India, Canada to enhance cooperation in trade, investment and energy

Prime Minister Manmohan Singh and his Canadian counterpart Stephen Harper at the Joint Press Interaction in New Delhi on November 17, 2009.

India and Canada today signed two agreements aimed at enhancing bilateral cooperation in the areas of energy, trade and investment and reaffirmed their commitment to deepen their cooperation to counter international terrorism and extremist ideologies.

The agreements were signed at the end of official talks between Prime Minister Manmohan Singh and his Canadian counterpart Stephen Harper here.

The first agreement was a memorandum of understanding (MoU) to launch a Joint Study Group to formulate the parameters of a Comprehensive Economic Partnership Agreement (CEPA) which is expected to deliver commercial benefits across a variety of sectors.

The second is an MoU on Energy Cooperation that will foster increased cooperation on clean and renewable energy, energy efficiency, power generation, oil and gas exploration, research and development, energy policy and other areas.

Talking to reporters after the meeting, Dr Singh said the two sides also looked forward to cooperation in the field of civil nuclear energy.

He said relations between India and Canada were of a long standing nature and derived their strength from their shared values of democracy, respect for fundamental human rights and multi-culturalism. He noted that Canada was host to a large Indian origin community of over one million, which reflected the strong people-to-people links that existed between the two countries and which had enriched their relationship.

Dr Singh said the bilateral relations had greatly strengthened since Mr Harper assumed office as Prime Minister. He said this was particularly true in the areas of trade and investment. He pointed out that a large number of Indian corporate entities had invested in Canada and several Canadian companies had entered the Indian market. There were, however, vast opportunities for doing much more, he said.

"There is significant scope for greater investments by Canadian companies in areas of high technology and infrastructure development, and enhancing cooperation in the areas of science and technology, agriculture, mining, natural resources, education, and energy. The Memorandum of Understanding we have signed on Energy will facilitate greater cooperation in this very wide area. We look forward to cooperation in the field of civil nuclear energy," he said.

He said the decision to set up the Joint Study Group to examine the possibility of a bilateral CEPA was aimed at further boosting trade between the two countries, currently below $ 5 billion.

"We are also working to further strengthen the institutional mechanisms for cooperation such as a Bilateral Investment Protection and Promotion Agreement and a Social Security Agreement," he said.

The Prime Minister said India would organise a year-long Festival of India in Canada in 2011 to showcase India's culture and economic progress. India has invited Canada to organise a similar festival in India.

The two leaders reviewed the process of global economic recovery and how they could prepare for the next G-20 Summit which Canada will host.

Dr Singh said he and Mr Harper had a useful exchange of views on climate change, energy security, nuclear disarmament and regional issues.

"I conveyed to Prime Minister Harper India's grave concern over the scourge of international terrorism and the threat posed to pluralistic societies like India from extremist ideologies. We reaffirmed our commitment to deepen our cooperation to counter these threats," he said.

Prime Minister Manmohan Singh and the Prime Minister of Canada, Stephen Harper witnessing the signing of agreement between India and Canada in New Delhi on November 17, 2009.

"Prime Minister Harper's visit has imparted a fresh momentum to India-Canada relationship. We will take all the necessary steps to further intensify our interaction in all areas," he added.

Mr Harper said India's rapidly growing economy and its commitment to expand its investment regime would provide significant opportunities for investors in a variety of sectors, including infrastructure, education, life sciences, science and technology and natural resources, among others.

"In making India a priority market, our government’s commitment is translating into collaboration and progress in a number of important areas," he said.

Mr Harper said Canadian companies had an array of products and services to offer India's growing market of nearly 1.2 billion people.

"Economic partnership agreements in key sectors of interest will help expand trade, open doors for Canadian exporters, encourage economic growth and create jobs in both our countries," he said.

During their meeting, Dr Singh raised the issue of suspected Canadian-born LeT operative Tahawwur Rana, who is said to be the accomplice of American citizen David Headley, who has been arrested by the US authorities for alleged terror links. Both are said to be part of the conspiracy behind the November 26, 2008 terror attacks on Mumbai. Mr Harper, on his part, assured full cooperation to India in tracing the links of Rana.

Mr Harper called on President Pratibha Patil and Vice-President M Hamid Ansari during the day and also had meetings with External Affairs Minister S M Krishna, United Progressive Alliance Chairperson Sonia Gandhi and Leader of the Opposition Lal Krishna Advani.

The Canadian Prime Minister will visit the Akshardham Temple in East Delhi and the Golden Temple in Amritsar before flying back home. He had visited Mumbai yesterday.

NNN