Before the G-20 meeting, Canada surprisingly halted ongoing discussions with India concerning the trade treaty. This announcement on Friday caught everyone off guard, as just three months ago in May, both countries had aimed to finalize the initial agreement this year. India and Canada have been negotiating a Comprehensive Economic Partnership Agreement since 2010, with talks formally restarting last year.
The reason for this pause in trade agreement talks?
The trade agreement negotiations between India and Canada have come to a halt. A Canadian government official explained that trade negotiations are lengthy and complex, necessitating a break to assess Canada’s current situation. India’s Ambassador to Canada, Sanjay Kumar Verma, stated that the Canadian government sought to stall the talks last month but did not provide reasons.
This decision carries significance ahead of the G-20 meeting
The suspension of trade treaty talks between India and Canada coincides with Canadian Prime Minister Justin Trudeau’s upcoming visit to India for the G-20 meeting next week, scheduled for September 9-10 in Delhi. According to a Reuters report, India planned to negotiate a bilateral free trade agreement with Canada and other countries alongside the G-20 meeting. The discussions with Canada were intended to cover dispute settlement rules, as well as measures to boost trade and investment between the two nations.