Premier Moe says new trade deal with India would benefit Saskatchewan despite tariffs

**Premier Moe says new trade deal with India would benefit Saskatchewan despite tariffs** Saskatchewan Premier Scott Moe stated on October 10, 2024, that a comprehensive Canada-India free trade agreement would deliver net economic gains for the province, particularly if it reduces existing tariffs on pulse crops. Moe made the comments during a virtual address to the Saskatchewan Pulse Growers annual meeting in Saskatoon, noting that Saskatchewan exported approximately $1.2 billion in lentils, peas and chickpeas to India in 2022 before tariff increases curtailed volumes. The remarks come as Canada and India resume exploratory talks on a bilateral trade agreement after a multi-year pause. Moe emphasized that Saskatchewan’s agricultural sector, which accounts for more than 40 per cent of Canadian pulse production, stands to regain market access lost since India raised duties on several pulse categories to 100 per cent in 2023. **Premier Moe’s Comments** Moe told attendees that renewed negotiations represent “a practical opportunity to restore predictable market access for Saskatchewan farmers.” He added, “A deal that lowers or removes these tariffs would directly support farm incomes and rural communities across the province.” The premier did not specify timelines or proposed tariff reductions, stating only that provincial officials would continue to press federal negotiators on agricultural priorities. Federal International Trade Minister Mary Ng confirmed in a September 2024 statement that Canada remains “open to resuming formal talks” with India, while stressing that any agreement must address market access for Canadian agricultural products. Ng’s office declined to provide further details on the current status of discussions. **Background on Canada-India Trade Relations** Canada and India have held multiple rounds of free trade talks since 2010, with the most recent formal round occurring in 2022. Negotiations stalled amid disagreements over tariffs, intellectual property rules and mobility provisions. India’s 2023 tariff increases on pulses were implemented as part of broader measures affecting several trading partners and coincided with a decline in Canadian exports of lentils and peas to India, which fell to roughly $400 million in 2023 according to Statistics Canada data. Saskatchewan accounts for the majority of Canada’s pulse exports. In 2022, the province shipped 1.8 million tonnes of pulses worldwide, with India representing the single largest market before the tariff changes. Agriculture and Agri-Food Canada reports that pulse crops generated $3.4 billion in farm cash receipts for Saskatchewan producers in 2023. **Impact on Saskatchewan Agriculture** Current tariffs have prompted Saskatchewan growers to redirect shipments toward alternative markets including Bangladesh, Turkey and the European Union. Pulse Growers Association chair Corey Loessin noted in an October 2024 interview that diversification efforts have partially offset losses but have not fully replaced the volume previously sent to India. “We continue to seek stable, rules-based access to the Indian market,” Loessin said. Statistics Canada figures show that Saskatchewan’s total merchandise exports to India reached $1.8 billion in 2022, with pulses comprising the largest share. Non-agricultural exports, including potash and machinery, have remained relatively stable despite the agricultural tariff adjustments. **Responses from Stakeholders** The Saskatchewan Chamber of Commerce welcomed Moe’s remarks. President Steve McLellan stated that expanded trade with India “aligns with the province’s long-term export diversification strategy.” The federal opposition Conservative Party issued a statement supporting renewed negotiations provided they include “strong protections for Canadian farmers.” India’s High Commission in Ottawa has not issued a direct response to Moe’s comments. Indian officials have previously indicated that tariff reductions on pulses would be considered only within a broader agreement that also addresses Indian priorities in services and labour mobility. **Implications and Next Steps** Any Canada-India trade agreement would require approval by both federal cabinets and legislative bodies in each country. Canadian negotiators have indicated that agricultural market access, including pulses, remains among the issues still under discussion. Further updates on the status of talks are expected following the next bilateral meeting between trade officials, scheduled for later this fall. This is Alex Thompson for Global1 News, reporting from Toronto. 🇨🇦

This is Alex Thompson for Global1 News, reporting from Toronto. 🇨🇦