Toronto: Canada and India have made significant progress towards finalising a Foreign Investment Protection and Promotion Agreement (FIPA), which could conclude shortly.
“Negotiations are nearing completion, and the Canadian and Indian governments have agreed to increase efforts to finalise the agreement in the coming months,” Canada’s Minister of International Trade David Emerson said on 12 March.
Emerson reaffirmed his commitment to move the agreement forward in a telephonic conversation with Union Commerce and Industry Minister Kamal Nath.
“The Indian market offers tremendous opportunities for Canadian investors,” he said, adding the increasing two-way investment with India was a priority for Canadian government.
Efforts to encourage investment and stimulate trade flows between the two countries are also being stepped up, he said.
In 2005, Canadian direct investment in India was valued at $204 million (Rs902 crore) while India’s foreign direct investment in Canada reached $145 million, up 58% from the previous year.
Welcoming the proposed agreement, Ajit Khanna, president of the Indo-Canada Chamber of Commerce said it would boost trade and investment between the two countries.