Canada-India trade surges to new heights, reaching nearly C$12 billion in 2022

New Delhi: India and Canada convened the sixth Ministerial Dialogue on Trade & Investment (MDTI) in Ottawa, co-chaired by Piyush Goyal, Union Minister of Commerce and Industry, and Mary Ng, Minister of International Trade, Export Promotion, Small Business, and Economic Development for the Government of Canada.

The meeting was held against the backdrop of a bilateral trade relationship between the two countries. India-Canada trade in goods reached nearly C$12 billion in 2022, a remarkable increase of 57% over the previous year. The Ministers acknowledged the role played by the services sector in bolstering the bilateral relationship and recognized the enormous potential for increasing bilateral services trade, which stood at C$8.9 billion in 2022.

The Ministers' discussions centred on several issues related to trade and investment, including market access, regulatory cooperation, and the promotion of investment flows. They also exchanged views on the evolving global trade landscape and the importance of multilateralism in addressing common challenges.

The MDTI has been instrumental in providing a platform for India and Canada to engage in constructive dialogue on various aspects of trade and investment. The Ministers reiterated their commitment to continuing the MDTI as a critical mechanism for deepening and strengthening the bilateral trade and investment relationship between the two countries.

The Ministers formally re-launched the India-Canada Comprehensive Economic Partnership Agreement (CEPA) negotiations. Early Progress Trade Agreement (EPTA), as a transitional step towards the CEPA, have been underway, and several rounds of discussions have already occurred.

The EPTA would cover, among others, high-level commitments in goods, services, investment, rules of origin, sanitary and phytosanitary measures, technical barriers to trade, and dispute settlement, and may also cover other areas where mutual agreement is reached.

The achievements of bilateral trade have taken place despite the challenges, of the supply chain, the COVID-19 pandemic and the disruptions caused by the conflict in Ukraine.

Minister Mary Ng expressed her support for India as G20 Chair and the priorities pursued by India in the G20 Trade and Investment Working Group. She indicated that she is looking forward to participating in the upcoming G-20 Trade and Investment Ministerial meeting in India scheduled to take place in August 2023.

Regarding the importance of the Indo-Pacific region for Canada’s prosperity, security, and capacity to address environmental challenges, Minister Ng noted the rolling out of Canada’s Indo-Pacific Strategy and India’s importance in the region.

The Ministers noted the significant movement of professionals, skilled workers, students, and business travellers between the two countries and its immense contribution to enhancing the bilateral economic partnership. In this context, it noted the desire for improved discussions in migration and mobility.

In line with the announcement made in the National Education Policy 2020 of India for facilitating foreign universities and educational institutions, India also invited top Canadian Universities to set up their campuses in India.

The Ministers reaffirmed their commitment to the rules-based, transparent, non-discriminatory, open, and inclusive multilateral trading system the World Trade Organization embodied. They concurred to work together to strengthen it further.