Synopsis India and Canada agreed to resume full diplomatic services, ending the thaw between the two countries, triggered by Canadian allegations that Indian agents were involved in the killing of NIA-designated terrorist Hardeep Singh Nijjar outside a gurdwara in Canada in 2023. India and Canada agreed to resume full diplomatic services, ending the thaw between the two countries, triggered by Canadian allegations that Indian agents were involved in the killing of NIA-designated terrorist Hardeep Singh Nijjar outside a gurdwara in Canada in 2023. At the G7 Leaders' Summit in Kananaskis, Alberta, Canadian Prime Minister Mark Carney held talks with Prime Minister Narendra Modi and both leaders agreed to designate new high commissioners, with a view to returning to regular services to citizens and businesses in both countries, according to a press release from the Prime Minister of Canada. Prime Minister Carney and Prime Minister Modi reaffirmed the importance of Canada-India ties, based upon mutual respect, the rule of law, and a commitment to the principle of sovereignty and territorial integrity.
They discussed strong and historic ties between their peoples, partnerships in the Indo-Pacific, and significant commercial links between Canada and India - - including partnerships in economic growth, supply chains, and the energy transformation, read the release.
The discussions on deepening engagement in technology, digital transition, food security, and critical minerals came even as India-Canada ties remain strained due to ongoing political tensions. India has repeatedly voiced concern over extremism and anti-India activities in Canada, urging Canadian authorities to act against such elements. Tensions escalated further when former Canadian Prime Minister Justin Trudeau claimed that his government had "credible allegations" of India's involvement in the killing of Khalistani terrorist Hardeep Singh Nijjar in Canada in 2023.
India has strongly denied the allegations, terming them "absurd" and "motivated," and has accused Canada of giving space to extremist and anti-India elements. In the aftermath, India recalled six diplomats from Canada after they were declared "persons of interest" by Canadian authorities investigating Nijjar's killing. Nijjar was shot dead outside a gurdwara in Surrey, British Columbia, on June 18, 2023. The diplomatic rift between India and Canada has since widened, with Canada allegedly violating various international norms such as the Vienna Convention and subjecting Indian diplomats to surveillance--against which the Ministry of External Affairs had lodged a formal protest with the Canadian government.
Source: The Economic Times
India's export trajectory from 2010 to 2023 has shown a consistent and steady upward trend, reflecting the resilience and dynamism of its trade sector, an official said on Tuesday. Citing an UNCTAD report, the official said that over the period from 2010 to 2023, India has been one of the fastestgrowing major economies in terms of its share of global exports, achieving a growth rate of 6.3 per cent. "This rate of growth is the highest among all major economies as reported by UNCTAD key statistics and trends in international trade 2024," the official added. This performance stands out even more when compared to other leading economies such as the European Union, China, and the US, which recorded lower export share growth rates of 3.9 per cent, 6.1 per cent, and 3.9 per cent respectively during the same period. "While some advanced economies like Japan and Russia experienced only marginal increases or stagnation in their export shares, India's export trajectory has been marked by a consistent and steady upward trend, reflecting the resilience and dynamism of its trade sector," the official said. This reflects the effectiveness of India's trade policies, manufacturing and services sectors, and the impact of export promotion initiatives, which have contributed to enhancing the country's integration into global supply chains. The country's total exports in 2009-10 was USD 274.8 billion. It touched USD 776.3 billion in 2022-23 and 825 billion in 2024-25.
Source: The Economic Times
The government's move to simplify the process of setting up multimodal cargo terminals has helped 108 such facilities come up over the last three years, said Ashwini Vaishnaw, Union minister for railways, information broadcasting and information technology. "The government, since December 2021, introduced reforms and simplified processes (for establishing cargo terminals), which resulted in establishment of 108 terminals in such a short period," the minister said at the inauguration of railway siding facility of Maruti SuzukiIndia Ltd (MSIL) at Manesar on Tuesday. The facility, at its full capacity, can transport 450,000 cars every year through rail, saving 60 million litres of fuel and preventing 175,000 tonnes of CO2 emissions.
The minister also said that over the last two years, the government has been focusing on increasing general coaches in trains, with "1,200+ such coaches added in the last year".
Source: The Economic Times
The Bihar Cabinet has approved a memorandum of understanding (MoU) between the Airports Authority of India (AAI) and the state government for the development of six small airports under the ‘Ude Desh ka Aam Nagrik’ (UDAN) scheme. The airports identified for development are in Madhubani, Veerpur, Munger, Valmikinagar, Muzaffarpur, and Saharsa. The Cabinet has sanctioned an initial allocation of ₹25 crore for each airport to support infrastructure development. According to the Bihar Cabinet Secretariat Department’s Additional Chief Secretary (ACS) S Siddharth, the decision will enable the development of necessary infrastructure at these locations. MSP declared for chickpeas, lentil, mustard The Cabinet approved the Food and Consumer Protection Department’s proposal for procurement of pulses and oilseeds at Minimum Support Price (MSP).
