For the fifth round of talks on the proposed Comprehensive Economic Partnership Agreement (CEPA), the trade pact is scheduled to be finalized by the end of 2026, talks will begin between India and Canada in Ottawa on October 5 with both countries pushing for the deal to be finalised in the fourth quarter of 2026. The five-day round will proceed until Oct 9 and be headed by the chief negotiators of both countries.
The current round follows Round 4 in New Delhi on September 18. The two countries are keen to resume talks and clear out any outstanding differences in order to deepen economic cooperation.
CEPA is a comprehensive trade pact with a broad coverage of customs reduction or elimination of duties on 80% of the product line of traded goods between the participating countries. It can also enhance the access to services, promote the mobility of high-potential staff and promote cross-border investment.
Pharmaceuticals, iron and steel, seafood, cotton garments, electronic goods & chemicals are India’s major exports to Canada. Commodities that Canada exports to India include pulses, coal, fertilisers, paper, crude petroleum, pearls and semi-precious stones.
Tensions are easing between the two sides and calm is setting in over talks. Canadian Trade Minister Maninder Sidhu is likely to go to New Delhi this month on a big business delegation. Both countries have also affirmed their plans to complete the CEPA negotiations before the end of the year.
India and Canada initially started the CEPA process in 2015 and held multiple rounds but the round was put on hold in 2017. Discussions were reopened in March 2022, on the draft of an interim Early Progress Trade Agreement. The talks were stalled again in 2023 when former Canadian Prime Minister Justin Trudeau made a suggestion of possible involvement in Indian government circles in connection with the killing of Hardeep Singh Nijjar. India vehemently denied this claim.
Diplomatic relations have been strained, but economic relations are still important. The bilateral trade of goods fell 8.23% in 2025-26, to $7.95 billion, as compared to $8.7 billion in 2024-25. India’s exports to Canada rose 10.63% to $4.67 billion, while imports fell 26.14% to $3.28 billion.
Both are aiming to take the renewed relationship to the next level on the trade and investment front. As the two go into the final stages of agreement on CEPA, bilateral economic ties are likely to continue to be closely watched. There is also a long-term goal of India and Canada in achieving trade of over CAD 70 billion by 2030.