India, Canada Aim to Finalise Free Trade Agreement by End-2026

India and Canada are accelerating efforts to revive and strengthen bilateral economic ties, with both countries aiming to conclude a comprehensive trade agreement by the end of 2026. The development comes amid renewed diplomatic engagement and growing interest in expanding trade, investments, and strategic sector partnerships.

During his ongoing visit to Canada, Union Commerce and Industry Minister Piyush Goyal held discussions with Canadian leadership and business stakeholders to advance negotiations on the proposed Comprehensive Economic Partnership Agreement (CEPA). The discussions are being viewed as a significant step towards rebuilding momentum in bilateral trade relations after a prolonged diplomatic slowdown.

Canadian Prime Minister Mark Carney reportedly described the proposed free trade agreement as a transformative opportunity capable of unlocking large-scale market access and deeper economic cooperation between the two nations.

Officials from both sides reviewed progress in the CEPA negotiations and explored opportunities to enhance collaboration across sectors including technology, renewable energy, logistics, telecom, digital infrastructure, artificial intelligence, pharmaceuticals, mining and agriculture.

India and Canada are also focusing on strengthening supply chain integration and encouraging long-term investments. Canadian investors are showing increased interest in India’s rapidly growing infrastructure and consumer markets, while India is looking to expand exports and business partnerships in North America.

As part of the visit, interactions with industry leaders and business delegations were held in Ottawa and Toronto, with participation from representatives across multiple sectors. Discussions also highlighted cooperation in food processing, agritechnology, and sustainable development initiatives.

Bilateral trade between India and Canada is currently estimated at around $8.5 billion annually, with both countries targeting a significant expansion in trade volumes over the coming years. India’s merchandise exports to Canada during April-January stood at approximately $3.78 billion, reflecting steady growth compared to the previous year.

The renewed push for CEPA is expected to open new opportunities for businesses, improve market access, deepen investment flows and further strengthen economic ties between the two democracies.