Canada wants to conclude proposed FTA with India by 2013

Canada Thursday said it wants to conclude the ongoing negotiations for a comprehensive market opening pact with India by 2013.

"The free trade pact would provide the building block to shape the future economic relations of both the countries. It will facilitate trade and investment between the countries," Canadian Deputy High Commissioner Jim Nickel told reporters here.

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He said Canadian Prime Minister Stephen Harper has indicated the desire to conclude the negotiations by 2013. "So far, we have completed one round of talks and other round is expected soon," Nickel said.     

India and Canada formally launched negotiations in November, 2010 for a Comprehensive Economic Partnership Agreement (CEPA) to boost bilateral trade.

As per a joint study group report, both countries will benefit from the CEPA. According to the report, India and Canada's GDP are likely to get benefit in the range of USD 6 billion and USD 15 billion per year from the trade pact. Both the sides expected that bilateral trade between the countries would be tripled to USD 15 billion by 2015 from USD 5 billion currently.

Canada primarily exporting vegetables, fertilisers, machinery and wood pulp, while its main imports from India were organic chemicals, knit and woven apparel, precious stones and metals, electronics and machinery.

India has already operationalised a similar trade pact with South Korea and Singapore and recently concluded a comprehensive free trade agreement with Japan and Malaysia.

Both the sides are also negotiating an Audio-Visual Co-production Treaty. Under this, film and music producers ofboth the countries would get tax benefits besides other incentives.

"This would cover all areas of entertainment and media, films and music. We have discussed IPR thing in it. The benefits of this are that our tax incentives, subsidies, waiving of fees that producers could take advantage of," he said.
He also said that huge opportunities are available in sectors like education, energy, food, agriculture, civil nuclear, IT and communication, where both the sides can cooperate.

Further, Nickel said growing cooperation in education sector will help in attracting more Indian students to Canada.