India-Canada FTA talks to resume in February 2026
What's the story
India and Canada are likely to resume formal negotiations for a Free Trade Agreement (FTA) early next year. The discussions are expected to be led by India's Commerce Minister Piyush Goyal, who is likely to visit Canada in February 2026. The move comes after a brief hiatus due to political tensions between the two countries.
Negotiation strategy
Canada seeks concessions similar to India's other trade partners
Canada is looking for concessions similar to those given by India in its other trade agreements with countries like the UK, New Zealand, the EFTA bloc, and Australia. This would provide a rough template for the negotiations and expedite discussions. The two nations are keen on an early mutually beneficial agreement amid ongoing trade challenges.
Consultation process
Public consultations for India-Canada CEPA underway
The Canadian government has started public consultations on the proposed FTA, officially called the India-Canada Comprehensive Economic Partnership Agreement (CEPA). The process began on December 13, 2025, and will remain open until January 27, 2026. Given that both countries are now looking at a broad trade pact covering goods, services, investments among other areas, stakeholder consultations are key to this process.
Past issues
Previous FTA negotiations were stalled due to political tensions
The FTA negotiations were previously stalled in September 2023 due to political tensions. Canada's then Prime Minister Justin Trudeau suspended talks over allegations of Indian officials' involvement in the killing of Sikh separatist leader Hardeep Singh Nijjar. However, relations improved after Mark Carney became Canadian Prime Minister in March 2025.
Future plans
Modi and Carney agreed to launch CEPA negotiations
During a recent meeting on the sidelines of the G20 summit in Johannesburg, Prime Minister Narendra Modi and PM Carney agreed to start CEPA negotiations. The aim is to double bilateral trade to $50 billion by 2030. Chief negotiators for the trade pact have been appointed with Brij Mohan Mishra from India's Department of Commerce and Bruce Christie from Canada leading their respective teams.