India, Canada Shift into High Gear to Fast-Track Trade Pact

17 June 2026: Defence ties agreement occurred between India and Canada, to finalize a free trade agreement by the end of this year during the G7 meeting. The core idea behind the agreement is to enhance the bilateral relations. Both the nations agreed to deepen defence and security cooperation and conclude negotiations on a free trade agreement by the end of this year.

Prime Minister Narendra Modi and his Canadian counterpart Mark Carney expressed satisfaction at progress in resetting bilateral ties after a troubled patch over the past few years. The leaders met on the margins of the G7 Summit in the French resort of Evian, welcoming “positive momentum” in bilateral relations. PM Modi said “We reviewed the full range of relations between our nations, notably the ground covered since we last met, as reported by Times of India on Wednesday.

Discussions were held regarding launching of negotiations on “General Security of Information Agreement” that will allow the sharing of information sharing and intelligence. They welcomed exchanges between defence institutions, including a visit by representatives of India’s National Defence College to Canada. 

“Both sides expressed satisfaction with the progress in negotiations towards a Comprehensive Economic Partnership Agreement (CEPA), as shared by the Press Release. 

India-Canada relations cratered when former Canadian Prime Minister Justin Trudeau alleged in September 2023 that agents from India were linked with the Murder of Khalistani separatist Hardeep Singh Nijar in the town of Surrey that year. Those absurd charges were dismissed by India and talks on both sides helped to negotiate the diplomatic relations. 

The leaders focused upon reviewing the progress in bilateral economic cooperation, including developments in commercial arrangements related to LNG, LPG and Metallurgical coal, the press release reported on Tuesday. High Momentum visits on both sides are encouraged including the recent visit of commerce minister Piyush Goyal to Canadian trade mission in India, to be led by international trade minister later in 2026. 

The focus upon economies and emphasised the importance of resilient and reliable supply chains in strengthening global energy and food security. The governments also discussed the Joint Science and Technology Committee and the Consular Dialogue. The two sides will soon be collaborating under the Canada-India Talent and Innovation strategy for skill development. 

PM Modi expressed India’s support for Canada becoming a dialogue partner of the Indian Ocean Rim Association (IORA) and the announcements of the establishment of “Raisina Americas” as a platform to strengthen dialogue exchanges and cooperations in the near future. Modi thanked Carney for the invitation to visit Canada in 2026, and agreement occurred on both sides to work for mutually convenient date for the trip.