India, Canada trade ministers discuss ways to strengthen economic ties

New Delhi: Commerce and Industry Minister Piyush Goyal on Saturday held discussions with his Canadian counterpart Maninder Sidhu on ways to strengthen economic ties between the two countries.

"We discussed ways to find mutually beneficial opportunities for our businesses to capitalise on the complementarities offered by our two economies. I emphasised that economic, trade and investment ties between India and Canada should be grounded in the principles of mutual respect, trust and balance," Goyal said in a post on X.

The Canada's Minister of International Trade in a post said that he spoke with India's Minister of Commerce and Industry to advance discussions on deepening economic engagement and increasing connectivity between the countries.

"Together, we're exploring new trade opportunities in clean technology, AI, agriculture, critical minerals, and other key sectors," he said.

Replying to the post, Goyal said: "Held a productive discussion with my Canadian counterpart @MSidhuLiberal".

The discussions are important as in 2023, Canada had paused negotiations for a free trade agreement with India.

The India-Canada relations hit rock bottom following then Prime Minister Justin Trudeau's allegations in 2023 of a potential Indian link to the killing of Hardeep Singh Nijjar. India had dismissed Trudeau's accusation as "absurd".

In March 2022, the two countries had re-launched negotiations for an interim agreement, officially dubbed as Early Progress Trade Agreement (EPTA).

Over half a dozen rounds of talks have been held on the trade pact so far.

Normally in a trade agreement, two countries significantly reduce or eliminate customs duties on the maximum number of goods traded between them. They also liberalise norms for promoting trade in services and attract investments.

India's exports to Canada rose by 9.8 per cent to USD 4.22 billion in 2024-25 from USD 3.84 billion in 2023-24. Imports, however, dipped by 2.33 per cent to USD 4.44 billion in the last fiscal from USD 4.55 billion in 2023-24.

Canadian Foreign Minister Anita Anand will begin her visit to New Delhi on Sunday.

The renewed vibrancy in the ties between the two countries followed Prime Minister Narendra Modi's talks with his Canadian counterpart Mark Carney on the margins of the G7 summit at Canada's Kananaskis in June.