Indo canada bilateral trade and investment: Too little! but ample opportunities for stronger & deeper relationship

India and Canada have a major role to play in the changing world scenario. Both the economies are committed to democracy, pluralism, tolerance and, global peace & security. The Indo-Canada relationship can be traced in west minister institutions, common law and in close interpersonal. There is a close interpersonal connection, as more than one million people with their roots in India live in Canada.

India and Canada have long standing bilateral relations. The Indian prime minister Jawaharlal Nehru on 24 October 1949 and Indira Gandhi on 19 June 1973 have addressed the joint session of the Canadian parliament. Canada bilateral development assistance is India began in 1951 and spent around C$ 2.39 billion by 2006. It came to an end as there was change in the Indian policy towards aid. The year 2011 was celebrated as year of India in Canada, which was the joint initiative of both the governments.

In 2011 the total trade between India and China was worth 5.1 billion Canadian dollars. Almost equal amount of money was spent by both the countries on their exports and imports. India exported 2.5 billion Canadian dollars and in turn imported 2.6 billion Canadian dollars. The major imports by our economy from the Canada were vegetables (mostly peas and lentils), fertilizers, paper and paperboard, machinery, wood pulp, precious stones, and iron and steel. And at the same time India exported organic chemicals, precious stones and metals, knit apparel, woven apparel, machinery, and iron and steel to Canada.

The total Indo-Canada investments were to the tune of 4983 million Canada dollars.88%, (4386 C$) of it was India's FDI in Canada. The Canada FDI in India during the same period was very meager sum at 587 C$.

The bilateral relations between Indo-Canada have definitely increased over years. There is good number of agreements that are signed in the areas of environment, energy, agriculture, science and technology, road transportation, public service, mining and earth sciences, culture, and education. But the question is despite the long time bilateral relations, many delegations and efforts, still the economic relations are in infancy, but at the same time it also reminds us of vast opportunities available for Indo-Canada.