PM Modi’s likely Canada visit next month to focus on trade pact, energy supplies and security ties

A CEPA or Comprehensive Economic Partnership Agreement with Ottawa is on the cards, with both Canada, which faces knotty tariff issues with the United States of America (USA) and India, which has already signed major trade treaties with the European Union (EU), Great Britain and the USA, can benefit from. Also with Canadian PM Mark Carney having a strong economics/finance background there could be more focus on business-related issues. Interestingly, the Canadians were even talked about as an associate member of the EU at one time.

With the West Asian crisis continuing and the future being as uncertain as it is, many countries are looking for alternative sources of oil and LNG or liquefied natural gas, India included. Meanwhile, Canada, one of the world's largest producers and exporters of crude oil, has just built a massive terminal on its west coast and this could help India almost immediately. Canada has one of the largest reserves of crude oil, at about 160 billion tons, and with similar natural gas deposits, can be a useful supplier to India, which imports a lot of LNG from the Gulf states.

A defence cooperation agreement is also on the cards. This will be a two-part effort, one between industries of both countries and the other, a military-to-military one. A Security of Information Agreement when it comes to dual-use technology is also likely. This agreement is being seen as a potential game changer.

Education is also an important area. Already, almost a third of the seven lakh foreign students in Canada are Indian. In fact, no country has sent as many foreign students to Canada as India. There can be further progress, India feels, particularly if the Canadian universities open campuses in India. Many countries, particularly Great Britain and Australia have done so.

India has been talking about labour mobility in recent times and Ottawa and New Delhi may be looking at an agreement. India is particularly keen that mid-segment workers like technicians, plumbers, electricians and so on are focussed on. For, top-class Indian IT professionals can move in any case. These are skilled people who could conceivably return to India after working abroad for a specified number of years.

Another "exciting area" sources said, could be startups and technology companies of India and Canada could work together on innovations. The likely Modi visit (possibly 12-13 December) will come after a productive visit by PM Carney in October last year, which improved frosty ties largely caused by then PM Justin Trudeau's accusing the Indian government of murdering a Canadian citizen. This was something India immediately and unequivocally denied. The charges hurt both sides and the relationship began improving after Carney took over as PM.