Five-star hotel to replace Hotel Patliputra Ashok In another decision, the Cabinet approved the allotment of a “letter of award” to Kumar Infratrade Enterprises Pvt Ltd, Patna, for constructing a five-star hotel on the land of Hotel Patliputra Ashok. The hotel will be developed under a 60-year lease in PPP mode, with the lease tenure extendable by another 30 year.
The company will deposit an amount based on the minimum value register (MVR) and annual lease deed fee. This will be the first of three five-star hotels planned in the city. Bidding for the other two—at the Bankipore bus stand and Sultan Palace—is underway. Rules for compassionate appointments updated The Cabinet approved the Bihar Rajya Vidyalaya Lipik (Niyukti, Sewashart evam Anushashnik Karwai) rules. Under this, wards of deceased teaching and non-teaching staff may be appointed on compassionate grounds. Fifty per cent of sanctioned posts will be filled through this provision, while the remaining 50 per cent will be filled by direct recruitment. SAP contract extension for 1,717 personnel The contracts for 1,717 Special Auxiliary Police (SAP) personnel, all retired members of the Indian Army, have been extended for the financial year 2025–26. Sand deposit study sanctioned in five rivers Approval was given to the Mines and Geology Department for a replenishment study of the Sone, Kiul, Falgu, Morhar, and Chanan rivers. This study, to be conducted by the Central Mine Planning & Design Institute (CMPDI), will assess sand deposits after the monsoon. The findings will guide sand mining permissions in line with District Mines Survey Reports. The project has been allocated ₹2.58 crore. Land allocated for industrial area in Saran The Cabinet approved the transfer of 70.5 acres of land in Arna (Mauja), Amnour circle, Saran district to the Industries Department for the development of an industrial area.
Source: Business Standard
To ease passenger woes in short-distance railway travel, the government will manufacture new 100 expanded mainline electric multiple units (MEMU) and 50 Namo Bharat trains, Union Minister for Railways Ashwini Vaishnaw said here on Tuesday. To ease passenger travel, 100 MEMUs will be manufactured with 16 and 20 coaches. Earlier, MEMUs were manufactured with 8 or 12 coaches. A new factory is being set up in Kazipet, Telangana where these trains will be made,” the minister said at the inauguration of India’s largest automobile loading facility at Maruti Suzuki India’s Manesar plant.
A MEMU is a type of electric multiple unit train designed for operation on mainline tracks, connecting city centres with suburban areas for short to medium-distance routes with frequent stops. The minister also added that the ministry of railways will build 50 new Namo Bharat trains. These air-conditioned trains were developed for short-distance travel between cities. The first of these trains was launched last year in Gujarat. The minister had also announced after the Union Budget in February the government’s plans to build 50 Namo Bharat trains. The minister also said that the GatiShakti Cargo Terminal, dedicated for Maruti Suzuki’s car transportation, will enable greening of logistics as these cars were earlier ferried via road transport.
Source: Business Standard
Union Railway Minister Ashwini Vaishnaw on Monday inaugurated the Gati Shakti Multi-Modal Cargo Terminal at Maruti Suzuki’s Manesar facility in Haryana. Touted as the largest automobile cargo terminal under the Gati Shakti initiative, the terminal is expected to significantly enhance freight capacity and industrial logistics.
The terminal is connected to Patli railway station via a 10-kilometre dedicated rail corridor, which is a component of the 121.7-kilometre Haryana Orbital Rail Corridor developed by the Haryana Rail Infrastructure Development Corporation (HRIDC). The project was developed at a total cost of ₹800 crore, of which ₹684 crore was contributed by HRIDC, with the remainder financed by Maruti Suzuki. The cargo terminal can handle the loading of 450,000 automobiles annually.
Railway development in Haryana
Vaishnaw noted significant improvements in railway infrastructure funding and development for Haryana. “Before 2014, the railway budget allocation for Haryana was only ₹300 crore. This year, it has increased to a record ₹3,416 crore,” he said. He added that 823 kilometres of new rail lines have been laid in the state in the past 11 years and that 100 per cent of Haryana’s railway network is now electrified. The event was attended by Haryana Chief Minister Nayab Singh Saini and Maruti Suzuki India CEO & MD Hisashi Takeuchi.
