Window opens for a reset with Canada as new Liberal govt takes over; PM Modi seeks to unlock opportunities with Carney | India News

Canada’s Liberal Party headed by PM Mark Carney returned to power Tuesday riding a wave of strong anti-Donald Trump sentiment. PM Narendra Modi was among the first to congratulate Carney and express willingness to unlock greater opportunities in ties, while underlining that India and Canada are bound by shared democratic values, a steadfast commitment to the rule of law, and vibrant people-to-people ties.
For India and Canada, there’s an opportunity now to wipe the slate clean after 20 months of bitterness in ties as Carney talks of rebuilding what he sees as “incredibly important” ties with India. Aware of the dramatic turnaround in Liberal fortunes because of Trump’s policies, and given it held Carney’s predecessor Justin Trudeau alone accountable for destroying the relationship, India had already been looking to rest ties with Canada under the Canadian PM since he assumed office in March but based on “mutual respect and sensitivity”.
However, unchecked activities of Khalistan separatists will continue to act as a redline in the relationship for India. Of immediate interest will also be whether Canada invites Modi for the G7 summit it will host in June. Canada has so far not announced the name of any guest country for the event.
“I look forward to working with you (Carney) to strengthen our partnership and unlock greater opportunities for our people,’’ said Modi in a post on X. Modi’s message followed Carney’s declaration of victory even though he failed to get a majority that he had said would allow him to deal with Trump, who has unleashed a trade war on Canada and apparently even sought to annex the US’ northern neighbour, from a position of strength. A record 22 Punjabis were elected to the House of Commons but, importantly for India, pro-Khalistan leader Jagmeet Singh, a thorn in India’s side for years, lost from his own constituency and resigned from his position as the leader of the New Democratic Party.
India’s ties with Canada took a body blow last year in October when the 2 countries expelled each other’s high commissioner, following the diplomatic row over the killing of Khalistan leader Hardeep Singh Nijjar in 2023. Even before that, with Canada accusing the Indian government of having masterminded the murder without apparently backing up the claim with evidence, India had expelled dozens of Canadian diplomats to ensure parity in diplomatic presence.
As things look up, both sides are expected to negotiate the return of diplomats, particularly the high commissioners. Both sides have already identified senior diplomats for the top job, but India would want to make sure that the redlines it has drawn are adhered to by Carney’s government. These include a mature and responsible handling of the Nijjar issue as the case goes to trial – avoiding Trudeau’s sensationalism – foolproof security for Indian diplomats and a crackdown on extremists and secessionists indulging in anti-India activities. India continues to hold Trudeau and his indulgence towards Khalistan extremists responsible for the downturn in ties with a country where over 4 lakh Indian students are studying, and which is home to one of the largest Indian diasporas abroad – 1.8 million Indo-Canadians and another 1 million non-resident Indians. However, while India blames Trudeau, the Royal Canadian Mounted Police, which has investigated the Nijjar case, maintains he only acted based on the information provided by the agency. If India and Canada indeed take steps to normalise the relationship, they will have to see that the process is ring-fenced from the fallout of any damning revelations made during the trial.
Carney, who has visited BAPS temple and Gurudwara as PM, has so far not explicitly spoken on the Khalistan or Nijjar issue but he was quoted as saying ahead of the elections there are strains on the relationship that “we didn’t cause to be clear, but there is a path forward to address those with mutual respect and to build out.” An economist by profession, he has identified trade as one of the areas the 2 sides can work on to rebuild the relationship. It is important for Canada to diversify its trade partnerships with other partners in the face of the Trump offensive and Carney, soon after his victory, said Canada stands ready to build a coalition of like-minded countries who share common values.