lakh crore) by 2030.
The two countries launched formal negotiations after Canadian Prime Minister Mark Carney’s visit to India in February-March 2026. Both sides have committed to concluding the talks by the end of 2026.
While Canada is seeking greater access to India’s large market for its goods and services, India’s broader priorities include energy security, critical minerals, clean technology, advanced manufacturing and stronger supply chains.
What India wants from the CEPA
India is seeking to strengthen economic ties with Canada while diversifying its sources of energy and critical minerals. The joint leaders’ statement identifies energy, agriculture, technology, education and resilient supply chains as key areas for cooperation.
- Energy security: India wants to expand imports of Canadian liquefied natural gas (LNG), liquefied petroleum gas (LPG), crude oil and uranium. A CAD 2.6 billion agreement between Cameco and India’s Department of Atomic Energy will support long-term uranium supplies.
- Critical minerals and clean energy: India wants to diversify mineral supplies and explore cooperation in solar power, energy storage, battery technologies and advanced manufacturing.
- Agriculture and food security: Both countries aim to expand agri-tech, research and value-added food production, including through a proposed Canada-India Pulse Protein Centre of Excellence.
- Technology and talent: India wants deeper cooperation in artificial intelligence, semiconductors, space technology and digital infrastructure, alongside research partnerships and student mobility.
- Trade and investment: India aims to expand market opportunities, strengthen supply chains and attract investment while working towards the bilateral trade target of CAD 70 billion by 2030.
The joint statement does not spell out India’s detailed negotiating demands on individual tariffs or sectors. These priorities reflect the broader economic agenda agreed by both governments.
What Canada wants from the CEPA
-Lower trade barriers and greater market access: Canada wants India to eliminate tariff and non-tariff barriers that restrict Canadian exports. It is seeking commercially meaningful access for Canadian goods and services, alongside clearer customs procedures and rules of origin to make cross-border trade easier and more predictable.
-Stronger investment protection: Ottawa wants transparent and predictable rules to protect investors, including provisions covering investor-state dispute settlement. It is also seeking a level playing field for financial institutions while retaining safeguards for the stability and integrity of Canada’s financial system.
-Better access for services and professionals: Canada is pushing for comprehensive services commitments to reduce barriers and improve market access. Its objectives include facilitating trade in professional services, exploring mutual recognition arrangements and making the temporary movement of business people easier, while protecting its domestic labour market.
-Rules for digital trade, intellectual property and government procurement: Canada wants the agreement to address barriers to digital trade, support consumer confidence online and strengthen intellectual property protection. It is also seeking transparent government procurement procedures, effective competition rules and commitments to reduce corruption.
When will India and Canada conclude the trade deal?
The two governments have reaffirmed their commitment to an ambitious, mutually beneficial CEPA, with formal negotiations launched and a target to conclude them by the end of 2026.