India and Canada Aim for $50 Billion Trade Deal by 2030

India and Canada are pursuing a diplomatic and economic reset to finalize a Comprehensive Economic Partnership Agreement (CEPA) by the end of 2026. This initiative follows a severe deterioration in relations in 2023 over the killing of Hardeep Singh Nijjar. The rapprochement began in March 2026 with a visit to New Delhi by Mark Carney, the Prime Minister of Canada, and was furthered by a high-level Indian trade delegation led by Commerce Minister Piyush Goyal visiting Ottawa and Toronto in May.

Both nations aim to increase bilateral trade from approximately $17 billion to $50 billion by 2030. Negotiations focus on energy, critical minerals, aerospace, and agri-food. While officials express optimism, hurdles remain regarding Indian tariffs on Canadian pulse crops and bureaucratic red tape. India's High Commissioner to Canada, Dinesh K. Patnaik, has advocated for addressing security concerns on a parallel track to avoid delaying the economic pact.

Recent developments include a meeting between Prime Ministers Carney and Narendra Modi on the sidelines of the G7 Summit in France, where they reaffirmed their commitment to the deal. The partnership is expanding into strategic defense cooperation, leveraging Canada's increased military spending and India's manufacturing scale. Canada is also positioning itself as a key supplier of uranium and critical minerals to support India's goal of 100 gigawatts of nuclear power, while streamlining domestic mining approvals to accelerate exports.