Merchandise trade between India and Canada has shown significant growth, with a reported double-digit increase in the first eight months of 2026. This upsurge underscores a renewed momentum in economic relations between the two nations, setting the stage for Indian Prime Minister Narendra Modi’s anticipated visit to Canada in December.
Between January and August 2026, Canada’s merchandise exports to India amounted to CA$3.03 billion, marking a 36.7% rise compared to the same timeframe in the previous year. The surge in Canadian exports was primarily driven by metals and minerals, which comprised 41% of the shipments, followed by agri-food products at 16.9%.
Conversely, Canada’s imports of goods from India reached CA$7.05 billion in the same period, reflecting a 10.2% year-on-year increase. In 2025, total Canadian exports to India were reported at CA$3.9 billion, while imports from India stood at CA$9.7 billion, indicating continued growth in bilateral trade.
The two countries have also witnessed increased engagement through high-level discussions and business initiatives. Notably, a recent Canadian trade delegation, consisting of nearly 300 participants, successfully secured 34 commercial agreements valued at approximately CA$300 million. These agreements span various sectors including energy, critical minerals, and aerospace.
Additionally, India and Canada are actively working towards finalizing a Comprehensive Economic Partnership Agreement (CEPA). Five rounds of negotiations have already been completed, with further discussions planned. Both countries are aiming to conclude the agreement by December, which could further enhance trade and investment opportunities.
Prime Ministers Narendra Modi and Mark Carney have engaged in ongoing talks to strengthen bilateral relations, while officials from both nations continue efforts to expand cooperation in trade, investment, and mobility. As these diplomatic and economic initiatives progress, the growth in trade reflects a broader commitment to bolstering ties between India and Canada.