India-Canada ink 'landmark' uranium supply deal, critical minerals MoU
What's the story
India and Canada have taken a major step in strengthening their energy and technology ties with the signing of a Memorandum of Understanding (MoU) on critical minerals cooperation. The agreement was signed during Canadian Prime Minister Mark Carney's first official visit to India. The MoU aims to secure supply chains for key resources required for clean energy technologies, electric vehicles, batteries, and advanced manufacturing.
Uranium deal
Long-term uranium supply agreement signed
Along with the MoU, a long-term uranium supply agreement was also signed between the two countries. The deal is worth C$2.6 billion (approximately $1.9 billion) and involves Canadian producer Cameco Corp supplying 22 million pounds (around 11,000 tons) of uranium to India from 2027 to 2035. This comes as India plans to ramp up its nuclear generation capacity from the current 8.8 gigawatts to 100 gigawatts by 2047.
Tech partnership
Agreements to deepen cooperation in renewable energy, emerging technologies
The agreements also include plans to deepen cooperation in renewable energy, critical minerals, nuclear power, technology, and advanced research. PM Modi said both nations would work together on small modular reactors and advanced reactors. The two countries also committed to expanding collaboration in emerging technologies such as artificial intelligence (AI), quantum computing, supercomputing, and semiconductors.
Clean energy
Canada joins International Solar Alliance, Global Biofuel Alliance
Canada also announced its decision to join the International Solar Alliance and the Global Biofuel Alliance during PM Carney's visit. PM Modi welcomed this move and announced plans for an India-Canada Renewable Energy and Storage Summit later this year. The agreements mark a thaw in bilateral relations after tensions in 2023 over allegations of Indian-linked involvement in violent incidents on Canadian soil.
Trade goals
Comprehensive Economic Partnership Agreement by end of this year
The two countries now hope to revive strategic and economic ties with a new Comprehensive Economic Partnership Agreement by the end of this year. The goal is to double bilateral trade by 2030. Nuclear cooperation between India and Canada dates back to the 1950s, but was disrupted after India's 1974 nuclear test. A bilateral nuclear cooperation pact signed in 2010 had paved the way for an earlier uranium supply deal in 2015, which has since expired.