India-Canada Relations

Syllabus
GS Paper 2
Bilateral, Regional and Global Groupings and Agreements involving India and/or affecting India’s interests.

Source
The Hindu,25/10/2023

Application: where to apply?
When asked about
– Komagata Maru Incident – India-Canada issues- Indian diaspora in canada

Context
Unprecedented escalation of tensions between India and Canada due to the Khalistan issue.


Content

  • India established diplomatic relations with Canada in 1947.
  • Both countries have a long-standing bilateral relationship based on shared democratic values, the multi-cultural, multi-ethnic and multi religious nature of two societies and strong people-to-people contacts.

Historical Relations

  • The Komagata Maru incident occurred in 1914 when a Japanese steamship, Komagata Maru, carrying 376 passengers from Punjab, British India, attempted to immigrate to Canada.
  • The passengers comprised Sikhs, Muslims, and Hindus, all Punjabis and British subjects.
  • Upon reaching Vancouver, British Columbia, Canada, only 24 passengers were admitted. The remaining passengers were denied entry and the ship was forced to return to India.
  • Upon returning to Calcutta , a riot ensued when the Indian Imperial Police attempted to arrest the group leaders, resulting in the deaths of 22 people.
  • A formal apology was made in the House of Commons by Prime Minister Justin Trudeau in 2016.

Commercial Relations

  • The Indian Department for Promotion of Industry and Internal Trade (DPIIT) reported that from April 2000 to June 2023, India received a total FDI equity inflow of $645,386.0884 million. Out of this, Canada contributed 0.5644 percent of total FDI.
  • Some of the prominent Canadian companies investing in India include Sun Life Financial Inc., McCain Foods, Magna International Inc., CPP Investment Board, and Brookfield Asset Management Inc.
  • Canada accounted for 5.3% of Foreign Tourist Arrivals (FTAs) in India during 2021.72.6% of the Canadian FTAs were members of the Indian diaspora.
  • India’s total trade with Canada in the last (2022-23) financial year was $8 billion i.e.,0.7% of India’s total trade ($1.1 trillion) with the world.
  • Bilateral trade has also been fairly evenly balanced; in 2022-23, for instance, roughly $4 bn of imports were matched by $4 billion of exports even though India enjoyed a tiny trade surplus of $58 million.
  • Thus the balance of trade is in India’s favour, and Canada is among the few countries with which India has a trade surplus.
  • India’s exports to Canada include pharmaceuticals, gems and jewellery, textiles, and machinery, while Canada’s exports to India include pulses, timber, pulp and paper, and mining products.

Top five Indian imports from Canada :

  • Coking Coal: In 2022-23, India’s top import from Canada was Coking Coal, with Canada being the fifth largest supplier at 28.96 lakh tonnes.
  • Potassium Chloride: Canada was India’s primary source of Potassium Chloride in 2022-23, supplying 11.43 lakh tonnes.
  • Lentils: Canada led in supplying ‘masur’ dal to India in 2022-23, with imports totaling 4.85 lakh tonnes.
  • Newsprint: In 2022-23, India imported the most ‘Other Newsprint’ from Canada, totaling 2.5 lakh tonnes.
  • Wood Pulp: Canada was a significant supplier of wood pulp to India in 2022-23, with imports reaching 2.06 lakh tonnes.

Indian Community

  • The connections between the two countries are old and deep, and Canada is home to more Sikhs as a percentage of the national population than even India.
  • According to the Ministry of External Affairs, of the 3,21,00,340 overseas Indians, 5.26% (16,89,055) are in Canada.
  • According to the Census of Canada 2021, the country is home to over 1.86 million people of Indian origin, i.e., about 5% of the country’s 36.99 million population.
  • Every 7th Indian student studying abroad is in Canada.In 2022, of the estimated 13,24,954 Indian students abroad, 13.83% were in Canada, according to data maintained by the Ministry of External Affairs.

