India and Canada advance CEPA talks to boost trade ties

India and Canada are preparing to launch the fifth round of negotiations for a Comprehensive Economic Partnership Agreement (CEPA) in Ottawa. Canadian International Trade Minister Maninder Sidhu emphasized that the talks will focus on expanding cooperation in key areas such as energy, critical minerals, and aerospace. Sidhu noted that these negotiations build on discussions from his recent visit to Mumbai and the G20 Trade Ministers Meeting, where he met with Union Commerce Minister Piyush Goyal.

Sidhu highlighted Canada’s ambition to conclude a trade agreement that would open new opportunities for Canadian businesses and workers in India’s growing economy. He pointed to Canada’s potential role in meeting India’s rising energy needs, which are expected to increase by 70% by 2035. The USD 33 billion investment in LNG Canada Phase 2 was cited as evidence of Canada’s readiness to become a top-five LNG exporter within five years.

Beyond energy, Sidhu identified critical minerals and aerospace as areas for deeper collaboration. He described Canada as a reliable partner for India as both countries work toward a trade agreement. The two governments aim to conclude the CEPA negotiations by the end of 2026, with the fifth round in Ottawa marking another step in this process.

Bilateral trade between India and Canada stood at around USD 8 billion in FY 2025-26, with India exporting goods worth USD 4.67 billion and importing USD 3.28 billion. The negotiations reflect a broader goal to increase bilateral trade from USD 30 billion to USD 70 billion over the next five years.