India and Canada intend to sign an initial agreement this year to boost trade and expand investment while establishing a dispute settlement mechanism, Reuters reported.
India's Commerce and Industry Minister Piyush Goyal met with his Canadian counterpart Mary Ng in Ottawa on Monday along with business leaders. They emphasized that they would like to finalize the memorandum of understanding this year.
"The Early Progress Trade Agreement (EPTA) will cover, among other things, high-level commitments on goods, services, investment, rules of origin, sanitary and phytosanitary measures, technical barriers to trade and dispute settlement," the joint statement said. .
NG is expected to visit India in October with a trade delegation.
Last year, the two countries resumed negotiations on a comprehensive economic partnership agreement. The Indian government estimates that the proposed comprehensive trade agreement could increase bilateral trade by up to $6.5 billion.
More than 600 Canadian companies and organizations are represented in India. Bilateral trade between the two countries is valued at $100 billion, which includes $70 billion in Canadian portfolio investment to India, according to Indian data. Two-way trade in goods between Canada and India will grow to $8.2 billion in 2022, up 25% from a year earlier.