Canadian Prime Minister Mark Carney has described the proposed free trade agreement between India and Canada as a major opportunity for both countries. During a meeting with Union Commerce Minister Piyush Goyal in Ottawa on Monday, Carney said the deal could significantly benefit Canadian businesses and workers by opening access to the Indian market.

Goyal began his three-day visit to Canada in Ottawa and met Carney along with Canada’s minister of international trade, Maninder Sidhu. After the meeting, Carney posted, “We’re negotiating a free trade deal with India. This will be a game changer for Canadian workers and businesses — unlocking a massive new market. We’re working fast.” He added that both sides reviewed the progress of negotiations for the Comprehensive Economic Partnership Agreement (CEPA). The discussions also focused on future opportunities in sectors such as energy, agri-food, technology and education.

In his own statement, Goyal said he conveyed Prime Minister Narendra Modi’s “warm greetings” to Carney. He said the two leaders held “forward-looking discussions on further deepening bilateral cooperation” and expressed confidence about the early conclusion of the CEPA negotiations.

Earlier in the day, Goyal met Sidhu and appreciated Carney’s role in improving ties between the two countries. He said Carney’s visit to India earlier this year had brought a major shift in the relationship. Goyal stated, “completely changed the way Canada and India looked at each other. It has set in motion a pathway to a complete overhaul of this relationship, setting a new agenda, new goals. In mission mode, and I can clearly see the speed and intent of both sides is phenomenal.”

According to a statement released by Global Affairs Canada, the ministers noted the “solid progress” achieved during the first two rounds of negotiations for the CEPA. Both countries also “reaffirmed their commitment to conclude it this year.” The groundwork for the third round of negotiations was also discussed, with Canada set to host the next round.

Sidhu also announced plans to bring a business delegation to India later this year. At the same time, a large Indian business delegation travelled to Canada as part of Goyal’s visit. The commerce minister said 112 business delegates from India had already reached Canada and more participants were expected before the trade and industry meetings begin in Toronto on Tuesday.

During his visit, Goyal also met Canada’s foreign affairs minister Anita Anand and agriculture and agri-food minister Heath MacDonald. Several Canadian cabinet ministers attended a reception hosted by Sidhu for Goyal in Ottawa on Monday evening.

The warm welcome extended to the Indian minister reflects the importance Canada now places on strengthening ties with India. The Carney government is looking to reduce Canada’s heavy dependence on trade with the United States and sees India as a key partner in that effort.

Vina Nadjibulla, vice-president research and strategy at the Asia-Pacific Foundation of Canada, said the developments highlight Carney’s serious interest in expanding ties with India. She stated, “This is a testament to his [Carney’s] interest in deepening the relationship and also to the strategic nature of the relationship.” She added that the renewed engagement showed an effort to build a “genuine partnership” that goes beyond only trade and commercial ties.

On Tuesday, Sidhu and Goyal are expected to jointly attend the Canada-India Trade and Investment Forum in Toronto. The event is being organised by the Canada-India Business Council in collaboration with Global Affairs Canada.

Relations between India and Canada had sharply deteriorated in 2023 after former Canadian Prime Minister Justin Trudeau alleged in the Canadian Parliament that there were “credible allegations” linking Indian agents to the killing of pro-Khalistan figure Hardeep Nijjar in Surrey, British Columbia. Nijjar had been killed three months earlier. India strongly rejected the allegations and described them as “absurd” and “motivated.”

The relationship began improving after Carney became Prime Minister in March 2025. He invited Modi to attend the G7 Leaders’ Summit in Kananaskis in June last year. The two leaders met again on the sidelines of the G20 Summit in Johannesburg in November. Carney later visited India earlier this year, where both countries restarted negotiations on the CEPA and agreed to aim for its completion by the end of this year.

The latest meetings in Ottawa signal that both governments are now moving quickly to rebuild trust and strengthen economic cooperation. As Goyal remarked, “This is a partnership that is being reset very very rapidly.”