Ottawa, Ontario
15 April 2015
Our Government is committed to accelerating trade and investment flows between Canada and India with a view to enhancing the prosperity of Canadian companies and generating jobs and economic growth at home.
Given its rapid economic growth, India’s energy supply challenges are both acute and urgent. India is currently the fourth-largest energy consumer in the world and is expected to more than triple its electricity supply within the next 25 years. Canada’s resources and know-how in the energy sector are an ideal fit for India’s needs.
To this end, on April 15, 2015, Prime Minister Stephen Harper welcomed the announcement by Cameco, a Saskatoon-based Canadian company, of a contract to supply over seven million pounds of uranium to India over the next five years for the generation of electricity. The contract between Cameco and India’s Department of Atomic Energy was signed during the official visit to Canada by Indian Prime Minister Narendra Modi.
The export contract, valued at approximately $350 million at today’s uranium prices, is specifically for Canadian uranium, which will be sourced from the company’s operations in northern Saskatchewan. The sale will permit the Cameco group of companies to establish itself in one of the world’s fastest growing uranium markets.
The signing of the contract is a clear signal of Canada’s increased energy cooperation with India and is a testament to the Government’s efforts to promote greater trade and investment with India.
The supply contract was made possible by the Canada-India Nuclear Cooperation Agreement (NCA) which came into force in September 2013. The NCA and a supporting Administrative Arrangement allow Canadian firms to export and import controlled nuclear materials, equipment and technology to and from India to facilities subject to safeguards applied by the International Atomic Energy Agency. Individual exports and imports are also subject to licensing under the Nuclear Safety and Control Act and the Export and Import Permits Act.
India’s economic growth and development are among the fastest in the world. In little more than a decade, India is expected to have the fourth-largest economy in the world. The Canadian and Indian governments both recognize the tremendous commercial potential between our two countries.
