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India and Canada Reestablish Relations

Indian and Canadian National Security Advisors (NSAs) along with their security teams conducted discussions aimed at improving bilateral collaboration

Deeksha Upadhyay 20 September 2025 16:12

India and Canada Reestablish Relations

The elevated conversation occurs almost two years after diplomatic ties between the two countries were tense due to Canada's claims regarding the murder of a Khalistani separatist.

It is the initial significant interaction between the security establishments of both countries since each appointed new High Commissioners.

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The discussions centered on information exchange and counter-terrorism collaboration, along with India’s appeals for the extradition of several Khalistani activists sought for cases in India.

Overview of India-Canada Relations

Historical Relations: Diplomatic relations between India and Canada were formed in 1947.

Commonwealth membership and shared democratic principles have supported the relationship.

Historically, tensions existed following India’s nuclear tests in 1974 and 1998, because of Canada’s non-proliferation policy.

Economic Cooperation: In 2024, the overall bilateral trade in goods reached USD 8.55 billion (exports from India: USD 5.22 billion and imports to India: USD 3.33 billion).

Discussions are ongoing regarding a Comprehensive Economic Partnership Agreement (CEPA) and a Foreign Investment Promotion and Protection Agreement (FIPA).

Civil Nuclear Collaboration: The Nuclear Cooperation Agreement (NCA) was signed in 2010 and has been in operation since 2013.

A Joint Committee supervises the execution of the 2010 Agreement on “Collaboration in Peaceful Uses of Nuclear Energy.”

Space collaboration: Agreements were executed in 1996 and 2003 between ISRO and the Canadian Space Agency (CSA).

Collaboration encompasses satellite monitoring, astronomical studies in space, and the launching of commercial satellites.

ANTRIX, the commercial branch of ISRO, has deployed several nanosatellites from Canada.

Science and Technology: The Department of Earth Science and Polar Canada has initiated a program for sharing knowledge and conducting scientific research on Cold Climate (Arctic) Studies.

In 2020, a Memorandum of Cooperation was signed between POLAR Canada and the National Centre for Polar and Ocean Research (NCPOR).

People-to-People Connections: Approximately 1.8 million Indo-Canadians and one million non-resident Indians reside in Canada, accounting for over 3% of its total population.

Human Connections: Approximately 1.8 million Indo-Canadians and one million non-resident Indians reside in Canada, representing more than 3% of the total population.

India is the biggest contributor of international students to Canada, with Indians constituting approximately 40% of this population.

Robust cultural interactions and dynamic diaspora impact mutual viewpoints.

Multilateral Collaboration: The two nations work together in platforms such as the G20, Commonwealth, United Nations, and International Solar Alliance.

Zones of Discrepancy

Khalistani Extremism: India has consistently expressed worries regarding pro-Khalistan actions, such as hate speech, violence, and assaults on Indian diplomatic offices.

Political Divides: Canadian politicians have occasionally expressed support for separatist movements. This has led to ongoing diplomatic tensions.

Trade and Investment Instability: Ongoing negotiations regarding the Early Progress Trade Agreement (EPTA) were suspended in 2023 due to political unrest.

Even with significant business interest, political challenges hinder economic involvement.

Divergent Geopolitical Perspectives: India aims for enhanced cooperation in the Indo-Pacific, while Canada's stance is frequently viewed as erratic and swayed by internal political factors.

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Conclusion

India–Canada relations are built on solid foundations and hold considerable promise, particularly in areas like trade, education, and renewable energy. Nonetheless, bilateral relations continue to be delicate, with political and security issues serving as major sources of tension.

The relationship's future hinges on how both nations handle these disparities while capitalizing on common interests.

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