Khalistan Issue

  • The Khalistan movement is a separatist movement seeking to create a homeland for Sikhs by establishing an ethno‐religious sovereign state called Khalistan in the Punjab region.The movement originated in the 1970s and early 1980s.
  • The idea of Khalistan was born in the aftermath of the Partition of India.
  • Punjab, the home of most members of the Sikh community, was also divided into two because of the newly-created border.
  • It led to a sense of loss among Indian Sikhs, with culturally and religiously important cities, such as Lahore and Nankana Sahib, going to Pakistan.
  • The movement gained momentum in the 1970s and 1980s, marked by several significant events.
  • A major turning point in the Khalistan movement was the Indian government’s military operation to remove Sikh militants from the Golden Temple complex in Amritsar.(Operation Blue Star)
  • In retaliation for Operation Blue Star, Prime Minister Indira Gandhi was assassinated by her Sikh bodyguards.
  • The 1980s saw the rise of Sikh militant groups, such as the Khalistan Commando Force (KCF), Babbar Khalsa, and others, which launched an armed insurgency in Punjab.

 Current Status

  • While the government had previously suppressed the movement, it has recently gained momentum, particularly among a slice of the Sikh diaspora in Canada.
  • In June 2023, Hardeep Singh Nijjar, a Sikh separatist leader, was assassinated in British Columbia, Canada.
  • Following Nijjar’s death, Canadian Prime Minister Justin Trudeau accused India of involvement in the murder.
  • India strongly denied these allegations, dismissing them as “absurd”.
  • These accusations have significantly strained diplomatic relations between India and Canada.
  • The fallout resulted in the expulsion of diplomats from both countries and the suspension of negotiations for a free trade agreement.
  • India is particularly concerned about the support for the Khalistan movement in Canada, viewing it as a threat to its territorial integrity and national security

Way Forward

  • Solving Diplomatic Crisis Using Constructive Dialogues:The recent diplomatic crisis between India and Canada has been triggered by allegations from both sides. To resolve this, both nations need to engage in constructive dialogues, focusing on mutual respect and understanding.
  • Respect Each Other’s Sovereignty:

Respecting each other’s sovereignty is fundamental to any bilateral relationship. This involves non-interference in each other’s internal affairs and respecting territorial integrity.Both nations need to reaffirm their commitment to this principle and ensure their actions align with it.


Related topics

Operation Blue Star

  • Operation Bluestar was an Indian Army operation carried out in June 1984 in the Golden Temple in Amritsar, Punjab, to flush out militants.
  • The operation was ordered by then Prime Minister Indira Gandhi to remove Sikh militant Jarnail Singh Bhindranwale and other Sikh separatists from the buildings of the Golden Temple, the holiest site of Sikhism.
  • The operation was a response to a deterioration of law and order in Punjab. It was the biggest internal security operation at that time.
  • The operation resulted in significant losses for the Indian forces and led to an escalation of tensions between separatist Sikhs and the central government.
  • It also marked the start of an insurgency in Punjab, India.
  • The operation remains controversial due to the severe ramifications it had, including the assassination of Prime Minister Indira Gandhi.

Global Compact for Safe, Orderly and Regular Migration (GCM)

  • The Global Compact for Safe, Orderly and Regular Migration (GCM) is an intergovernmental negotiated agreement, prepared under the auspices of the United Nations.
  • The GCM aims to cover all dimensions of international migration in a holistic and comprehensive manner.
  • The GCM was adopted at an intergovernmental conference on migration in Marrakesh, Morocco in  December 2018.
  • The GCM is a non-binding document that respects states’ sovereign right to determine who enters and stays in their territory.
  • The GCM is grounded in international human rights law and reaffirms States’ commitment to respecting, protecting, and fulfilling all human rights for all migrants, regardless of their migration status.

Reference


Practice Question

Discuss the recent diplomatic crisis between India and Canada. Evaluate how this issue could influence future economic policies and relations between the two countries.

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