The minister also shared that infrastructure projects worth ₹11,800 crore are currently underway in Haryana, including the redevelopment of 34 railway stations under the Amrit Bharat Station Scheme, and the construction of 540 road overbridges and underpasses.
Factory and train upgrades
Highlighting upcoming developments, Vaishnaw announced that the Railway Coach Factory in Sonipat is undergoing modernisation and will soon be ready for inauguration. It is expected to play a pivotal role in enhancing coach production capacity. In addition, over 100 Mainline Electric Multiple Unit (MEMU) trains will be upgraded, increasing their composition from 8–12 coaches to 16–20 coaches. A new manufacturing facility in Kazipet, Andhra Pradesh, has been set up to support this expansion.
Railways Budget and General Coaches
Vaishnaw said the Indian Railways’ annual budget has grown tenfold: “Before 2014, the Railways' annual budget hovered around ₹24,000–25,000 crore. Now it has reached ₹2.5 trillion.”
Source: Business Standard
India’s share in global exports rose to 3% in 2023 from 2.2% in 2010, growing at 6.3% annually—the fastest among major economies, says UNCTAD. Driven by booming services, resilient trade policies, and strong manufacturing, India’s exports reached $825 billion in 2024-25. India’s share in global exports touched 3% in 2023 from 2.2% in 2010 growing at 6.3% annually during the period, which was highest pace among the major economies of the world, according to the United Nations Conference on Trade and Development (UNCTAD) report. “The steady upward trend reflects the resilience and dynamism of India’s trade sector. This rate of growth is the highest among all major economies as reported by UNCTAD key statistics and trends in international trade 2024,” an official said on Tuesday. This reflects the effectiveness of India’s trade policies, manufacturing and services sectors, and the impact of export promotion initiatives, which have contributed to enhancing the country’s integration into global supply chains, the official added.
Source: Financial Express
As the Israel-Iran conflict escalates, India’s strategic investments in Chabahar Port and the IMEC trade corridor face rising uncertainty. Trade routes, energy supply, and exports hang in the balance, posing a major challenge to India's regional ambitions. With tension rising across West Asia due to the ongoing conflict between Iran and Israel, there is a pall of cloud hanging over India’s two major connectivity projects, Chabahar Port in Iran and the India-Middle East-Europe Economic Corridor (IMEC). According to a report by PTI, the government is closely monitoring the situation arising from the Iran-Israel conflict. It is set to meet shipping lines, container firms, and other stakeholders this week to assess the impact on the country’s overseas trade and address any issues. India, so far, has had good ties with both nations, Iran and Israel. Israel supplies defence equipment, and Iran promises connectivity through the Chabahar port.
India has committed nearly Rs 1,000 crore (about $120 million) to develop the Shahid Beheshti terminal at Chabahar Port, as Financial Express reported previously. In May 2024, India signed a 10-year agreement with Iran, gaining long-term operational control of the terminal. Is this investment and trade route to Afghanistan and Central Asia, bypassing Pakistan, which does not permit Indian transit access, under threat? According to annual report of The Ministry of water, shipping and waterways (2024-25), Chabahar Port has handled over 60,000 TEUs of container cargo and 1.9 million metric tons of bulk/general cargo during 2023-2024, reflecting a 43% increase in vessel traffic and a 34% rise in container traffic. Chabahar helps India counterbalance Pakistan’s Gwadar Port, developed by China under the China-Pakistan Economic Corridor (CPEC). The port supports India’s maritime strategy under the SAGAR vision, strengthening its presence in the Arabian Sea and reducing China’s influence in the region. The escalating Israel-Iran conflict may trigger fresh Western sanctions on Iran. While the US had earlier granted sanctions waivers for Chabahar, the growing hostilities could force Washington to reconsider. Chabahar port is also part of the International North-South Transport Corridor (INSTC), a multi-modal route connecting India with Iran, Central Asia, Russia, and Europe. This corridor provides a faster and cheaper alternative to the Suez Canal. If this shipping route is affected, cargo ships may need to take a much longer path around the Cape of Good Hope, which could add two extra weeks to travel time and sharply raise shipping costs.
IMEC faces uncertainty amid conflict
India is also leading the India-Middle East-Europe Economic Corridor (IMEC), a mega connectivity project launched during the G20 Summit in New Delhi in September 2023. The corridor connects Indian ports to Europe via the UAE, Saudi Arabia, Jordan, and Israel.
