India, Canada Step Up CEPA Negotiations, Target USD 70 Billion Trade By 2030

New Delhi, Nov 7 (KNN) India and Canada are stepping up negotiations for a proposed free trade agreement (FTA), with market access for agricultural products, services and mobility of workers and students emerging as key areas of discussion.

Sixth Round Of CEPA Talks Expected Next Week

Canadian Trade Minister Maninder Sidhu is expected to visit New Delhi next week for the sixth round of negotiations on the proposed Comprehensive Economic Partnership Agreement (CEPA), following the previous round in Ottawa last month.

The two countries are seeking to conclude the agreement ahead of Prime Minister Narendra Modi's proposed visit to Toronto and Ottawa on December 11-12.

According to sources familiar with the negotiations, Canada is seeking lower tariffs and predictable market access for pulses, while India is pushing for greater access for its services sector and more predictable visa provisions for professionals and students.

Agriculture, Services And Mobility Key Negotiation Areas

The two sides are also working to resolve differences over labour laws, environmental provisions, digital trade and agricultural standards.

Another round of negotiations may take place next month, with both countries aiming to announce the conclusion of the agreement during Modi's proposed visit. The pact would subsequently undergo legal scrutiny and formal ratification.

Negotiations gained momentum after the CEPA discussions were formally launched in March this year by Commerce Minister Piyush Goyal and Sidhu in the presence of Modi and Canadian Prime Minister Mark Carney in New Delhi.

India, Canada Target USD 70 Billion Bilateral Trade By 2030

Both countries are seeking to more than double bilateral trade in goods and services to Canadian USD 70 billion annually by 2030, from Canadian USD 30.4 billion in 2025, according to the Canadian government.

The renewed engagement comes amid trade uncertainties between Canada and the United States, prompting Ottawa to diversify its commercial partnerships. India is also seeking to expand its trade relationships amid uncertainty over US tariff policies.

Proposed Pact To Cover Energy, AI And Critical Minerals

The proposed agreement is expected to cover cooperation in energy, advanced manufacturing and artificial intelligence, while strengthening supply chains for critical minerals.

It also seeks to address barriers affecting agricultural exports, including sanitary and phytosanitary (SPS) requirements and technical standards.

(KNN Bureau)