Indian High Commissioner to Canada Dinesh K. Patnaik has expressed confidence that India and Canada could finalise a comprehensive trade agreement by November, as both countries accelerate negotiations to strengthen economic ties and expand bilateral trade.
India and Canada are making progress towards a proposed Comprehensive Economic Partnership Agreement (CEPA), with officials from both countries working to resolve outstanding issues and reach an agreement within the targeted timeframe.
Indian High Commissioner Dinesh K. Patnaik said he was confident that the agreement could be finalised by November. India also hopes the deal could be signed during Prime Minister Narendra Modi’s proposed visit to Canada in December, marking another step in efforts to rebuild bilateral relations.
The negotiations come after a period of strained diplomatic relations between the two countries. Renewed political engagement and increased contact between trade officials have helped bring economic cooperation back into focus, with both governments seeking opportunities for businesses and investors.
India and Canada Accelerate Trade Negotiations
The proposed agreement aims to establish a broader framework for trade and investment between the two countries. Negotiations formally gained momentum in 2026, following commitments by Prime Minister Narendra Modi and Canadian Prime Minister Mark Carney to strengthen economic ties.
The fifth round of negotiations took place in Ottawa from October 5 to 9. Following the talks, officials continued discussions on the proposed agreement, with both governments reiterating their commitment to reaching a mutually beneficial outcome.
Canadian International Trade Minister Maninder Sidhu has also expressed optimism about the negotiations. During a visit to India in October, he met Indian Commerce and Industry Minister Piyush Goyal to discuss progress and identify opportunities to expand trade and investment.
The Canadian government has said it wants to conclude the agreement by the end of 2026. The next round of negotiations is expected to take place in New Delhi on November 9, providing another opportunity for both sides to address remaining issues.
Although officials have expressed confidence, the agreement has not yet been finalised. Its completion will depend on the outcome of negotiations and whether both sides can reach consensus on the outstanding terms.
Trade Deal Could Expand Market Access for Businesses
A comprehensive trade agreement could create new opportunities for companies in India and Canada by improving access to each other’s markets and reducing barriers to cross-border business.
Canada is interested in expanding exports of energy products, critical minerals, agricultural goods, fertilisers, aerospace products and advanced manufactured goods. India, meanwhile, is seeking greater opportunities for its pharmaceutical, textile, footwear, machinery and information technology industries.
Improved market access could help exporters reach more customers, diversify supply chains and establish longer-term commercial partnerships.
The agreement could also encourage investment in sectors such as clean energy, artificial intelligence, aerospace, life sciences and advanced manufacturing. These industries have featured prominently in discussions between officials and business representatives from both countries.
However, the final benefits will depend on the provisions included in the agreement, including tariff arrangements, rules governing market access and the treatment of specific industries.
Bilateral Trade and Investment Targets
India and Canada have set an ambitious objective of increasing two-way trade to approximately C$70 billion annually by 2030.
According to Canadian government figures, merchandise trade between the two countries reached C$13.6 billion in 2025. When trade in services is included, the total value of bilateral trade stood at approximately C$30.4 billion.
Canadian exports to India include vegetables, mineral fuels and wood pulp, while imports from India include precious stones and metals, machinery and pharmaceutical products. Services are also an important part of the relationship, particularly education-related travel and professional services.
A completed trade agreement could help both countries move towards their longer-term target by providing businesses with more predictable trading conditions and encouraging additional investment.
For Canada, closer economic engagement with India is also part of a broader effort to diversify export markets. For India, the partnership could provide additional sources of energy, technology, minerals and investment while expanding opportunities for Indian exporters.
Diplomatic Reset Supports Economic Cooperation
The renewed trade discussions follow efforts by New Delhi and Ottawa to improve relations after diplomatic tensions in 2023.
Both governments have since increased engagement through official meetings, economic discussions and business exchanges. The Canadian trade mission to India in October brought nearly 300 delegates to Mumbai and Bengaluru and resulted in 34 commercial agreements valued at close to C$300 million, according to the Canadian government.
The commercial engagement demonstrates the interest among businesses in exploring opportunities despite the diplomatic difficulties of recent years.
Nevertheless, completing a comprehensive trade agreement will require both sides to reconcile their priorities and settle the details of a complex negotiation. The diplomatic improvement provides an opening for cooperation, but it does not guarantee that every outstanding issue will be resolved by November.
Conclusion
India and Canada are intensifying negotiations on a proposed Comprehensive Economic Partnership Agreement, with Indian High Commissioner Dinesh K. Patnaik expressing confidence that the deal could be finalised by November.
Both countries are seeking to strengthen commercial relations, expand investment and increase bilateral trade to C$70 billion annually by 2030. The next round of negotiations, scheduled for November 9 in New Delhi, is expected to be an important step in the process.
If the negotiations conclude successfully, the agreement could create new opportunities for exporters, investors and businesses in both countries. For now, however, November remains a target rather than a confirmed deadline for a completed deal.