The report was prepared by the Confederation of Indian Industry or CII, in partnership with the Canada – India Business Council and India’s High Commission in Ottawa.
Even as India and Canada work towards deepening economic ties, a new report has underscored the value Indian businesses bring to Canada, with CA$ 6.6 billion in investments and the creation of 17,000 jobs in the North American nation.
The report, From India to Canada: Economic Impact and Engagement, was prepared by the Confederation of Indian Industry or CII, in partnership with the Canada – India Business Council or C-IBC and India’s High Commission in Ottawa.
It was released by Commerce and Industry Minister Piyush Goyal and his counterpart, Canada’s International Trade Minister Mary Ng, at a reception organised by C-IBC in Toronto on Wednesday. This was the final day of official engagements for Goyal, who was on a bilateral visit to Canada that began with a Ministerial Dialogue on Trade and Investment in Ottawa on Monday.
A CII release noted that this was “the first known attempt to capture Indian Industry’s growing Canadian presence in order to highlight the contributions of Indian companies to the competitiveness of the Canadian economy in the form of FDI, jobs created and saved, and funding for research and development as well as local corporate social responsibility initiatives.”
The report sampled 30 Indian companies. They operate in eight of Canada’s provinces, and have also spent over CA$ 700 million in R&D expenditure.
“Given the greater degree of engagement we’ve now embarked upon with high-level exchanges on both sides, the India-Canada economic relationship can improve very significantly. We see a lot of Indian talent contributing to the Canadian economy, and even investments coming in from India to Canada. I am confident that this will be a two-way traffic, and both countries stand to benefit,” Goyal said of the report. Ng noted that it “shows the benefits that come when we collaborate. Working together is how we create jobs and opportunities for growth, and by reinforcing our trade ties we’re setting our businesses up for success.”
The figure for total investment may not be the full picture and the overall investment by Indian firms may be much higher. “The companies that responded to CII’s survey are a sample of the current level of bilateral economic engagement, and the extent of the true impact of Indian investment in Canada is expected to be considerably deeper than the aggregate results reported,” the report concluded.
Victor Thomas, president and CEO of C-IBC was hopeful these companies would prove “trailblazers” paving the path for others to follow as Canada offered “a robust environment for Indian companies with favourable immigration policies, strong post-secondary institutions, a diverse talent pool, and is next to one of the largest economies in the world.” CII director general Chandrajit Banerjee said, “As India’s business footprint grows in Canada, our economic collaboration will lead to a stronger, more integrated strategic and comprehensive partnership.”
Technology services accounted for the largest chunk of these companies, at 32 per cent, while manufacturing and engineering as well as life sciences, pharmaceuticals and healthcare comprised 25 per cent each.
The report said, “With the resilience and vigor of business activity and several foundational agreements under bilateral negotiation, the future is bright for India-Canada economic partnership.”
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