Canadian Prime Minister Justin Trudeau’s government has initiated a temporary halt in trade negotiations with India in preparation for his upcoming attendance at the Group of 20 (G20) leaders’ summit in New Delhi. The decision to pause the trade talks was confirmed by India’s High Commissioner to Canada, Sanjay Kumar Verma, and was first reported by the Canadian Press. Verma stated that the pause was suggested by the Canadian side and is likely intended to facilitate further consultations with stakeholders, although the exact reasons were not disclosed.
Trade negotiations are complex and time-consuming processes, and the Canadian government has taken this pause to assess the situation further, according to an anonymous government official briefing reporters about Trudeau’s upcoming trip to India. However, no specific details were provided regarding the reasons behind the pause.
Canada’s Trade Minister Mary Ng’s office has not yet responded to requests for comments on this matter.
In May, Commerce and Industry Minister Piyush Goyal visited Ottawa, and both countries appeared optimistic about the progress of the early-stage trade agreement, which would focus on specific industries rather than a comprehensive accord covering the entire economy. Minister Ng had previously indicated that they were making significant strides and suggested that the agreement would not take years to finalize.
Canada has engaged in intermittent trade negotiations with India for the past decade, with Trudeau’s government intensifying efforts in recent years to diversify its economic relationships beyond China. A trade deal with India is seen as a component of Canada’s broader Indo-Pacific strategy.
Notably, Canada is home to a significant Indian community, including the largest Sikh population outside of India. Some stakeholders have urged the Canadian government to make a trade agreement contingent on India’s adherence to human rights standards, particularly with regard to religious minorities.
Prime Minister Narendra Modi is presiding over the G20 summit this year, and several Canadian ministers have already met with their Indian counterparts during the summer. Trudeau is scheduled to attend the leaders’ summit in New Delhi next weekend, although it remains uncertain whether he will hold one-on-one discussions with Prime Minister Modi.
Regarding concerns about human rights, a government official mentioned that Trudeau regularly raises such issues with his global partners as a standard practice.