Preparing for Canadian Prime Minister Justin Trudeau’s visit to New Delhi, revelations emerge that Canada sought a temporary cessation of ongoing trade talks. Sanjay Kumar Verma, Indian High Commissioner to Canada, confirmed that Canada expressed a desire to suspend negotiations just before the G20 summit set for New Delhi next week.
Ottawa’s pause came as both countries are diligently crafting an Early Progress Trade Agreement. The focus of this deal will be specific industries rather than a broader economic spectrum.
Reflecting on the negotiation pace, Verma noted, “Having 10 rounds in 13 months is a huge deal. Sometimes it progressed so fast that stakeholders were not able to imbibe the outcome.” He posited that the swift progress might be a factor behind Canada’s request, suggesting Ottawa might desire more time to familiarize industry groups with the deal’s terms.
Though the High Commissioner emphasized that the precise motives behind the request remain enigmatic, he speculates there’s a need for deeper consultations with stakeholders.
Trade dialogues between these nations aren’t novel. Beginning in 2010, India and Canada ventured into a comprehensive trade agreement conversation. By 2017, the initiative was shelved. A resurgence was witnessed in March 2022, when both nations re-engaged, this time with a more refined focus.
Trade Minister Mary Ng, who once asserted that sealing the deal wouldn’t span years, has not yet commented on the current situation. Despite this, past interactions between the nations have radiated positivity. During Ng’s May visit, she and her Indian counterpart, Commerce Minister Piyush Goyal, identified areas ripe for ‘enhanced co-operation’, embracing domains like green technologies, clean energy, and agriculture.
Nadir Patel, once Canada’s high commissioner to India, exudes optimism about their bilateral trade future, even outside a formal accord. Emphasizing the potential, Patel observed, “There’s certainly a will on both sides to conclude a deal. But any deal has to be a win-win.”
Serving as a senior strategic adviser with Norton Rose Fulbright Canada now, Patel insists that any agreement should cater to the interests of both parties.
With trade dialogues experiencing a brief lull, Trade Minister Mary Ng’s upcoming October visit to India promises to be pivotal. The discussions during the G20 summit and outcomes of the mission may sculpt the contours of the India-Canada trade blueprint.
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