Union Petroleum Minister Hardeep Singh Puri and Canada’s International Trade Minister Maninder Sidhu met to explore opportunities to enhance bilateral hydrocarbon trade during Sidhu’s visit to India. Puri highlighted that trade reached $226.45 million in FY24–25 and indicated significant potential for growth. Discussions focused on strengthening energy ties and diversifying supply sources, especially as Canada aims to reduce its reliance on the U.S. market, from which it currently sells 94.4% of its oil. India, dealing with a challenging tariff environment, continues to prioritize energy security and favorable trade terms. The meeting signifies a revitalized energy partnership between India and Canada amidst their efforts to diversify energy markets.
In a significant move signaling renewed momentum in energy diplomacy, Hardeep Singh Puri, India’s Union Minister of Petroleum and Natural Gas, recently engaged with Canada’s Minister responsible for International Trade, Maninder Sidhu, to explore ways to deepen hydrocarbon trade between the two nations. This high-level engagement, held during Canada’s trade minister’s three-day visit to New Delhi, underscores the strategic importance both countries place on energy and resource security At the heart of their discussions was the potential to expand cooperation in the oil and gas sector. India, which remains significantly dependent on imports for its energy needs, views Canada resource-rich producer as a crucial partner in diversifying its supply base.
As Puri has noted, increased production from countries such as Canada, the United States, and Brazil could help stabilize global oil markets and reduce supply vulnerability for consuming nations like India But this engagement is not limited to traditional hydrocarbons. According to the joint statement issued during the dialogue, both sides have agreed to re-launch the Canada‑India Ministerial Energy Dialogue (CIMED). Their vision includes accelerating investments and trade not only in oil and gas, but also in emerging and low-carbon energy technologies The dialogue is intended to institutionalize collaboration in areas such as green hydrogen, biofuels, Carbon Capture, Utilization and Storage (CCUS), and other clean‑technology solutions, which reflects a forward.
Growing Bilateral Trade
Looking approach in line with global energy-transition goals This renewed energy partnership comes against a broader backdrop of revitalized India–Canada economic engagement. At the 7th Ministerial Dialogue on Trade and Investment (MDTI), both ministers reaffirmed their commitment to growing bilateral trade, which saw a healthy uptick, with trade in goods and services reaching US$ 23.66 billion in 2024. The two sides emphasized the importance of long-term supply chain partnerships, especially in critical minerals another area where Canada has rich expertise and can support India’s evolving energy infrastructure needs India’s Ministry of External Affairs has noted that strategic sectors such as energy, critical minerals, and clean technologies are among.
The priority areas for future India‑Canada economic cooperation this context, the reinvigorated dialogue on hydrocarbons and clean energy is aligned with India’s broader energy-security strategy. New Delhi’s aim to significantly raise the share of natural gas in its energy mix to around 15 percent from the current ~6 percent has opened (Airport) doors for technological partnerships One of the most compelling aspects of this trade‑energy reset between India and Canada is its multi-dimensional nature. While crude oil and gas remain immediate components, the two sides are equally focused on future energy vectors. Their joint statement specifically refers to enhancing two-way trade in LNG (liquefied natural gas) and LPG (liquified petroleum gas), as well as boosting
Investment in upstream exploration and production (E&P) Such investments are expected to facilitate not just energy security, but also economic growth through job creation, infrastructure development, and deeper industrial linkages On the clean energy front, collaboration on green hydrogen and biofuels could help both nations meet their sustainability ambitions. For India, which is aggressively pursuing an energy transition, this partnership could unlock technologies that reduce carbon intensity and complement its climate goals. For Canada, whose economy benefits from resource exports, it offers a stable market and strategic investor. Also noteworthy is the emphasis on CCUS (carbon capture, utilization, and storage a vital technology.
Puri India‑Canada Economic Partnership
for decarbonizing heavy industries and complying with net‑zero goals. Beyond technology, the renewed bilateral energy engagement also signals resilience in the face of geopolitical uncertainties. The two nations have faced diplomatic challenges in recent years, yet both leaderships continue to emphasize economic collaboration as a foundational pillar. Indeed, the Ministerial Dialogue reaffirmed that despite past tensions, trade remains central to the long-term India‑Canada economic partnership Another dimension of the discussion pertains to critical minerals. Canada, with its robust mining sector, is well positioned to support India’s demand for minerals essential for clean‑energy technologies, like lithium, cobalt, and rare-earth elements By leveraging mining cooperation, both countries can jointly build more resilient supply chains, enhancing.
Their economic security and reducing reliance on third-party sources Institutional mechanisms are also set to deepen: the ministers committed to sustained dialogue with private sector stakeholders from both countries, ensuring that the trade-investment community remains actively engaged and aligned with the policy goals laid out by governments This means more frequent ministerial dialogues, industry consultations, and joint initiatives all of which signal that the India–Canada energy engagement is poised for long-term strategic investment, not just short-term trade India’s perspective, this renewed partnership helps further.
Global Energy Markets
Its dual goals of energy security and clean transition. Puri has repeatedly emphasized India’s strategy of diversifying its import sources And adding Canada to this equation is both pragmatic and strategic Canada, meanwhile, India represents a rapidly growing economy with burgeoning energy demand and ambitious climate goals, making it an attractive partner for investments and trade Moreover, this bilateral push comes at a time when global energy markets are increasingly uncertain amid supply chain shocks, geopolitical risk, and rising demand for green energy. By aligning on hydrocarbons and clean-energy technologies, India and Canada are not just trading commodities; they are co‑investing in a shared vision of energy resilience, low-carbon growth, and industrial innovation.
In sum, the meeting between Hardeep Singh Puri and Maninder Sidhu marks more than a bilateral trade talk. It reflects a deeper, strategic recalibration: two democracies working together to shape a resilient, sustainable energy future. Through hydrocarbons, clean technologies, and critical mineral supply‑chain integration, this partnership (India) has the potential to shape not only India’s energy trajectory, but also the broader contours of energy transition in the Indo‑Pacific and beyond.
Q1. What was discussed between Puri and the Canadian Minister?
They explored ways to expand bilateral hydrocarbon trade, including oil and gas exploration, LNG/LPG supply, and clean-energy collaboration.
Q2. Why is Canada an important partner for India’s energy security?
Canada is a resource-rich country with significant production of oil and gas, and the partnership could help India diversify its hydrocarbon import sources.
Q3. What clean-energy areas were highlighted in their talks?
They agreed to promote green hydrogen, biofuels, carbon capture (CCUS), and low-carbon technologies.
Q4. Is there a formal dialogue mechanism for energy between India and Canada?
Yes they plan to re-establish the Canada‑India Ministerial Energy Dialogue (CIMED) to institutionalize long-term cooperation
Q5. What are the trade volumes between India and Canada?
Bilateral trade in goods and services reached US$23.66 billion in 2024.
