India and Canada Resume Talks on Trade Pact, Eye USD 50 Billion
Why in the news
India and Canada agreed to restart negotiations on a Comprehensive Economic Partnership Agreement (CEPA) after Prime Minister Narendra Modi met Canadian Prime Minister Mark Carney on the sidelines of the G20 summit in Johannesburg.
Key facts
- Agreement type: CEPA, negotiations revived.
- Target: double bilateral trade to USD 50 billion by 2030.
- Trade talks had been suspended in 2023 after tensions over allegations linked to the death of a Canadian Sikh separatist.
- Momentum had returned after Modi and Carney spoke at the G7 summit earlier in 2025.
- Goods and services trade was about C$31 billion in 2024, with Canada running a surplus thanks to services exports.
Other points
- Both sides reaffirmed long-standing civil nuclear cooperation, and talks on long-term uranium supply continue.
- Officials said a trade deal would bring clearer rules, dispute mechanisms and stronger protection for businesses.
- Canada is also negotiating with Mercosur as it diversifies exports away from the United States.
Exam angle
- Remember CEPA, the 2030 target and the two leaders.
- The meeting took place at the G20 summit in Johannesburg.
- CEPAs cover trade in goods and services and wider economic cooperation.