The federal government has struck a $1 billion investment deal with India which could lead to new opportunities for Saskatchewan.
Canadian companies will invest $750 million in India and Indian companies will spend $250 million here. It is believed over 5,900 jobs will be created from this agreement.
“Even though these are investments, and even though they are not directly related to Saskatchewan, there could be additional business ties to India,” President and CEO of the Saskatchewan Trade and Export Partnership (STEP) Chris Dekker explained. “And that could eventually turn into increased trade, which is, of course, good news for Saskatchewan.”
STEP champions the province’s export industry and assists businesses in connecting with the global market.
Dekker believed that new investments from a deal like this lead to increased commercial activity between the two countries and that, in turn, could benefit Saskatchewan.
“That familiarity engenders trust and confidence and increased understanding of things like key trade issues and which could lead to increased exports,” Dekker said.
Dekker maintained that what is most exciting is India is the third largest market for Saskatchewan’s exports and with an increase in commercial activity, it could mean a boost to consumer confidence in that country.
“That increases the purchasing power of the growing middle class and, of course, what are they going to need? They are going to need what Saskatchewan provides the world: fuel, food and fertilizer,” Dekker said.
Trade between Canada and Indian is approximately $8 billion annually.