India and Canada have agreed to accelerate negotiations for a Comprehensive Economic Partnership Agreement (CEPA), with the fifth round of talks scheduled to begin on October 5 as the two countries seek to conclude the trade pact by the end of 2026. Commerce and Industry Minister Piyush Goyal said on Monday that both sides had decided to fast-track the negotiations following the latest round of discussions with Canadian International Trade Minister Maninder Sidhu. “Let’s see, the next 90 days should be a very defining period in the Canada-India relationship,” Goyal told reporters, pointing to the increasing pace of negotiations and the wider improvement in engagement between New Delhi and Ottawa.
Fifth round from October 5
Goyal said the fourth round of CEPA negotiations had concluded last week and described his discussions with Sidhu as productive. “Both sides have resolved to fast-track negotiations, in view of which our team is now slated to go for the fifth round,” he said.
The Indian negotiating team is expected to travel to Canada for the next round beginning October 5. The accelerated schedule reflects the target set by both governments to conclude the negotiations before the end of this year. India and Canada have been discussing a comprehensive trade agreement for more than a decade. Negotiations were formally relaunched in March 2022, alongside discussions on an Early Progress Trade Agreement that was intended to serve as an interim arrangement.
Nine rounds were held between 2022 and 2023 before negotiations were paused in August 2023 amid a sharp deterioration in diplomatic relations.
Talks revived after thaw
Economic engagement began gathering momentum again in 2025 as the two governments sought to restore institutional dialogue. The latest CEPA process received a fresh push during Canadian Prime Minister Mark Carney’s visit to India in March this year. Goyal and Sidhu signed the Terms of Reference for the negotiations on March 2, setting out the framework for the proposed agreement.
Both countries subsequently committed to seeking a conclusion to the negotiations by the end of 2026. The improving trade engagement is part of a broader rebuilding of bilateral ties after the prolonged diplomatic tensions that had affected high-level political contacts and several areas of cooperation.
Trade target set at $70 billion
India and Canada have set a goal of more than doubling their broader bilateral trade to CAD 70 billion, or about Rs 4.65 lakh crore, by 2030. India’s merchandise trade with Canada stood at around USD 8 billion in FY 2025-26. Indian exports were valued at approximately USD 4.67 billion, while imports from Canada stood at USD 3.28 billion.
India’s major exports to Canada include pharmaceuticals, iron and steel products, seafood, cotton garments, electronic goods and chemicals. Imports include pulses, coal, fertilisers, crude petroleum, paper, and pearls and semi-precious stones. Services are another significant part of the economic relationship, with telecommunications, computer and information services and other business services among India’s key exports.
Energy, minerals in focus
The expanding economic dialogue goes beyond conventional merchandise trade. Energy, critical minerals, nuclear cooperation, artificial intelligence and investment have emerged as important areas of engagement. Indian companies are exploring opportunities in Canada’s critical-minerals and energy sectors, while Canada has been seeking greater access to one of the world’s fastest-growing major economies.
Both governments see a comprehensive trade agreement as a mechanism to improve market access, reduce trade barriers, facilitate investment and provide greater certainty to businesses. The fifth round beginning October 5 will therefore be crucial to determining whether the two sides can bridge remaining differences quickly enough to meet their year-end deadline.