India and Canada Target Late 2026 to Conclude CEPA Trade Pact, MEA Informs Parliament
India and Canada are actively working towards concluding negotiations for their proposed Comprehensive Economic Partnership Agreement (CEPA) by the end of 2026. The Ministry of External Affairs (MEA) provided this details in a written reply to Parliament on Friday, citing positive momentum following the resumption of diplomatic engagement.
What Happened
In a written response in the Rajya Sabha, Minister of State for External Affairs Kirti Vardhan Singh confirmed that three rounds of CEPA negotiations have been completed so far. The latest round of discussions took place in Ottawa from July 6 to July 10, 2026.
The minister stated that progress has been made across multiple negotiating tracks, with both countries working towards finalizing the process by late 2026. This comes amid an improvement in bilateral relations following a normalisation process that began in June 2025.
Key Highlights
- Target Date: Both nations aim to conclude CEPA negotiations by late 2026.
- Negotiation Rounds: Three rounds have occurred to date, with the third held in Ottawa between July 6 and July 10, 2026.
- Agreement Objectives: CEPA aims to form a free trade area by removing or reducing tariffs and trade barriers, liberalising trade in goods and services, and fostering a transparent, predictable trade and investment framework.
- Diplomatic Leadership Meeting: Prime Minister Narendra Modi met Canadian Prime Minister Mark Carney on June 16, 2026, on the sidelines of the G7 Leaders’ Summit in Evian, France, reviewing progress since diplomatic ties resumed.
- Restoration Measures: MEA noted key developments including the return of high commissioners, restoration of diplomatic personnel, resumption of sector-specific dialogue mechanisms, and renewed high-level exchanges.
Why This Matters
The proposed CEPA deal aims to establish a structured free trade area between India and Canada. By reducing or eliminating tariffs and other trade restrictions, the agreement is designed to liberalise trade in goods and services while creating a transparent and facilitative regime for investment. Furthermore, the pact intends to strengthen economic cooperation and foster people-to-people connections between both countries.
What to Watch Next
Both countries will continue negotiating across established tracks as they work towards the late 2026 conclusion target. Future developments will also follow the continued restoration of diplomatic mission staff, high-level exchanges, and ongoing sectoral dialogue mechanisms between the two governments.
Frequently Asked Questions
What is the status of the India-Canada CEPA negotiations?
India and Canada have held three negotiation rounds so far, with the latest taking place in Ottawa from July 6-10, 2026. Both sides aim to conclude the pact by late 2026.
What are the primary goals of the proposed CEPA?
The CEPA aims to establish a free trade area by eliminating or reducing tariffs, liberalising trade in goods and services, promoting investment, and strengthening economic and people-to-people ties.
When did Prime Minister Modi meet the Canadian Prime Minister?
Prime Minister Narendra Modi met Canadian Prime Minister Mark Carney on June 16, 2026, on the sidelines of the G7 Leaders’ Summit in Evian, France.
Source: Written reply by the Ministry of External Affairs in Rajya Sabha, as reported by Firstpost.