India-Canada Trade Deal Talks Begin October 5 as Both Countries Target CEPA Agreement by End of 2026
India and Canada are preparing for another important round of trade negotiations as the two countries attempt to conclude a Comprehensive Economic Partnership Agreement, or CEPA, before the end of 2026.
The fifth round of India-Canada CEPA negotiations will begin in Ottawa on October 5 and run through October 9, according to official information from both sides. The negotiations will be led by the chief negotiating teams and follow the fourth round, which concluded in New Delhi on September 18.
The latest talks are significant not only for trade. They also reflect the broader rebuilding of economic ties between India and Canada after a period of serious diplomatic strain.
What is the India-Canada CEPA?
A Comprehensive Economic Partnership Agreement is a broad trade agreement designed to make it easier for two countries to do business with each other.
A final India-Canada CEPA could reduce or eliminate customs duties on many products, improve market access for businesses, establish clearer trade rules and encourage investment.
Such agreements can also cover services and the movement of professionals rather than focusing only on physical goods.
Earlier negotiating rounds have covered areas including trade in goods, trade in services, intellectual property, rules of origin, sanitary and phytosanitary measures, and technical barriers to trade, according to India’s Ministry of Commerce and Industry.
However, no final CEPA has been signed yet. The October 5 negotiations are another step toward a possible agreement, rather than the launch of a completed trade deal.
India and Canada want a deal before 2026 ends
Both governments have publicly committed to trying to complete a balanced and mutually beneficial agreement before the end of this year.
Canada’s Global Affairs department confirmed on October 2 that International Trade Minister Maninder Sidhu and India’s Commerce and Industry Minister Piyush Goyal discussed the progress of CEPA negotiations during a meeting on the sidelines of the G20 Trade Ministers’ Meeting.
The Canadian government said Sidhu stressed the importance of working toward a mutually beneficial agreement by the end of 2026.
The upcoming Ottawa negotiations are therefore likely to be closely watched for signs that the two sides are narrowing their differences.
Trade relationship remains substantial despite recent decline
India and Canada already have an important commercial relationship.
India-Canada goods trade stood at about $7.95 billion in 2025-26, down 8.23% from approximately $8.7 billion a year earlier, according to figures reported by PTI.
India’s exports to Canada increased 10.63% to about $4.67 billion, while imports from Canada fell 26.14% to approximately $3.28 billion during the same period.
India exports products including pharmaceuticals, iron and steel, seafood, cotton garments, electronic goods and chemicals to Canada.
Major Canadian exports to India include pulses, fertilisers, coal, paper, crude petroleum, pearls and semi-precious stones. India’s services exports to Canada also include telecommunications, computer and information services and other business services.
A successful trade agreement could therefore affect several sectors rather than one narrow industry.
Bigger trade target for 2030
The two governments have ambitions to substantially expand their economic relationship.
Akashvani reported that the countries share an aspiration to expand bilateral trade to approximately ₹4.65 lakh crore by 2030.
Energy and critical minerals are also emerging as important parts of the relationship.
Canada said this week that it sees itself as a potential long-term supplier capable of helping meet India’s growing demand for energy, critical minerals and other key commodities.
These areas have become strategically important as India expands manufacturing, clean energy, electric vehicles and technology infrastructure.
Businesses could benefit if tariffs fall
For Indian exporters, one of the biggest questions will be how much additional market access a final agreement provides.
Lower tariffs could make some Indian products more competitive in Canada, while Canadian companies could receive easier access to India’s large consumer and industrial markets.
Services will also be important.
India has a large technology and professional-services sector, meaning provisions covering services and skilled professionals could be commercially significant alongside traditional tariff negotiations.
But the final benefits cannot yet be quantified because the tariff schedules, exclusions and other commitments of a completed CEPA have not been finalised.
Canada plans major trade mission to India
The negotiations will be followed quickly by another business-focused engagement.
Canada has officially announced a Team Canada Trade Mission to India from October 12 to 17. The mission is intended to connect Canadian and Indian businesses and identify new commercial opportunities.
Separate reporting says Sidhu is expected to travel with a large business delegation, further highlighting the commercial push accompanying the government-to-government negotiations.
The timing means the October 5–9 negotiating round could set the tone immediately before companies from the two countries hold further discussions.
Trade talks have had a complicated history
The path toward an India-Canada trade agreement has not been straightforward.
The countries initially launched negotiations years ago before talks were paused. They later restarted discussions for an interim agreement, but negotiations were again disrupted as bilateral relations deteriorated.
The two countries eventually agreed in November 2025 to restart formal negotiations, and economic engagement has since accelerated.
That makes the current round particularly notable: trade negotiations are now progressing on a defined timetable, with both governments publicly targeting an agreement before the end of 2026.
What happens from October 5?
Negotiators will meet in Ottawa for five days, with the round scheduled to continue until October 9.
The immediate focus will be on advancing unresolved sections of the agreement and determining how much progress can be made before the year-end target.
Even if negotiators make substantial progress this week, businesses should not assume that a trade agreement automatically takes effect after October 9. A negotiated deal would still need to be finalised and go through the required domestic procedures before its provisions could take effect.
For now, October’s negotiations represent another major step in the attempt to transform improving India-Canada relations into a deeper long-term economic partnership.