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India and Canada on Monday signed historic agreements for long-term supply of uranium and critical minerals, opening a new chapter in diplomatic and economic relations. Prime Minister Narendra Modi and his Canadian counterpart Mark Carney finalized an ambitious strategy for cooperation to strengthen bilateral ties.

Under this strategic partnership, a resolution has been expressed to conclude the 'Comprehensive Economic Partnership Agreement' (CEPA) by the end of this year and to increase bilateral annual trade from the current $ 13 billion to beyond $ 50 billion by the year 2030. Apart from this, both the countries also signed an important uranium deal worth $2.6 billion. This comprehensive talk between the two leaders is extremely important in the sense that it is taking place after a long deadlock in relations.

In the year 2023, diplomatic relations between the two countries had reached their lowest level after the then Canadian Prime Minister Justin Trudeau made baseless allegations of possible involvement of an Indian agent in the killing of Khalistani terrorist Hardeep Singh Nijjar. The tension that arose at that time almost disrupted business and diplomatic dialogue.

However, since Mark Carney took over as Prime Minister in March last year, both sides initiated a new series of measures to rebuild relations and restore confidence. Today's meeting is a direct proof that the relations between the two countries have now come out of the period of instability and have entered a more mature, stable and future-oriented phase.

Uranium deal signed

Accomplishing a major achievement towards India's energy security, both the countries announced a new strategic energy partnership. Under its first phase, a mega agreement worth $2.6 billion was signed between the Government of India and Saskatoon (Canada) based major company 'CAMECO'. According to the provisions of this agreement, Cameco will supply approximately 22 million pounds of uranium to India between 2027 and 2035, which will ensure continuity of fuel for India's nuclear power plants. Commenting on this, Prime Minister Modi said that in the field of civil nuclear energy, we have signed a historic agreement for long-term uranium supply. We will also work together on the technology of small and modular nuclear reactors (SMR) and advanced reactors.

Pension fund's investment of 100 billion dollars

Prime Minister Modi appreciated Canada's confidence on the economic front. He said in his statement that Canada's pension fund has so far invested about 100 billion dollars in India. This is a symbol of his deep and unwavering faith in India's economic progress. Our common goal is to increase bilateral trade to $50 billion by 2030. Tapping this huge potential of economic cooperation is our top priority, for which 'CEPA' will be finalized soon. The Prime Minister expressed confidence that these agreements will create new inflows of investment as well as vast employment opportunities in both the countries. At present the bilateral trade between the two countries is around 13 billion dollars, the target has been set to quadruple it.

Cooperation in defense sector

In the field of defense also, both the countries have opened new dimensions of cooperation. The two leaders have decided to establish an 'India-Canada Defense Dialogue', which will promote integration of defense industries, maritime domain awareness and military exchanges. Taking a tough stance on terrorism, Prime Minister Modi said that both India and Canada agree that terrorism, extremism and radicalism are a serious challenge not only for our countries but for all humanity. Our close cooperation against these powers is essential for global peace and stability. According to details released by the Canadian side, the two leaders agreed to advance security and law enforcement cooperation. This includes issues of common concern such as cracking down on the illicit flow of narcotics and international organized criminal networks. Prime Minister Carney also underlined that Canada will continue to take strong measures against 'transnational repression'.

Supply of Reye Earth Metals

The agreement on critical minerals could prove to be a game changer for India's clean energy mission and electric vehicle (EV) industry. Canada has a huge reserve of rare minerals and this agreement will ensure a strong and secure supply chain for India. In this next generation partnership in the energy sector, along with hydrocarbons, special attention will also be given to green hydrogen and energy storage. Taking a revolutionary step in the education sector, many Canadian universities have planned to open their campuses in India. New partnerships have been announced between universities of the two countries in the areas of artificial intelligence (AI), healthcare, agriculture and innovation. Along with this, people-to-people contacts will be deepened through 'Talent and Innovation Strategy'.

Will work together in space sector

New announcements of cooperation were also made in the space sector. Indian Space Research Organization (ISRO) and Canadian Space Agency (CSA) will cooperate in the field of Earth observation. Both the agencies will explore joint initiatives on space exploration and quantum technologies, which will help in disaster management and technology innovation. During the discussion on regional security, both the leaders also discussed the delicate situation in West Asia. Prime Minister Modi clarified that India is in favor of resolving any conflict only through dialogue and diplomacy. He reiterated his commitment to work together with all countries to ensure the safety of Indian citizens stranded in the region.

Both countries will cooperate

In the joint statement, Modi and Carney underlined their shared and unwavering commitment to democratic values. He said that closer cooperation between India and Canada will help in more effectively implementing international rules and norms, strengthening economic resilience and promoting sustainable development. The two leaders reiterated their resolve to work together in bilateral and multilateral fora for peace, stability and prosperity in the Indo-Pacific region and beyond. Finally, Prime Minister Carney described the uranium supply agreement as a reflection of our shared commitment to clean and reliable energy. He said that all these agreements are the foundation of a prosperous future, which will provide historic opportunities to workers and businesses for generations to come. P. Kumaran, Secretary (East), Ministry of External Affairs, while briefing the media, presented the summary and said that the process of normalization of relations is now translating into 'concrete economic results' on the ground.