- Large Indian firms showed strong interest in investing in British Columbia's resources
- BC Premier David Eby met with top Indian companies on a trade mission to India
- Indian businesses seek off-take agreements for rare earths, nickel, and copper
Large Indian businesses are eager to invest in Canadian resources, according to the leader of the minerals- and gas-rich province of British Columbia, fresh off a trade mission to the world's fastest-growing major economy.
Premier David Eby spoke with executives at Tata Steel Ltd. and Reliance Industries Ltd., the conglomerate controlled by Asia's richest person, Mukesh Ambani, during the trip.
He said he also discussed liquefied natural gas and clean fuels with Indian Oil Corp. and Hindustan Petroleum Corp., met with the nation's energy minister and chatted about minerals and energy with JSW Group and Hindalco Industries Ltd.
“They were keen on a number of fronts,” Eby said in an interview at the BC Natural Resources Forum in the city of Prince George. “They were interested in direct investment, including potentially processing on-site to reduce transportation costs.”
Eby said he was struck by Indian businesses' confidence in a high long-term growth rate of 8% to 10% annually — which is driving them to urgently seek out energy sources like BC's LNG and key mineral inputs.
“They really want to secure those off-take agreements: rare earth elements, nickel, copper were key areas of interest for them,” Eby said. He's sharing lists of mine proposals in the province and discussed introductions to some of the mines' backers.
India is a key target market for Canada under Prime Minister Mark Carney, who's set a goal of doubling the country's non-US trade in a decade. Canada currently sells about 70% of its goods over its southern border, but US President Donald Trump has roiled the relationship with tariffs and threats.
Last week, Carney struck a major trade rapprochement with China, reducing tariffs.
Carney has quickly worked to thaw Canada-India relations and is planning a visit to the country early this year. Energy Minister Tim Hodgson is traveling to Goa next week for India Energy Week.
The enthusiasm marks a striking turnaround after Carney's predecessor, Justin Trudeau, accused Indian diplomats of backing harassment and violence against Canadians — claims backed by police. Trudeau also alleged possible links between Prime Minister Narendra Modi's government and the 2023 murder in BC of a Canadian citizen who had been agitating for an independent Sikh state — which India dismisses. Four men have been charged with first-degree murder in that case, and their trials are pending.
Political leaders in both countries have a reason to talk: India has been hit by some of Trump's highest tariffs.
“What we've heard from them was that they've been given clear direction from the top down that they must diversify their trade,” Ravi Kahlon, BC's minister of jobs and economic growth, who was also part of the trade delegation, said on a panel at the conference.
They could also benefit from shifting away from coal to cut pollution. Indian executives expect their energy mix to go to 15% LNG by 2030 versus 6% today, Kahlon said.
BC's resources and geography make it Canada's gateway for trading with Asia. But its economy is highly geared to real estate and has slowed because of interest rates and high housing costs. As the province's fiscal situation deteriorates, the left-leaning Eby has more incentive to drum up deals, even in the fossil-fuel industries he was once unenthusiastic about.
The province is shipping an increasing amount of propane from its northern coast and has a series of LNG plants coming online. The largest, LNG Canada, started shipments to Asia in June. “We're expecting and are hopeful” investors will back a doubling of that project's size, Eby said.
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