NEW DELHI (2 March 2026) — Prime Minister Narendra Modi and his Canadian counterpart Mark Carney have formalised a series of historic agreements, marking a definitive “reset” in bilateral relations. During delegation-level talks at Hyderabad House on Monday, the two leaders sealed a landmark $2.6 billion uranium supply deal and set an ambitious target to elevate annual bilateral trade to $50 billion by 2030. This visit, Carney’s first to India as Prime Minister, signals a transition towards a “next-level partnership” built on mutual trust and strategic economic goals.
$2.6 Billion Uranium Supply Agreement
A central pillar of the meeting was the signing of a long-term uranium supply contract between the Government of India’s Department of Atomic Energy and Canadian uranium major Cameco. Valued at approximately C$2.6 billion ($1.9 billion USD), the deal ensures the delivery of nearly 22 million pounds of uranium ore concentrate over a nine-year period (2027–2035).
This agreement is critical for India’s energy security as it aims to scale its nuclear capacity from the current 24 reactors to a target of 100 GW by 2047. Beyond fuel supply, the two nations pledged to collaborate on:
- Small Modular Reactors (SMRs): Joint development of advanced, smaller-scale nuclear technology.
- Strategic Energy Partnership: Expanded cooperation in Liquid Natural Gas (LNG), hydrogen, and solar power.
- International Alliances: Canada announced its intention to join the International Solar Alliance and become a full member of the Global Biofuels Alliance.
Economic Roadmap: CEPA and Trade Targets
The leaders confirmed that India and Canada will conclude a Comprehensive Economic Partnership Agreement (CEPA) by the end of 2026. This pact is designed to reduce trade barriers and provide greater certainty for investors and exporters in both countries.
Key economic highlights include:
- Trade Goal: A shared vision to reach $50 billion in annual trade by 2030, a significant jump from current levels.
- Investment Foundation: PM Modi noted that Canadian pension funds have already invested approximately $100 billion in India, signifying deep faith in India’s growth trajectory.
- Agri-Tech: The establishment of the India-Canada Pulse Protein Centre of Excellence in India to promote value addition in agriculture.
Defence and Security Reset
In a move that signifies a major diplomatic shift, the two countries announced the launch of the India-Canada Defence Dialogue. This new framework will focus on enhancing maritime domain awareness, military exchanges, and defence industrial cooperation.
The leaders also agreed to advance bilateral cooperation on law enforcement to tackle transnational organised crime, including the illegal flow of fentanyl precursors and cybercrime. Canadian officials noted that the relationship is now grounded in a “pragmatic” foreign policy that respects each country’s sovereign concerns and security needs.
Sources
- The Statesman: “India, Canada launch defence dialogue, seal uranium deal; set $50 bn trade goal by 2030” (2 March 2026)
- ANI News: “India, Canada to establish defence dialogue: PM Modi after talks with Canadian PM Carney” (2 March 2026)
- Cameco: “Cameco Signs Long-Term Uranium Supply Agreement with India” (2 March 2026)
- The Economic Times: “India, Canada seal $2.6 billion uranium deal, agree on economic partnership framework” (2 March 2026)
- Office of the Prime Minister of Canada: “Prime Minister Carney secures ambitious new partnership with India” (2 March 2026)
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