According to PIB, Union Minister of Commerce and Industry Piyush Goyal, while addressing the India-Middle East-Europe Economic Corridor (IMEC) High-Level Roundtable on 16 April, stated that IMEC is expected to reduce logistics costs by up to 30 per cent, cut transportation time by 40 per cent, and create seamless trade linkages across continents. IMEC is seen as a counter to China’s Belt and Road Initiative. But the conflict between Iran and Israel now puts India in a delicate diplomatic position. Both countries are key partners. Israel backed India during its recent tensions with Pakistan, while Iran maintained a neutral stance and continued ties with both India and Pakistan. India’s reaction to the current conflict could impact its position in both projects. A strong tilt towards one side risks alienating the other.
India’s exports to Israel and Iran could also get impacted
According to GTRI, India’s exports to Israel have fallen sharply to $2.1 billion in 2024-25 from $4.5 billion in 2023-24. Imports from Israel came down to $1.6 billion in the last fiscal from $2.0 billion in 2023-24. Similarly, exports to Iran of $1.4 billion in FY24 could also suffer. India’s imports from Iran were at $441 million in FY25 as against USD 625 million in the previous year. Though India maintains the trade surplus with both countries, the disruption in the trade route can be a cause of worry. Red Sea tension resurfaces after Israel strikes Houthi targets Israel’s June 14–15 airstrikes on Houthi rebel leaders in Yemen have reignited tensions in the Red Sea, a route already troubled by Houthi attacks on commercial ships. “For India, this is another serious concern,” said Srivastava of GTRI. “Nearly 30 per cent of India’s exports to Europe, North Africa, and the US East Coast pass through the Bab el-Mandeb Strait,” GTRI noted, as reported by PTI.
Cargo ships had only recently resumed sailing through the Red Sea after Houthi attacks halted movement following the October 7 Israel-Gaza conflict. Now, with fresh tensions, exporters worry about new delays and diversions. The Red Sea is vital for 80 per cent of India’s trade with Europe and a large share with the US—together, these markets account for 34 per cent of India’s exports.
Israel and Iran enters day 5 of conflict
As the Israel-Iran conflict enters its fifth day, Israel is intensifying its airstrikes on Tehran. The country launched a surprise attack on Iran’s military and nuclear facilities on June 13. US President Donald Trump cut short his visit to the G7 summit in Canada and issued a strong message on social media: “Everyone should immediately evacuate Tehran!” and “Iran cannot have a nuclear weapon,” he posted on X.
Source: Financial Express
India's apparel exports saw a significant boost in May. The growth is attributed to Western buyers seeking alternatives to Bangladesh and China. Political factors and duty advantages are also playing a role. The industry anticipates continued export momentum. However, rising cotton imports are a growing concern. The US market presents a major opportunity for Indian exporters.
Source: The Economic Times
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) recently organised a high-profile B2B matchmaking event at its Dhaka headquarters, bringing together industry leaders from Bangladesh and China to explore new avenues for collaboration in the textile sector. The event featured a delegation of 30 representatives from 13 prominent Chinese textile companies, led by Zhang Xi’an, Vice Chairman of the China Chamber of Commerce for Import and Export of Textiles (CCCPT). The Chinese delegation engaged in exclusive business meetings with 53 Bangladeshi manufacturers, focusing on potential cooperation in areas such as man-made fibre (MMF), green textile innovation, and home textiles. The initiative aims to strengthen trade relations, attract foreign investment, create employment opportunities, and promote knowledge and technology exchange between the two nations’ textile industries. BGMEA Administrator Anwar Hossain highlighted Bangladesh’s strengths in the ready-made garment (RMG) sector, with particular emphasis on the country’s expanding focus on non-cotton garments, sustainability, and innovation. He underscored Bangladesh’s efforts to increase its share in the rapidly growing global MMF garment market, which constitutes a significant portion of international garment exports.
This matchmaking event marks a significant step toward enhancing bilateral cooperation and positioning Bangladesh as a more diversified and sustainable apparel sourcing hub. Both sides expressed optimism about forging long-term partnerships rooted in shared expertise and mutual growth objectives.
Source: Apparel Resource
At a meeting with Chinese President Xi Jinping, Turkmen President Serdar Berdimuhamedov announced his intention to expand trade and economic ties between the countries, the State News Agency of Turkmenistan reports. “Turkmenistan is in favor of expanding trade and economic ties, where there are extensive prospects for increasing cooperation in the textile industry, railway transport and agriculture,” the statement said. Particular attention was paid to cooperation in the transport sector. The interlocutors exchanged views on the prospects for establishing sustainable interregional transport and transit corridors. The meeting between the President of Turkmenistan Serdar Berdimuhamedov and the Chairman of the People's Republic of China Xi Jinping took place on Tuesday on the sidelines of the second Central Asia-China summit in Astana.
Source: Turkmen Portal
