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India, Canada may finalise ToR for initiating talks for FTA this week: Goyal
Feb-25-2026

Commerce and Industry Minister Piyush Goyal has said that India and Canada may finalise terms of reference (ToR) for initiating talks for a free trade agreement (FTA) as early as this week. Canadian Prime Minister Mark Carney is set to visit India on February 26, 2026, a pivotal moment for advancing the trade talks. The ToR, once agreed, will outline the scope and modalities of a proposed trade pact. 

The minister said India and Canada were earlier negotiating a trade pact, but the process was paused by Canada in 2023. He said now both sides have decided to resume talks from the beginning, as a lot has changed on the global trade front during these two years. He also said that the recently announced FTA with the European Union may be implemented in the first quarter of next year. He suggested exporters to take full advantage of these pacts and emphasised the need to increase awareness about these FTAs in small cities and towns of India. 

India's exports to Canada rose 9.8 per cent to $4.22 billion in FY25 from $3.84 billion in FY24. However, imports dipped 2.33 per cent to $4.44 billion in FY25 from $4.55 billion in the previous fiscal year. Bilateral trade in goods and services stood at $18.38 billion in 2023. There are about 2.9 million Indian diaspora and over 4,27,000 Indian students in Canada.   


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