India and Canada Pursue Free Trade Agreement by End of Year or Earlier

India and Canada Make Ambitious Push for Free Trade Agreement

India and Canada are targeting the conclusion of a free trade agreement (FTA) by the end of this year, or earlier, according to Commerce Minister Piyush Goyal. This ambitious goal was announced as he kickstarts his Canadian visit with the largest Indian business delegation ever to travel overseas.

During a joint media address with Canada's trade minister in Ottawa, Minister Goyal stated that a very ambitious target has been set by the Prime Ministers to complete the FTA by the end of this year or earlier and triple their trade to $50 billion by 2030. He was accompanied by 112 leaders, the largest Indian business delegation to ever step out of India, with the numbers potentially rising.

India and Canada have already concluded two rounds of negotiations for the proposed trade pact after signing the Terms of Reference in March. Canada's Minister of International Trade, Maninder Sidhu, expressed optimism that negotiations were progressing and that both sides remained committed to reaching an agreement this year.

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

Key milestones in the negotiations include the next 48 hours, during which discussions will take place with chief negotiators. Two rounds have already been completed. Minister Sidhu also announced plans to lead a trade delegation to India later this year, aiming to match the energy that Minister Goyal has brought to Canada.

Minister Goyal expressed confidence that the ambitious timeline could be achieved, citing the pace of engagement since March as a positive factor. He emphasized that the efforts put in by negotiators over the last two and a half months since the Terms of Reference were signed in March, combined with the trust between the Prime Ministers of India and Canada, have empowered them to deliver results.

The relationship between India and Canada is being rapidly rebuilt and deepened, with both governments moving quickly to strengthen economic cooperation. Minister Goyal described the partnership as being reset very rapidly, with a phenomenal speed and intent from both sides to work towards shared prosperity.

Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline