India and Canada have restarted efforts to revive their long-delayed trade pact. Commerce Minister Piyush Goyal and Canadian counterpart Maninder Sidhu met on Wednesday. They outlined how negotiations for the Comprehensive Economic Partnership Agreement (CEPA) should begin. The ministers discussed the pact’s scope, objectives, and negotiation framework. This sets the stage for formal talks aimed at boosting two-way trade to $50 billion by 2030. Goyal said both sides held “productive” discussions. They have begun initial scoping for the agreement. He also agreed to lead a high-level trade and investment delegation to Canada next year.

The move marks a sharp shift from the tensions of 2023. Canada paused CEPA talks after relations deteriorated following allegations by then Prime Minister Justin Trudeau regarding the killing of Hardeep Singh Nijjar. Before the freeze, both nations had already conducted more than six rounds of negotiations.

A CEPA is a broad free trade agreement. Under it, countries cut or eliminate duties on most goods. It eases rules for skilled workers and encourages investment flows. The renewed push comes as trade between the two nations shows mixed trends. India’s exports to Canada rose 9.8% to $4.22 billion in 2024–25. Imports slipped 2.33% to $4.44 billion. Bilateral trade in goods and services stood at $18.38 billion in 2023.

The diplomatic reset gained momentum after Prime Minister Narendra Modi met with the current Canadian PM Mark Carney during the G7 summit at Kananaskis in June. Canada is home to a large Indian community of about 2.9 million people. It also hosts more than 4,27,000 Indian students.

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