Prime Minister Mark Carney and Indian Prime Minister Narendra Modi have agreed to initiate discussions on a new trade agreement known as a Comprehensive Economic Partnership Agreement. Carney mentioned in a social media post that this trade deal could potentially double Canada-India trade to $70 billion, emphasizing the significant opportunities it presents for Canadian workers and businesses. India’s Ministry of External Affairs also confirmed this development in a news release, mentioning that Modi has extended an invitation to Carney to visit India, which Carney has accepted for early 2026.
This move signals a positive shift in diplomatic relations between Canada and India following past tensions, particularly linked to Canadian accusations regarding Indian involvement in an extrajudicial killing on Canadian soil in 2023. The recent meeting between Carney and Modi at the G20 summit in South Africa marks their second face-to-face interaction since Carney assumed office, with their previous meeting occurring at the G7 summit in Canada.
According to Dinesh Patnaik, India’s high commissioner to Canada, discussions on trade have been ongoing between the two countries since the G7 summit. Talks for a comprehensive trade deal between Canada and India began 15 years ago but were later scaled down to focus on specific industries until 2023 due to the aforementioned issues. Modi expressed satisfaction with the progress made in bilateral ties and the momentum since their previous meeting at the G7 Summit.
Despite efforts to strengthen ties, questions persist regarding the security implications, with concerns raised by the Canadian Security Intelligence Service about alleged threats. Patnaik emphasized the need for both countries to address safety concerns for their citizens. The meeting between Carney and Modi highlighted the importance of maintaining vigilance against any foreign interference, with a focus on enhancing cooperation in national security matters.
Sikhs for Justice, a group advocating for an independent Sikh Punjab, led a referendum in Ottawa, sparking debate on diplomatic relations between Canada and India. The new leader of the group criticized Canada’s decision to normalize ties with India, citing ongoing issues. The Indian government views the referendum as a challenge to its sovereignty, while Patnaik described it as a sensitive matter due to potential foreign interference perceptions.
As diplomatic discussions continue, Foreign Affairs Minister Anita Anand emphasized the focus on law enforcement matters, public safety, and security in ongoing conversations between Canada and India. The meeting between Carney and Modi underscores efforts to address past tensions and pave the way for stronger trade relations between the two nations.