Canada should capture the trade opportunity that India’s fast-growing economy provides, and become one of the biggest commercial partners of India in the next few years, a new report on Canada-India trade has said. The joint report brought out by the Business Council of Canada and the Canada India Business Council argues India is indispensable for Canada’s strategy in the Indo-Pacific region.
“Canada has powerful incentives to diversify its trading relationships. The U.S., which accounts for the bulk of our trade, has become more protectionist in recent years — under both Democratic and Republican administrations. And our second largest trading partner, China, has become a much riskier place to do business amid deteriorating bilateral relations,” said the report titled “Why India: Unlocking Canada’s Opportunity in the Indo-Pacific”. The report pointed out that Canada has not joined the recently launched Indo Pacific Economic Framework for Prosperity and argued that the country can benefit from having a Comprehensive Economic Partnership Agreement (CEPA) with India.
The joint report by two of Canada’s important trade bodies emphasised that Ottawa needs to reach a trade pact with India soon as that will give Canadian companies “a leg up” over rivals from other countries. Canada and India have resumed dialogue for a Free Trade Agreement earlier this year and the negotiations on the pact are expected to conclude by 2023 when India is scheduled to host the G20 summit here.
