India and Canada aim to finalize a trade deal before Prime Minister Narendra Modi’s December visit, according to a top Canadian trade official. This will be followed by talks on a Bilateral Investment Treaty (BIT). Canada’s International Trade Minister Maninder Sidhu said that we are hopeful that we will reach this target. As I said, the second round of talks is scheduled to be held in New Delhi on November 9. So, I will be there with my chief negotiator and the entire team. He further said that the officials of both the countries are actively working to finalize this trade agreement. Prime Minister Modi is going to visit Canada on December 11-12.
Prime Minister Carney spoke to RED FM in Calgary about the ongoing work to strengthen Canada’s economic ties with India.
That’s why I’m here. An ambitious Canada-India CEPA trade agreement was being negotiated to open new opportunities for Canadian businesses. Recent investments, such as McCann Foods and Fairfax, show how Canadian companies are building their presence in India.
I’m focused on turning this momentum into more customers, investment and good-paying jobs for Canadians across the country.
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Prime Minister Carney spoke to RED FM in Calgary about ongoing efforts to strengthen economic ties between Canada and India.
That’s why I’m here. We negotiate an ambitious APEG between Canada and India to open new markets for Canadian companies. Recent investments, such as McCann Foods and Fairfax, show that Canadian companies are strengthening their presence in India.
These jobs are to be done in such a way that this advertising translates into more customers, investments and well-paying jobs for Canadians across the country.
— Maninder Sidhu (@MSidhuLiberal) October 16, 2026
Where does the deal stand?
Sidhu said there was a “very good atmosphere and positive energy” to conclude the agreement. Addressing a press conference in Bengaluru, Sidhu said that after the completion of the trade agreement, the focus will shift to the Bilateral Investment Treaty (BIT). Formal negotiations have been underway since August, but there is still an impasse over India’s position to keep taxation outside the scope of the treaty. Canada wants to increase exports of minerals, fertilizers, aerospace and advanced manufactured goods, while India aims to gain better market access for its apparel, footwear and furniture sectors. India will also look to increase its IT services exports to Canada, which currently account for a little over 1% of total exports.
IDBI and Fairfax
When asked about the $5.6 billion investment by Canadian financial holding company ‘Fairfax’ to acquire a controlling stake in IDBI Bank, Sidhu said that this is the largest financial sector deal between our two countries and a clear indication that Canada is ready to invest more. He said Canadian pension funds, asset management companies and financial institutions have invested about $107 billion in India in sectors such as highway infrastructure, healthcare, technology, cleantech and energy. He said that my conversation with the pension fund shows that they are willing to invest more.
