India holds opportunity for Canadian entrepreneurs
NEW DELHI: Canada is seeking to tap into India's increasing demand for capital and technology in the processing of food, opening investment opportunities for companies from the North American country in the world’s fastest-expanding major economy.
"It opens opportunities for Canadian entrepreneurs to come to India to invest here, process food, and sell Canadian products," Canadian minister for Agriculture Lawrence MacAulay told ET. He was in New Delhi with a delegation of over 20 Canadian companies and associations active in the agriculture, agri-food and seafood sectors last week.
At present, McCain Foods, which sells French fries and frozen foods, is the biggest Canadian company in India’s food-processing sector. Companies based in Canada are keen to export blueberries, strawberries, canola oil, pork, and fish products to India.
MacAulay's visit to India is the sixth in the last seven months by a minister in Prime Minister Justin Trudeau's cabinet, reflecting the importance Canada attaches to its ties with India. Trade between India and Canada rose to $6.2 billion in 2015-16 from $4.8 billion in 2012-13. In 2015-16, India imported $ 1.42 billion worth of pulses from Canada.
The minister said that there was opportunity for expanding trade. "We ship mostly pulses to India, followed by fruits and berries. The trade should expand both ways," he said, adding that India’s expanding middle class, with higher incomes, would demand quality food products.
The minister's comment comes amid moves by India’s Food Processing ministry to create a National Food Processing Policy.
With Indian quarantine rules requiring imported pulses to be fumigated with methyl bromide (MBR) as a phytosanitary measure in the country of origin itself, MacAulay said it is a priority with his government.
"We understand the importance of a timely resolution. We are working with our Indian counterparts at all levels to address concerns and demonstrate that Canadian pulse exports do not pose a risk to India," he said.
During his visit, MacAulay held wide-ranging discussions with Agriculture minister Radha Mohan Singh, Food Processing minister Harsimrat Kaur Badal, and Health minister Jagat Prakash Nadda.
On this trip, officials of the Canadian Food Inspection Agency held talks with their Indian counterparts, the Food Safety and Standards Authority of India, on the regulatory process. "There will be an agreement soon on this, with people from both countries travelling to see the practices being adopted," said MacAulay.
