New Delhi: The prime minister, Narendra Modi, and his Canadian counterpart, Mark Carney, reaffirmed their commitment to an early India-Canada trade agreement during a telephone conversation on Tuesday, with both governments seeking to expand commercial ties after a prolonged diplomatic rift. The leaders also discussed energy, technology, security and defence, and agreed to remain in contact ahead of Modi’s expected visit to Canada in December.
Following the conversation in a post on X, Modi wrote: “Had a warm and productive conversation with Prime Minister Mark Carney. We agreed to build on the positive momentum in India-Canada ties and work towards concrete outcomes across key areas of our Strategic Partnership, including trade, energy, technology, security and people-to-people ties. Together, India and Canada are contributing towards a more stable and prosperous world.”
The Canadian prime minister’s office said both leaders wanted negotiations on a comprehensive economic partnership agreement (CEPA) concluded at the earliest opportunity, with the shared objective of increasing annual two-way trade to C$70 billion by 2030. Neither government announced a completed agreement or a signing date.
The leaders also discussed growing geopolitical instability in the Indo-Pacific and the importance of reliable partnerships in energy and agriculture. Carney thanked Modi for his efforts towards a peaceful resolution of the Russia-Ukraine war, according to the Canadian prime minister’s Office. The Canadian statement also highlighted increased bilateral engagement in finance, defence, security and artificial intelligence over the past year.
The fifth round of CEPA negotiations took place in Ottawa from October 5 to 9, with officials working towards a year-end target for concluding talks. Canada’s minister of international trade, Maninder Sidhu, met India’s commerce and industry minister, Piyush Goyal, in New Delhi this week to review progress, their ninth meeting since May 2025.
Sidhu is leading nearly 300 delegates on a Team Canada trade mission to Mumbai and Bengaluru from October 12 to 17. The largest such delegation in more than 30 years is seeking partnerships in aerospace, clean technology, information technology, life sciences and agriculture, as RNA Media reported on Tuesday.
The proposed pact aims to improve trade in goods and services, investment and market access, but its final provisions remain under negotiation. Canadian government figures put bilateral goods and services trade at C$30.4 billion in calendar year 2025, compared with the target of C$70 billion by 2030.
Indian government data separately recorded approximately US$8 billion in merchandise trade in the financial year 2025-26, comprising US$4.67 billion in Indian exports and US$3.28 billion in imports. The figures cover different periods and exclude services.
During Carney’s visit to India in March, the two countries signed the terms of reference for CEPA negotiations and announced a separate C$2.6-billion agreement for Canadian uranium supplies to India. Neither development amounted to concluding CEPA.
Canada’s foreign minister, Anita Anand, met Modi and the external affairs minister, S Jaishankar, in New Delhi on Wednesday. Their discussions covered energy, education, technology and security, while Modi emphasized translating renewed engagement into tangible outcomes, including an early trade pact.
The national security adviser, Ajit Doval, also met Carney’s senior diplomatic adviser, David Morrison, during October 5–7. Their dialogue covered organized crime, terrorism, trafficking, cybercrime and implementation of a bilateral security work plan agreed in February.
Modi and Carney had earlier met on June 16 on the sidelines of the G7 Summit in Evian, France, where they reviewed progress in bilateral trade negotiations, energy cooperation and supply-chain resilience. The leaders also agreed to begin negotiations on a general security of information agreement to strengthen cooperation in defence and security.
Relations deteriorated in 2023 after Canada’s then prime minister, Justin Trudeau, alleged possible Indian involvement in the killing of Hardeep Singh Nijjar. India rejected the allegation, and renewed diplomatic engagement does not establish that all disagreements have been resolved.
Separately, New Delhi is considering inviting Carney as the chief guest for India’s Republic Day celebrations in January 2027, according to the Hindustan Times. The proposal remains at an early stage and could depend on progress in bilateral trade negotiations. Neither government has officially confirmed an invitation or its acceptance.
Both prime ministers agreed to remain in touch before Modi’s expected December visit. A specific itinerary and a final CEPA signing timetable have not been announced.