Canada and India Accelerate Free Trade Deal, Targeting $50 Billion Trade by 2030

Canada is pushing to finalize a free trade agreement with India, with Canadian Prime Minister Mark Carney calling India a 'game changer.' The two nations aim to double bilateral trade to $50 billion by 2030.

Tue May 26 2026

Canada and India Accelerate Free Trade Deal Efforts

Canada is actively pursuing a free trade agreement (FTA) with India. Canadian Prime Minister Mark Carney emphasized that the deal would be a 'game changer' by unlocking a massive new market for Canadian workers and businesses. Carney met with Indian Commerce Minister Piyush Goyal to advance negotiations, discussing opportunities in energy, agriculture, technology, and education. Bilateral trade in goods and services reached $23 billion in 2024, and both nations have set an ambitious target to double this to $50 billion by 2030.

Economic Impact and Key Trade Items

Canada exports pulses, coal, fertilizers, petroleum, and precious stones to India, while India exports drugs and pharmaceuticals, iron and steel, seafood, garments, electronics, and chemicals to Canada. Education is a significant pillar of their relationship, with nearly 393,000 Indian students studying in Canada as of December 2024. Over 600 Canadian firms already operate in India, and more than 1,000 others are actively seeking business opportunities. Canadian portfolio investment in India exceeds $100 billion.

Expected Benefits of a Comprehensive Economic Partnership Agreement (CEPA)

Analysts predict that a Comprehensive Economic Partnership Agreement (CEPA) could boost bilateral trade by up to $6.5 billion and deliver a GDP gain of up to $5.9 billion for Canada by 2035. For India, this means access to Canadian energy, advanced technology, and agri-food supply chains. For Canada, it means tapping into one of the world's fastest-growing major economies—a market of about 1.4 billion people. Both sides acknowledge the strong momentum towards solidifying their economic ties.

*Source: YouTube: WION (2026-05-26)*

Tags: #Canada #India #Free Trade Agreement #Trade #Economy #Tech