The proposed Comprehensive Economic Partnership Agreement (CEPA) between India and Canada is expected to be finalised by the end of 2026, according to the Central Government of India.
Minister of State for External Affairs Kirti Vardhan Singh stated in a written reply in the Rajya Sabha that there have been three rounds of negotiations thus far, with the most recent one being held in Ottawa from July 6th to the 10th.Both parties are making efforts to conclude the process by late 2026, and progress has been achieved across numerous negotiation tracks, according to Singh.
A free trade area would be created by gradually liberalising trade in products and services and reducing or eliminating tariffs and other trade obstacles, as stated by the Ministry of External Affairs (MEA) in the proposed CEPA.
In addition to enhancing economic cooperation and people-to-people contacts, the deal is anticipated to establish a trade and investment framework that is more open and predictable.
Canada is a significant market for Indian exports and investments due to its large population (around 41.65 million in 2025) and robust economy (about USD 2.34 trillion in purchasing power parity terms).
Current Canadian government efforts to mend fences between the two countries have coincided with a resurgence of interest in the trade deal between India and Canada, which had stopped progress on bilateral projects due to a protracted diplomatic tension.
New Delhi is hoping that Prime Minister Narendra Modi’s upcoming visit to Canada later this year will further strengthen the friendship between the two countries.
Image: OB
