Canadian Prime Minister Mark Carney has accepted Prime Minister Narendra Modi's invitation to visit India in early 2026, marking a major step in the thawing of ties between the two countries after years of diplomatic tension.
“Prime Minister Carney accepted Prime Minister Modi’s invitation to visit India in early 2026,” the Canadian Prime Minister's Office said on Sunday.
The leaders met for bilateral talks on the sidelines of the G20 summit in Johannesburg, South Africa, where Modi extended the formal invitation.
During the meeting, the two sides agreed to reinvigorate cooperation across defence, space, trade, investment, technology and energy, while also emphasising the importance of regular high-level engagements between ministers and business delegations.
In a significant move, the countries agreed to reopen negotiations on a Comprehensive Economic Partnership Agreement (CEPA), which had stalled following a diplomatic dispute in 2023.
“The leaders agreed to formally launch negotiations for an ambitious Comprehensive Economic Partnership Agreement (CEPA) encompassing goods, services, investment, agriculture and agri-food, digital trade, mobility, and sustainable development,” the statement from the Canadian side said.
India's Prime Minister's Office also confirmed the renewed trade push, noting that “the leaders agreed to begin negotiations on a high-ambition Comprehensive Economic Partnership Agreement (CEPA), aimed at doubling bilateral trade to USD 50 billion by 2030.”
Carney echoed the optimism in a post on X, saying: “Prime Minister @narendramodi and I met at the G20 Summit today, and launched negotiations for a trade deal that could more than double our trade to more than (C) $70 billion. India is the world’s fifth largest economy, and that means big new opportunities for Canadian workers and businesses.”
The leaders reaffirmed ongoing civil nuclear cooperation and acknowledged progress on long-term uranium supply discussions.
Carney also welcomed advances in the law enforcement dialogue, an area that had become strained following then-Prime Minister Justin Trudeau’s 2023 allegation of Indian involvement in the killing of Canadian Sikh separatist Hardeep Singh Nijjar—an accusation New Delhi dismissed as “absurd”.
Diplomatic relations had deteriorated sharply after the row, prompting Canada to pause trade negotiations in 2023.
Despite that, bilateral goods and services trade grew to about C$31 billion in 2024, though experts note the figure remains modest given the scale of India’s economy.
Relations began improving after Modi and Carney met during the G7 summit in June, with Sunday’s meeting solidifying momentum. Earlier in the day, Carney described India as a reliable trading partner, while acknowledging occasional “source of friction.”
He added, “What we're looking to do is to put that (commercial relationship) on a sound footing through a potential trade agreement between the two countries, which gives protections to our businesses, protections to Indian businesses, a clear set of rules, dispute mechanisms, and others, and build on those opportunities.”
Carney, who aims to double Canada’s non-U.S. exports over the next decade, also held discussions with Brazilian President Luiz Inácio Lula da Silva at the G20 summit. The two leaders agreed to intensify negotiations on a Canada-Mercosur free trade agreement, involving Brazil, Argentina, Paraguay and Uruguay.