Pakistan, Canada to accelerate FIPA negotiations

September 15, 2026 (MLN): Pakistan and Canada agreed to accelerate negotiations on the Foreign Investment Promotion and Protection Agreement (FIPA), with both sides expressing resolve to expand bilateral cooperation in agriculture, mining, clean energy, aviation and value-added industries.

Federal Minister for Commerce Jam Kamal Khan and Canadian High Commissioner to Pakistan  Tarik Ali Khan discussed the matter as the High Commissioner called on the commerce minister at the Ministry of Commerce, with senior ministry officials, including Secretary Commerce Jawad Paul, also in attendance, APP reported.

Both sides welcomed the growing momentum in Pakistan-Canada relations and agreed that the upcoming round of FIPA negotiations, expected in the first week of October, would provide an important opportunity to address outstanding issues and make substantive progress towards concluding the agreement.

The Canadian High Commissioner described FIPA as a foundational step for increasing Canadian investment in Pakistan, saying the agreement would provide investors with greater confidence through legal protection, arbitration and dispute-resolution mechanisms, while paving the way for more joint ventures and, eventually, broader trade arrangements.

He noted that Canadian companies increasingly recognized the scale and potential of Pakistan's large consumer market, though a predictable and secure investment framework remained essential to encourage greater participation, adding that the agreement would also send a positive signal to over 300,000 Canadians of Pakistani origin who could play a role in investment and business linkages.

Minister Jam Kamal Khan assured the High Commissioner of Pakistan's full support for advancing the negotiations and said the government was committed to addressing legitimate concerns of investors, directing relevant officials to hold preparatory consultations ahead of the next negotiating round to narrow differences and identify practical solutions.

He said Pakistan was equally ambitious as Canada in taking the process forward, with the objective of resolving outstanding matters and establishing a strong, mutually beneficial framework for long-term economic cooperation.

The meeting also reviewed opportunities in clean and renewable energy, with the Canadian side highlighting progress on a proposed hybrid renewable-energy project in Jhimpir and sharing details of Canadian companies offering solar and green-energy solutions for Pakistani industries.

On mining, the High Commissioner said a strong delegation of companies working in exploration, mining services, equipment and supply chains was expected to participate in an upcoming minerals investment forum in Pakistan, a sector the Minister described as one of the government's priorities.

Agriculture and food security also featured prominently in the discussion, with both sides exploring opportunities in dairy development, animal genetics, edible oils, fruit concentrates, food processing and value addition.

The Minister stressed the need to move beyond commodity trade by establishing joint ventures capable of processing Pakistani agricultural products for export to the Middle East and other markets.

The Canadian side highlighted Pakistan's growing imports of Canadian canola seed, noting that local crushing generated value through the production of edible oil and protein-rich animal feed, with both sides agreeing that further cooperation in canola processing, branding and export-oriented manufacturing could benefit farmers, industry and consumers.

Opportunities in aviation and aerospace were also discussed, including aircraft leasing, regional connectivity and cooperation with Canadian aviation companies, with both sides acknowledging the importance of PIA's direct Toronto service, the only direct air link between Pakistan and North America, and the potential created by the large Pakistani diaspora in Canada.

The Minister said Pakistan's strategic location, expanding market and connectivity with China, Central Asia and the Middle East offered significant opportunities to Canadian companies, underlining the importance of matchmaking among Pakistani businesses, Canadian investors and buyers in third-country markets.

 The Canadian High Commissioner reaffirmed Canada's interest in diversifying its international trade and strengthening engagement with Asian markets, with both sides agreeing to maintain close coordination and pursue tangible outcomes from the forthcoming investment negotiations.

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