OTTAWA – Economic experts suggest that the landmark free trade agreement signed between India and New Zealand earlier this month serves as a vital blueprint for Canada as it seeks to finalize its own trade pact with the South Asian giant. The Asia Pacific Foundation of Canada recently highlighted that the success of the India-New Zealand deal—which was successfully concluded in just nine months after a decade-long stalemate—offers a clear roadmap for the Carney government. Currently, Canada is aiming to finalize a Comprehensive Economic Partnership Agreement (CEPA) with India by the end of 2026, a goal set during a meeting between Prime Ministers Mark Carney and Narendra Modi in March.
The success of the New Zealand model is attributed to a pragmatic shift away from demanding total mutual cooperation in all sectors, opting instead for strategic compromises. New Zealand expedited the process by offering immediate 100% duty-free access to Indian products and officially recognizing India’s traditional medicine sectors, such as AYUSH. Experts believe that by adopting a similar “good faith” approach and allowing India to maintain protections on sensitive sectors, Canada can overcome long-standing hurdles that have stalled negotiations since 2010.
A significant breakthrough is expected later this month when Indian Commerce and Industry Minister Piyush Goyal is anticipated to visit Canada with a high-level business delegation. This visit is seen as a crucial step in translating political goodwill into technical progress. Analysts point out that the India-New Zealand agreement proves that India is serious about its trade partnerships; if Canada follows this established pattern of flexibility and mutual respect, it could pave the way for a massive economic boost for both nations.
