Canada’s Canpotex is also among the biggest suppliers of fertilizer ingredient potash. Three companies from India, which relies solely on the import of the fertilizer, signed an MoU with Canpotex in September 2022 to import about 1.5 million metric tonnes annually for three years.
Pharmaceutical products, worth about $418 million, made up the bulk of Indian exports last year, followed by iron and steel products worth about $328 million and machinery, nuclear reactors and boilers worth about $287 million.
India’s growing demand for imported lentils has benefited Canadian farmers, while Indian pharmaceutical and software companies have expanded their presence in the Canadian market.
WHAT IS THE INVESTMENT POSITION?
Canada is India’s 17th largest foreign investor, pouring in more than $3.6 billion since 2000, while Canadian portfolio investors have invested billions of dollars in Indian stock and debt markets.
The Canadian pension fund, CPP, had increased its investment in Indian markets to about $15 billion, in areas such as real estate, renewables and the financial sector by the end of last fiscal year in March 2023.
Other big pension funds with sizeable exposure to India include Caisse de dépôt et placement du Québec (CDPQ), which has investments worth C$8 billion ($6 billion) as of Dec. 31, 2022, and Ontario Teachers’ Pension Plan (OTPP), which had investments of more than $3 billion as of last year.
HOW HAVE CORPORATES BENEFITED?
More than 600 Canadian companies, including Bombardier and SNC Lavalin, have a strong presence in India, while more than 30 Indian companies, such as infotech majors TCS, Infosys, Wipro have invested billion of dollars in Canada, creating thousands of jobs.
WHAT IS THE ROLE OF INDIAN STUDENTS IN CANADA?
Since 2018, India has been the largest source country for international students in Canada.
In 2022, their number rose 47% to nearly 320,000, accounting for about 40% of total overseas students, the Canadian Bureau of International Education says, which also helps universities and colleges provide a subsidised education to domestic students.
WHAT ARE THE IMPLICATIONS FOR SIKHS?
Many analysts say the worsening ties could affect the economic interests of thousands of Sikh families in India’s Sikh-majority state of Punjab in the north, since they have relatives in Canada, who remit millions of dollars back home.
The share of Canada’s Sikh population has more than doubled in 20 years to 2.1%, according to the country’s 2021 census, as large number of Sikhs migrated from India in search of higher education and jobs.