Indian and Canada signed a series of commercial agreements and memoranda of understanding (MoUs) on Friday, as companies from both nations explore opportunities for collaboration. The agreements were signed during the Canada-India Business Ceremony in Karnataka on Friday, attended by Canada’s minister of international trade, Maninder Sidhu, who took part in the proceedings.The MoUs come as India and Canada aim to conclude negotiations for a proposed Comprehensive Economic Partnership Agreement (CEPA) by the end of 2026. According to a presentation by the ministry of commerce and industry on Thursday, both countries have reaffirmed the deadline for completing negotiations on the proposed trade pact.The fifth round of negotiations was held in Ottawa from October 5 to October 9, with discussions covering market access for goods and services, investment parameters, rules of origin, intellectual property rights and trade remedies. The next round is scheduled to take place in New Delhi in early November.The proposed CEPA aims to lower trade barriers and improve market access for businesses in both countries. Bilateral trade between India and Canada stood at $7,956.43 million in FY26, according to government data.Official estimates suggest the agreement could increase bilateral trade by $4.4 billion to $6.5 billion. Canada is also projected to gain $3.8 billion to $5.9 billion in gross domestic product by 2035.
Opportunities for Canadian businesses in India
Speaking at a business reception in Bengaluru on Thursday, organised as part of the Team Canada Trade Mission to India, Sidhu highlighted the country’s potential as a commercial market for Canadian companies.He pointed to artificial intelligence, quantum computing, aviation infrastructure, digital innovation, sustainability and smart mobility as areas where businesses from the two countries could work together.“Canada and India are renowned for their creative flair. So what better place for all of us to gather than here in India’s Innovation Hub?” Sidhu said.He also highlighted the existing presence of Canadian companies in India, including Kinaxis, OpenText, CGI, CAE, Magellan Aerospace, MDA Space and BCE Global Tech.“Companies of every size are succeeding here, and it always starts with a relationship,” he said.Aviation and transport were among the other areas Sidhu discussed, referring to his visit to Terminal 2 of Bengaluru airport and its planned expansion.“I saw the opportunity for Canada and India to work together just a few hours ago when I toured Terminal 2 of the Bengaluru airport and heard about its plans for its expansion,” he said.“Canada’s Fairfax Financial has already shown what it can do with its investments in the airport, and Canadian companies such as Genetec, Transoft Solutions, and RBH Access are already working hard on the ground at the airport,” Sidhu added.
Canada’s plans to double non-US exports
Sidhu also outlined Canada’s ambition to double its exports to markets outside the US over the next decade, identifying India as a market Canadian companies could not afford to overlook.He said businesses were looking to bring technology, innovation and long-term partnerships to India, with potential opportunities extending across digital innovation and security, aviation infrastructure, sustainability and smart mobility, alongside artificial intelligence and quantum computing.“Canadian companies like those here tonight are ready to tap into the talent to bring technology and innovation and long-term partnerships to India’s dynamic market. In AI and quantum computing, in digital innovation and security, in aviation infrastructure, and in sustainability and smart mobility–and that’s just the short list,” he said.Sidhu cited India’s economic growth, population and expected rise to become the world’s third-largest economy as factors underpinning its importance to Canada’s export ambitions.
