Canadian Prime Minister Mark Carney arrived in Mumbai today, beginning a visit to India aimed at bolstering trade and repairing diplomatic ties strained by a 2023 dispute. The visit, the first major overseas tour for Carney since becoming Prime Minister in 2025, underscores a strategic shift towards diversifying Canada’s economic partnerships and strengthening its presence in the Indo-Pacific region.
The trip follows a period of heightened tension between Ottawa and New Delhi sparked by allegations that Indian government agents were involved in the killing of Hardeep Singh Nijjar, a Sikh separatist leader, in Vancouver in June 2023. India has repeatedly denied any involvement. The accusations led to the expulsion of diplomats from both countries, significantly chilling bilateral relations. Diplomatic relations were restored after Carney took office in March 2025.
Carney’s itinerary includes meetings with business leaders in Mumbai and a bilateral meeting with Indian Prime Minister Narendra Modi in New Delhi on March 2nd. Discussions are expected to center on a comprehensive economic partnership agreement (CEPA) between Canada and India, with a goal of increasing bilateral trade to $50 billion annually by 2050, according to officials in both countries.
“This visit is key for Canada to have a strategic relationship with India,” Finance Minister François-Philippe Champagne said, emphasizing the importance of trade diversification for Canada’s economic resilience. Foreign Minister Anita Anand stated the objective is to “further diversify trade and unlock additional opportunities for Canadians, including enhancing economic sectors and people-to-people ties.”
A key element of the discussions is expected to be a potential 10-year agreement for the procurement of uranium by India from Canada. The two sides are also exploring new partnerships in trade, energy, technology, artificial intelligence, talent mobility, culture, and defence. Canada possesses significant reserves of critical minerals, a resource of increasing interest to India as it seeks to reduce its reliance on China.
The Canadian delegation accompanying Carney includes four cabinet ministers – Anita Anand, François-Philippe Champagne, David McGuinty, and Matt Jeneroux – as well as the premiers of Alberta, Scott Moe, and New Brunswick, Susan Holt. The presence of provincial leaders signals a desire to broaden the scope of cooperation beyond the federal level.
India is currently Canada’s seventh-largest trading partner, with annual bilateral trade exceeding $21 billion. Over 600 Canadian companies operate in India, particularly in sectors such as information technology, banking, health sciences, and financial services. Canada is also a popular destination for Indian students, with nearly 400,000 Indian nationals enrolled in Canadian universities, representing the largest contingent of international students in the country.
The visit also comes amid a broader Canadian strategy to diversify its trade relationships, reducing reliance on the United States. Carney is scheduled to continue his Indo-Pacific tour with stops in Australia and Japan, further demonstrating Canada’s commitment to strengthening ties with key partners in the region. The Canadian Prime Minister’s office stated that the trip is focused on unlocking new opportunities for Canadian workers and businesses across trade, energy, technology, and defence.
The sensitive issue of Sikh separatism is also expected to be addressed during the meetings. Canada is home to a large Sikh community, including supporters of the Khalistan movement, which advocates for a separate Sikh state in India. The Canadian government has stated its commitment to protecting freedom of expression while also condemning extremism and violence.
