India, Canada Begin Fourth Round Of CEPA Talks
India and Canada on Monday began the fourth round of negotiations for the proposed Comprehensive Economic Partnership Agreement (CEPA), with both sides aiming to conclude the trade pact by the end of this year, according to an official.
The five-day round of negotiations, being held from September 14 to 18, will cover a range of issues, including trade in goods and services, rules of origin and technical barriers to trade.
The latest round follows the third round of talks held in Ottawa in July. The negotiations assume significance as India and Canada have set a target of increasing bilateral trade to USD 50 billion by 2030.
However, bilateral trade declined by 8.22% to US$ 7.95 billion in 2025-26 from US$ 8.66 billion in the previous financial year. India’s exports to Canada rose to US$ 4.67 billion in 2025-26 from US$ 4.22 billion in 2024-25, while imports fell to US$ 3.28 billion from US$ 4.44 billion.
The proposed CEPA is expected to provide greater market access for businesses in both countries and could help expand trade across merchandise as well as services.
India’s major exports to Canada include pharmaceuticals, iron and steel products, seafood, cotton garments, electronic goods and chemicals. On the import side, India mainly buys pulses, pearls and semi-precious stones, coal, fertilisers, paper and crude petroleum from Canada.
Services are another important component of India’s trade relationship with Canada. India’s key services exports include telecommunications, computer and information services and other business services.
For the textile sector, improved market access under the proposed agreement could provide opportunities to expand India’s exports of cotton garments and other textile and apparel products to the Canadian market. Lower trade barriers and clearer rules of origin could also improve the competitiveness of Indian exporters.
The negotiations also come against the backdrop of significant people-to-people and business ties between the two countries. Canada is home to more than 425,000 Indian students as well as a large Indian-origin community.
Both sides are expected to use the current round to advance discussions on areas where differences remain and work towards completing the agreement within the targeted timeframe.
