(OTTAWA) As Indian Trade Minister Piyush Goyal visits Canada this week, Canadian companies are hoping the two countries will commit to signing a trade deal this year after more than a decade of talks.
Updated yesterday at 4:30pm.
Dylan Robertson The Canadian Press
“It seems like a no-brainer to me,” said Goldy Hyder, CEO of the Business Council of Canada. “We need to be able to show that democracies can work for business. »
Minister Goyal is set to meet his Canadian counterpart Mary Ng at an event in Ottawa on Monday before joining a delegation of major Indian companies in Toronto on Tuesday.
In an interview, Mr Hyder said he hoped the two countries would agree to reach a trade deal this year as several negotiations have been underway since 2010 and election cycles could further prolong those talks.
He notes that Indian Prime Minister Narendra Modi is heading for an election the following spring. Canadian Prime Minister Justin Trudeau also governs with a minority, meaning the Liberals could face an election if they lose a vote of confidence.
Hyder hopes Justin Trudeau will be ready to sign a trade deal before or during his scheduled visit to New Delhi in September for the G20 summit.
India is Canada’s largest source of immigration, including data scientists, students and foreign temporary workers.
The country is one of Canada’s top destinations for foreign investment, particularly for pension funds and companies like Brookfield Corp., and is emerging as a center for semiconductor research complexes, vaccines and life sciences.
In November, the Liberals targeted India as a key partner in their Indo-Pacific strategy, which calls for more economic and security ties with countries in the region to counterbalance China’s growing influence.
The Asia-Pacific Foundation of Canada, a trade and technology analysis organization, says India could benefit from importing more Canadian crops, chemicals, timber products and minerals, while a trade deal would make Ottawa more economically resilient to US-China conflict.
“Canada has secured a relatively small share of India’s fast-growing market over the years,” said analyst Pia Silvia Rozario in a report released last fall. “The current business relationship is still below its full potential. »
Hyder also believes the Liberals would make more progress with India if they relaxed their approach to fairness in trade deals.
In recent years, Liberals have signed agreements with specific clauses on small businesses, businesses run by women and minorities, and environmental preservation.
Human Rights Watch criticized the Modi government, denouncing “a serious decline in human rights and constitutional protection,” prompting the New Democratic Party to urge liberals to limit their participation in G20 events.
India has long argued that Canada is not doing enough to expose some Sikh separatists who have worshiped convicted terrorists.