Canada looks to boost tech and trade ties with Karnataka

Canadian companies want to build stronger partnerships with Karnataka in high-tech fields like quantum computing, artificial intelligence, aerospace, and defence. Canadian Trade Minister Maninder Sidhu shared this update during his visit to Bengaluru as part of a high-level trade mission to India. He noted that both nations share matching economic strengths and can grow their ties while global trade patterns shift.

Trade Goals

A main goal for both governments is the proposed Comprehensive Economic Partnership Agreement. Minister Sidhu stated this deal could help more than double bilateral trade to $70 billion by 2030. He also pointed out that Canadian institutional investors and pension funds have already invested about $107 billion in India across infrastructure, healthcare, technology, clean technology, and energy sectors. The trade mission led to over 30 agreements between Canadian delegates and Indian partners, worth nearly 300 million Canadian dollars. He mentioned Fairfax's proposed buyout of a majority stake in IDBI Bank for close to 8 billion Canadian dollars, or 52,878 crore rupees, as a sign of strong investor trust in India.

Immigration Policy

When asked about visa policies and friction points for Indian students and professionals, the Minister explained that Canada aims to bring more control to its immigration system. He emphasized that international students remain welcome, but the intake must match local infrastructure limits like housing, healthcare, and transport. The government focuses heavily on economic immigration, noting a high demand for doctors and nurses across Canada.

Context

Trade missions and bilateral trade agreements help countries lower trade barriers and boost cross-border investments in key sectors. Discussions around economic pacts often take years as governments negotiate terms to benefit businesses on both sides.