Recent (Oct-Dec 2025) high-level meetings between Pakistan’s DPM/Foreign Minister Ishaq Dar and Canadian officials have catalyzed economic cooperation, focusing on trade facilitation, investment protection and sectoral synergies like agriculture and mining, promising mutual growth and stability for both nations.
Key Points
- High-level dialogues in October and December 2025 emphasized bilateral trade enhancement, canola imports, and FIPPA negotiations.
- Outcomes include a joint statement facilitating Canadian canola exports and commitments to energy and mineral collaboration.
- Implementation features Pakistan’s market reopening for canola and progress on the Reko Diq mining project by Canadian firm Barrick Gold.
- Benefits span increased trade volumes, job creation, and technology transfer, fostering long-term economic resilience.
- Opportunities for investors in renewables, IT, and agriculture highlight untapped potential for diversified partnerships.
In an era where global economic interdependence is key to sustainable development, the recent diplomatic interactions between Pakistan and Canada exemplify how targeted engagements can unlock shared prosperity. As policymakers navigate complex international landscapes, these meetings—rooted in mutual respect and strategic alignment—offer a blueprint for cooperative growth. For investors, they signal emerging opportunities in high-potential sectors; academics can analyze the rational underpinnings of such bilateralism; and the general public stands to benefit from enhanced economic stability and cultural exchanges.
The timeline begins with the October 30, 2025, telephonic conversation between Deputy Prime Minister and Foreign Minister Senator Mohammad Ishaq Dar and Canadian Foreign Minister Anita Anand. This dialogue was not merely ceremonial but a substantive exchange aimed at bolstering economic ties. Discussions revolved around strengthening bilateral trade and investment in critical areas such as agriculture, mining, and minerals. A pivotal topic was the facilitation of Canadian canola imports to Pakistan, addressing Pakistan’s growing demand for edible oils while providing Canada with a vital export market amid global commodity shifts. Anand expressed gratitude for Pakistan’s steps toward market access, noting that Pakistan’s imports from Canada primarily include pulses and canola seeds, which could see exponential growth.
Building on this momentum, the November 3, 2025, joint statement reaffirmed the enduring ties between the two nations. It explicitly agreed to facilitate Canadian canola exports, recognizing Pakistan’s expanding market potential. This agreement marks a significant outcome, as Pakistan had previously restricted Genetically Modified (GM) canola imports for three years. The reopening is projected to revive trade volumes, with historical data showing Pakistan importing an average of 810,000 tonnes annually from 2015 to 2020, peaking at 1.35 million tonnes in some years. For 2025/26, imports could rise 34% above the 10-year average, injecting vitality into Canada’s agricultural sector while supporting Pakistan’s food security goals.
|
Year |
Canadian Canola Exports to Pakistan (Tonnes) |
Value (US$ Million, Approx.) |
|
2015-2020 Avg. |
810,000 |
400-500 |
|
2021-2024 |
Negligible (due to ban) |
<50 |
|
2025 Projection |
1,000,000+ |
500+ |
|
2026 Projection |
1.1-1.35 million |
600-700 |
This table illustrates the potential resurgence, based on pre-ban trends and current agreements. Such data underscores the evergreen principle that open markets foster resilience against supply chain disruptions, a lesson applicable beyond canola to broader agro-trade.
Another cornerstone was the progress on the Foreign Investment Promotion and Protection Agreement (FIPPA). The first round of negotiations concluded successfully, led by Canada’s Minister of International Trade Maninder Sidhu and Pakistan’s Federal Minister for Investment Qaiser Ahmed Sheikh. FIPPA aims to create a stable, transparent environment for investments, protecting assets and ensuring fair dispute resolution. This is particularly timely for investors eyeing Pakistan’s mineral wealth and Canada’s expertise in sustainable mining. The rational analysis here is clear: by mitigating risks, FIPPA encourages capital inflows, potentially increasing foreign direct investment (FDI) in Pakistan’s energy and IT sectors, where Canada holds technological advantages.
