The ongoing talks underscore the strong trade ties between Canada and Pakistan across key sectors, as two-way trade continues between the two countries.
Canada-Pakistan trade relations are taking a significant step forward, following a joint statement that confirmed the successful conclusion of the first round of negotiations for a Foreign Investment Promotion and Protection Agreement (FIPA).
Issued by Global Affairs Canada and Pakistan’s Ministry of Foreign Affairs, the statement outlines key areas for expanding bilateral cooperation.
The FIPA is designed to provide greater certainty for investors in both countries by establishing clear rules for the treatment and protection of foreign investments.
Both sides agreed to continue bilateral consultations to advance their collaboration.
According to the joint statement, the following measures were identified as current areas of focus for Canada-Pakistan trade relations
The move to facilitate Canadian canola exports to Pakistan follows China's announcement in March 2025 that it would impose new tariffs on Canadian agricultural products, including canola and pork.
Additionally, the bilateral consultations will serve as a platform to promote shared priorities, strengthen government-to-government and private sector connections, and seek new opportunities for strategic partnership.
Bilateral trade provides a key foundation for the Canada-Pakistan relationship.
In 2020, merchandise trade between the two countries totalled $1.11 billion.
This included $438 million in Canadian imports from Pakistan and $669 million in exports to Pakistan.
During that period, Canada’s imports from Pakistan consisted of textiles, apparel, and leather goods, while exports to Pakistan included pulses, wood pulp, oilseeds, and machinery.
According to 2023 figures from the Pakistani high commission in Ottawa, the total volume of trade was $627.17 million.
This figure included $461.57 million in Canadian imports from Pakistan and $165.59 million in Canadian exports to Pakistan.
Top Canadian imports included textiles, leather products, cotton yarn, and cereals, while the top Canadian exports included oilseeds, oleaginous fruits, edible vegetables, and iron and steel.
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