India, Canada agree to resume FTA talks, says Piyush Goyal

India and Canada have agreed to resume negotiations for a Free Trade Agreement FTA with an aim to increase the twoway trade to USD 50 billion by 2030 according to Commerce and Industry Minister Piyush Goyal reported news agency PTIAn FTA or Comprehensive Economic Partnership Agreement CEPA has many strategic elements to it and it is a demonstration of the trust between the two countries Goyal said at an event on MondayThe pact would give confidence to investors businesses of both sides he saidWe have agreed to begin negotiations on a highambition CEPA and double the trade between the two nations by 2030 he said adding the two countries are natural allies and do not compete with each other reported PTIThe strengths of India and Canada can become a force multiplier for businesses and investors Goyal saidThere is a lot that we can learn from Canada and a lot we can offer Canada There is a lot of potential on critical minerals critical minerals processing technologies There is a good possibility on nuclear energy particularly with our engagement with Canada on Uranium supplies he said adding we can diversify our supply chains on both sides reported PTIIn 2023 Canada had paused negotiations for an FTA with India The IndiaCanada relations hit rock bottom following then Prime Minister Justin Trudeaus allegations in 2023 of a potential Indian link to the killing of Hardeep Singh Nijjar India had dismissed Trudeaus accusation as absurd reported PTIIn March 2022 the two countries had relaunched negotiations for an interim agreement officially dubbed as Early Progress Trade Agreement EPTAOver half a dozen rounds of talks have been held on the trade pact so farNormally in a trade agreement two countries significantly reduce or eliminate customs duties on the maximum number of goods traded between them They also liberalise norms for promoting trade in services and attract investmentsIndias exports to Canada rose 98 per cent to USD 422 billion in 202425 from USD 384 billion in 202324 Imports however dipped 233 per cent to USD 444 billion in the last fiscal year from USD 455 billion in 202324The renewed vibrancy in ties between the two countries followed Prime Minister Narendra Modis talks with his Canadian counterpart Mark Carney on the margins of the G7 summit at Canadas Kananaskis in June reported PTIBilateral trade in goods and services between India and Canada stood at USD 1838 billion in 2023There are about 29 million Indian diaspora and over 427000 Indian students in CanadaTo give an impetus to trade ties Goyal has held two rounds of discussions with Canadas Minister of Export Promotion International Trade and Economic Development Maninder SidhuSidhu was here recently Both the ministers cochaired the IndiaCanada Ministerial Dialogue on Trade and Investment MDTI meeting here earlier this monthWe can focus on emerging technologies like AI artificial intelligence with data centres quantum computing machine learning all new age technologies where India has very strategic benefits to offer for investors looking to leverage on the AI emerging technologies Goyal said reported PTIHe stressed the need to translate dialogue between the two countries into concrete outcomesThe minister also asked for having actionable outcomes a game plan a sectoral roadmap and measurable progressWe must activate the CEO forum and resume the forum in the first quarter of 2026 because business to business contact will help governmental relations Goyal said adding that the ACITI AustraliaCanadaIndia Technology and Innovation partnership should be taken forward with all seriousness reported PTIWe could look at joint innovation he said adding there is a need to identify focus areas where both sides can enhance collaborations such as critical minerals critical energy aerospace and defence capabilities and manufacturing in India reported PTIWith inputs from PTI