The December 1, 2025, meeting in Islamabad between Dar and Canadian High Commissioner Tarik Ali Khan further solidified these commitments. Held at the Ministry of Foreign Affairs, the discussions appreciated the positive trajectory of relations and emphasized deepening economic, trade, investment, agricultural, and people-to-people cooperation. The role of the Pakistani diaspora in Canada—over 215,000 strong—was highlighted as a bridge for cultural and economic exchanges. Khan thanked Pakistan for supporting canola imports and noted advancements in the Reko Diq project, operated by Canadian mining giant Barrick Gold. This project, one of the world’s largest undeveloped copper-gold deposits, is on schedule with construction accelerating and 77% of employees from Balochistan province. Expected to produce 200,000 tonnes of copper annually by late 2020s, it exemplifies how Canadian investment can drive local development, creating jobs and infrastructure while contributing to global critical mineral supplies.
|
Reko Diq Project Milestones (As of 2025) |
Status |
Impact |
|
Feasibility Study Approval |
Completed (April 2025) |
Enables Phase 1 development |
|
Local Employment |
77% from Balochistan |
Boosts regional economy |
|
Annual Copper Production (Projected) |
200,000 tonnes |
Enhances Pakistan’s export revenues |
|
Gold Reserves Addition |
13 million ounces |
Strengthens Barrick’s portfolio |
This table captures the project’s progress, blending contemporary updates with evergreen benefits like resource-led growth. Academics might note the cooperative model’s alignment with Sustainable Development Goals (SDGs), promoting environmental stewardship in mining.
Beyond these specifics, the engagements reflect a broader rational framework for bilateralism. Pakistan offers a young, dynamic market with over 240 million people, while Canada provides advanced technology and stable capital. For policymakers, this means prioritizing regulatory harmonization; investors can explore joint ventures in renewables and BESS (Battery Energy Storage Systems); academics can study the geopolitical implications; and the public enjoys lower food prices from imports and job opportunities from investments. Evergreen elements include the timeless value of diaspora networks and diversified trade to hedge against global volatility.
In sum, these meetings are not isolated events but steps toward a robust partnership, where economic cooperation translates into tangible wins for both sides.
Conclusion. The recent Pakistan-Canada engagements herald a new chapter of mutual prosperity, with canola trade resumption and FIPPA advancements setting the stage for sustained growth. By leveraging strengths in agriculture, mining, and innovation, both nations can achieve economic resilience, job creation, and global competitiveness. Policymakers should prioritize implementation, investors seize opportunities, academics deepen research, and the public embrace the benefits of this alliance. Looking ahead, continued dialogue will ensure these ties evolve into a model of international cooperation, fostering peace and inclusive development for generations.
* Dr. Muhammad Jahanzaib is the Founder & Chief Visionary Officer (CVO) of Diamanium Thinkers, a global think tank. He holds a PhD in International Relations, specializing in the intersection of politics and economics in Pakistan’s foreign and domestic policy. A double gold medalist and published scholar, he writes on economic intelligence, economic diplomacy, political economy, AI and regional cooperation in South Asia and beyond. He can be reached at jahanzaibdgc@gmail.com.
Key References
- Dar, Canadian foreign minister discuss strengthening bilateral trade, cooperation – https://www.dawn.com/news/1952341
- Ishaq Dar meets Canadian envoy – https://www.nation.com.pk/02-Dec-2025/ishaq-dar-meets-canadian-envoy
- Canada-Pakistan Joint Statement: Reaffirming strong and enduring ties – https://www.canada.ca/en/global-affairs/news/2025/11/canada-pakistan-joint-statement-reaffirming-strong-and-enduring-ties.html
- Pakistan reopens its doors to Canadian canola – https://www.producer.com/news/pakistan-reopens-its-doors-to-canadian-canola/
- Reko Diq Copper-Gold Project – https://www.barrick.com/English/operations/reko-diq/default.aspx
Canada (CAN) and Pakistan (PAK) Trade – https://oec.world/en/profile/bilateral-country/can/partner/pak