A promising thaw in Alberta
PM Modi and Canadian PM Carney's G7 meeting marks a positive reset in India-Canada relations, focusing on trade, cooperation, and mutual respect.
The decision by Prime Minister (PM) Narendra Modi and his Canadian counterpart Mark Carney at a meeting on the sidelines of the G7 Summit to reset India-Canada relations is a welcome development, especially after the depths to which they had fallen over the past two years, following the diplomatic row over the killing of a Khalistani separatist. The meeting was preceded by a series of developments that set the stage for a comprehensive reboot of the relationship, including former Canadian PM Justin Trudeau’s exit, Carney’s victory in the general election and a behind-the-scenes dialogue between security agencies of the two sides that created the grounds for closer cooperation. Among the constructive steps unveiled by the two leaders to restore stability to the bilateral relationship are the appointment of high commissioners and the resumption of ministerial and other high-level engagements in different domains to rebuild trust, a commodity that has been in short supply since Trudeau alleged in September 2023 that Indian government agents were linked to the murder of Khalistani operative Hardeep Singh Nijjar. India appears to have decided to flag the Khalistan issue with Canada in a manner similar to the arrangement forged with the US, with security officials of the two sides discreetly handling the matter. In addition to ensuring the well-being of Indian diplomats often threatened by Khalistanis and addressing Canada’s concerns about transnational crime and repression, this process will have to be firewalled from the criminal trial of four Indian nationals arrested for Nijjar’s murder. The commitment by both sides to sovereignty and territorial integrity and the emphasis on mutual respect for concerns and sensitivities will help them to move forward.

Canada’s move to enhance economic partnerships around the world in the face of US President Donald Trump’s whimsical tariff policies was a key factor in Carney’s outreach to India. The two leaders have decided to resume stalled negotiations for a trade deal. The India-Canada relationship is far too important to have been left to languish for several compelling reasons, primary among them being the significant potential to enhance trade in goods and services from the current level of $20 billion, and the presence of 1.8 million Indo-Canadians and another one million non-resident Indians in Canada. As democracies committed to a rules-based global order, Ottawa and New Delhi have common interests they could pursue together at a time of great global churn. The thaw achieved in Alberta augurs well for India-Canada ties.
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