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Post by : Badri Ariffin
India and Canada are taking a major step toward strengthening economic ties, as leaders of both nations agreed to resume talks on a high-ambition free trade deal. Prime Minister Narendra Modi and Canadian Prime Minister Mark Carney met on the sidelines of the G20 Summit in Johannesburg, marking a significant thaw in relations after a period of diplomatic tension.
The proposed Comprehensive Economic Partnership Agreement (CEPA) aims to double bilateral trade to $50 billion by 2030. The deal would not only enhance trade but also deepen cooperation in sectors like technology, education, energy, defence, and space. Both nations are exploring ways to secure long-term uranium supply arrangements and strengthen civil nuclear energy ties.
In addition, the leaders welcomed the Australia-Canada-India Technology and Innovation (ACITI) Partnership. This trilateral collaboration will focus on critical technologies, artificial intelligence, nuclear energy, and supply chain diversification. Carney also expressed support for India hosting the AI Summit in February 2026, signaling shared interest in future-forward innovation.
Bilateral ties had faced a rough patch in 2023 following the killing of Khalistani leader Hardeep Singh Nijjar in Canada. Then-Prime Minister Justin Trudeau raised allegations of Indian government involvement, which India firmly denied. Since Carney took office in March, both countries have made efforts to reset relations, including appointing new ambassadors and continuing dialogue on trade, law enforcement, and security.
The G20 meeting also underscored the importance of high-level exchanges. Modi extended a personal invitation to Carney to visit India, hinting at sustained engagement and growing confidence in the bilateral partnership. With CEPA back on the table, both nations are signaling a determined push toward stronger economic and technological cooperation in the years ahead.
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