India and Canada aim to close trade deal before Modi's visit

what happened

India and Canada are working to finish a trade agreement before Prime Minister Narendra Modi's planned December visit, according to Canada's trade minister Maninder Sidhu, as reported by ru.tradingview.com. The next negotiation round is set for November 9 in New Delhi, and Modi is scheduled to visit Canada on December 11-12. Sidhu said the focus will then move to a bilateral investment treaty once the trade deal is concluded.

A main sticking point is India's wish to keep taxation outside the treaty framework. Canada wants larger exports of minerals, fertilisers, aerospace and advanced manufactured goods, while India seeks better access for its apparel, footwear and furniture. The report also mentions Fairfax's $5.6 billion bid for a controlling stake in IDBI Bank, which Sidhu called the largest financial-sector deal between the two countries.

why it matters

For markets, the deal signals deeper economic ties: Sidhu said Canadian pension funds and asset managers have invested close to $107 billion in India. Canadian mineral and fertiliser exporters could gain access, while Indian textile and IT exporters may benefit from wider market access. Still, these are intentions, and the outcome of talks remains uncertain.

market impact

Canada and India: a possible easing of trade barriers supports mineral exports and Indian goods sales

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