Canada – India Post Election Relations: Is it a “Dead Cat Bounce?”

In the wake of Canada’s recent federal elections and the ascent of Mark Carney as the new Prime Minister, Kam Rathee, a respected Canada-India business consultant offers a pointed and thought-provoking opinion on what this political shift means for the future of Canada India bilateral trade, investment, and policy. His opinion piece follows in full

In Finance, a dead cat bounce is a small, brief recovery in the price of a declining asset. Derived from the idea that “even a dead cat will bounce if it falls from a great height”.

The Liberal Party win as a minority ruling party does not bring relief and joy a majority win would. Bereft of same, it gives succor that the achilles heel in the  Canada – India business relations (read NDP) has been eliminated. Suffice it to say a Liberal or Conservative majority was the need of the hour. As things stand, it is an old wine in a new bottle. The question is where do we go from here?

The good news is that the leader in, Mark Carney, based on his business experience and persona, is not likely to suffer fools. Being pragmatic and worldly wise, he will see value in making good the relations with India, about to become the third largest economy in the world. This actually becomes a necessity having been smitten and discarded by its largest trading partner, the U.S. The need of the hour is to quickly brush up its relations with the South Asian superpower without getting into the niceties and political correctness of business diplomacy. This would require a multi-pronged action.

First and foremost, notwithstanding the Canadian manpower deployed in India, the results have not borne fruit. The Canada brand in India is week even though it is claimed that there are over 600 Canadian companies plying their trade in India. Secondly, there is lack of financial support and incentives for  SMEs wishing to venture into India. Thirdly, Canadian trade and business associations in the Canada-India business corridor are not given the wherewithal to promote trade, invest and services between the two nations. These organizations are akin to “train the trainers”, with experience in both the continents. Fourthly, the whole immigration mindset and policy has to be recast. Instead of giving preference to family class (with problems galore) preference should be given to the educated, business oriented and financially endowed immigrants who bring resources, talent and investments into Canada. Finally, the bane of Canada’s existence, education, needs to be revamped. Instead of it being treated as a cash cow, the need is to return to the three Rs, a school for the entire world. There are some other pressing issues but space limitation may require another go at it.

It is hoped that the new regime in Canada will turn the page on the last decade and set a course that does justice to its mandate.

K.V. (Kam) Rathee,

Emails: kam@ratheeassociates.com,

kamrathee@sympatico.ca,

website:www.ratheeassociates.com

Kam Rathee is a leading authority on Canada – India business relations and Chair of the Advisory Board of the Indo-Canada Chamber of Commerce. With decades of experience spanning law, international trade, and corporate strategy, he has played a pivotal role in strengthening economic and educational ties between the two countries. Through his consultancy, Rathee and Associates Inc., and past leadership roles at Canada Life, Blake, Cassels & Graydon LLP, and the Canada–India Business Council, Rathee continues to be a key voice in the Canada–India corridor.

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