India-Canada trade deal: What New Delhi wants, what Ottawa is seeking as CEPA talks gather pace

A Comprehensive Economic Partnership Agreement, or CEPA, is a broad trade agreement. It sets rules for goods, services, investment and other economic cooperation. India and Canada are negotiating one to make cross-border business more open, predictable and valuable.

The proposed agreement could cover tariffs, non-tariff barriers, customs procedures, services, investment, digital trade, intellectual property and government procurement. India also wants cooperation in energy, critical minerals, clean technology, advanced manufacturing and resilient supply chains. Canada wants stronger access to India’s goods and services market.

Formal negotiations began after Prime Minister Mark Carney’s visit to India in February-March 2026. Both countries aim to conclude talks by the end of 2026. Their shared goal is to expand bilateral trade to CAD 70 billion by 2030 while creating broader economic ties.

India and Canada want their bilateral trade to reach CAD 70 billion by 2030. This is the central numerical target attached to their proposed Comprehensive Economic Partnership Agreement. It signals that both governments want a substantial expansion, not merely a limited update to existing trade ties.

The target would be supported by wider market opportunities and stronger supply chains. Canada wants better access for its goods and services in India. India wants investment and cooperation in energy, agriculture, technology, critical minerals, clean energy and advanced manufacturing. Easier customs procedures and clearer rules could also make trade more predictable.

The target is an objective, not a guaranteed result. Formal negotiations began after Mark Carney’s February-March 2026 visit to India, and both sides aim to finish by the end of 2026. The final agreement will determine how much access is actually created.

India wants the CEPA to support energy security and diversify supplies of critical minerals. It also seeks cooperation in clean technology, advanced manufacturing, agriculture, artificial intelligence, semiconductors, space technology and digital infrastructure. Investment, research partnerships, student mobility and more resilient supply chains are part of its wider agenda.

Canada is seeking commercially meaningful access for its goods and services. It wants India to reduce tariff and non-tariff barriers, clarify customs procedures and rules of origin, and offer stronger services access. Ottawa also seeks investor protections, easier temporary movement for business people, digital trade rules and transparent procurement.

The two sides therefore bring different but overlapping priorities. India focuses on strategic inputs, technology and development capacity. Canada focuses more directly on market access and predictable rules. The joint statement does not list India’s detailed tariff demands by sector, so the final balance remains under negotiation.

Energy, uranium, critical minerals, clean technology and supply chains matter because India wants greater security and diversification. The country is seeking alternatives and stronger partnerships for important energy and industrial inputs. It also wants to expand clean-energy capabilities, advanced manufacturing and technology cooperation.

The proposed partnership includes Canadian LNG, LPG, crude oil and uranium. A CAD 2.6 billion agreement between Cameco and India’s Department of Atomic Energy will support long-term uranium supplies. India also wants cooperation in solar power, energy storage, battery technologies and advanced manufacturing. These links connect resource security with future industrial capacity.

The broader agenda includes resilient supply chains and cooperation in technology, agriculture and research. The agreement could give India more diversified sources and help build capabilities in clean energy and manufacturing. However, the article does not specify final purchase volumes, tariffs or detailed sector commitments. Those issues remain part of the negotiations targeted for completion by the end of 2026.

Removing trade barriers can make it easier and cheaper for companies to sell across borders. Clear customs procedures and rules of origin can reduce delays and uncertainty. Businesses may gain wider market access, while investors could receive more predictable protections. Consumers could see more imported goods and services, although the article does not predict specific prices.

Services commitments could open opportunities for professionals and make temporary business travel easier. Research partnerships and student mobility could strengthen talent links. Better access to energy, minerals, technology and agricultural products could also support supply chains. Canada specifically seeks access for goods and services, while India seeks investment and strategic cooperation.

These outcomes are possible, not guaranteed. The two governments have only launched formal negotiations and aim to conclude them by the end of 2026. The final CEPA would determine which barriers fall, which sectors open, and what safeguards remain for workers, consumers and financial stability.

A tariff is a tax charged on an imported good. A non-tariff barrier is a different rule or requirement that can restrict imports, such as procedures, standards or licensing conditions. Rules of origin identify where a product was made or sufficiently produced. They determine whether it qualifies for an agreement’s trade benefits.

High tariffs raise the cost of imported goods. Complicated non-tariff requirements can create delays, paperwork and uncertainty even when tariffs are low. Unclear origin rules can prevent a product from receiving preferential treatment, especially when its parts come from several countries. Clear customs procedures and origin rules reduce these problems.

Canada wants India to remove tariff and non-tariff barriers and establish clearer customs procedures and rules of origin. These changes could make cross-border trade easier and more predictable. The article does not provide specific tariff rates or detailed origin tests, so those matters would need to be settled during negotiations.

Countries negotiate market-opening agreements to expand exports, investment and economic cooperation. Lower barriers can give businesses more customers and consumers more access to goods and services. Clear rules also make cross-border activity more predictable. These benefits are balanced against risks to domestic industries, workers and essential systems.

Canada’s objectives show how this balance works. It seeks broad services access and easier temporary movement for business people, while protecting its domestic labour market. It wants investor-state dispute settlement and a level playing field for financial institutions, but also safeguards for the stability and integrity of Canada’s financial system. Transparent procurement and competition rules are also priorities.

The article presents the CEPA as ambitious and mutually beneficial, not unrestricted. India’s priorities similarly combine openness with energy security, supply diversification and stronger domestic capabilities. The final agreement will have to decide which markets open, what protections apply and how commitments are enforced. Talks are targeted for completion by the end of 2026.