Canada's upcoming administration should present a compelling argument to restore relationships with India, according to a former diplomat.
David McKinnon, a retired Canadian diplomat and a senior fellow at the Asia-Pacific Foundation of Canada, is rallying for the next Canadian government to reconnect with India for multiple strategic reasons:
- India's Economic Powerhouse: India's rapid economic growth has propelled it to become the world's fifth-largest economy, doubling that of Canada[1]. McKinnon underscores the country's economic significance and urges foreign relations to reflect this reality.
- Strategic Connection: As India gains importance in the global arena, McKinnon suggests a pragmatic and perceptive approach between the nations. He advocates for fostering mutual understanding, cooperation wherever possible, and engaging in open, respectful, and constructive dialogue[1].
- Diplomatic Irregularities: The relationship experienced turbulence due to accusations of Indian agents' involvement in a Canadian murder case, sparking a series of diplomatic tensions. McKinnon suggests that past transgressions should not overshadow the potential for better relations between the nations[1].
Current Trade Picture: India and Canada
Trade and investment make up the backbone of the relationship between India and Canada:
- Bilateral Trade: India serves as a vital trading partner for Canada, with the annual value of trade between the nations running into billions[2]. Both nations seek avenues to further strengthen their trade agreements and remove trade barriers.
- Investment: Indian companies have made significant investments in various Canadian sectors, such as technology and natural resources. Conversely, Canadian companies invest generously in India, covering various industries.
- Expansion Opportunities: The continuous growth of the Indian economy presents attractive opportunities for Canadian businesses seeking to penetrate lucrative emerging markets. Strengthening this relationship could yield increased trade and investment opportunities for both countries[3].
Nonetheless, the robust economic bond has faced obstacles because of recent diplomatic disputes. McKinnon's advocacy for re-engagement could help stimulate the economic ties even further.
References:[1] McKinnon, David. (2023). "Canada and India: Looking Forward, Not Back." Asia-Pacific Foundation of Canada.
[2] Government of Canada, Trade Data Bank. (n.d.). http://ww2.international.gc.ca/tdb/india-ind.aspx?lang=eng
[3] Asia-Pacific Foundation of Canada. (n.d.). India-Canada Relations. https://www.asiapacific.ca/explore-issues/india-canada-relations/
- The next Canadian government should consider reestablishing strategic relations with India, taking into account India's rise as the world's fifth-largest economy.
- David McKinnon, a retired Canadian diplomat, has advocated for improved relations with India, emphasizing the importance of fostering mutual understanding and cooperation.
- Politics aside, engaging in open and respectful dialogue with India could lead to benefits for both nations, particularly in economics and trade.
- Economic growth in India has made it an attractive market for Canadian businesses, but recent diplomatic disputes have hindered trade and investment opportunities between the nations.
- As Prime Minister of Canada, Justin Trudeau could play a key role in restoring and strengthening relations with India, following McKinnon's advice and focusing on strategic partnerships.
- Improved Canada-India relations could provide a counsellor for strengthening India's shorter-term general news, while also paving the way for long-term strategic partnerships in areas like technology, natural resources, and infrastructure.
