• 3,000 firms
  • Independent
  • Trusted
Save up to 70% on staff

News » India-Canada rift could stall new outsourcing deals

India-Canada rift could stall new outsourcing deals

India Canada rift stall new deals
Photo from Shutterstock

BENGALURU, INDIA — Ongoing diplomatic tensions between India and Canada may hinder Indian IT companies from finalizing new outsourcing deals with Canadian businesses. 

The tension between the two countries was rooted in Canada’s allegation that the Indian government was involved in the murder of a Sikh activist and naturalized Canadian citizen Hardeep Singh Nijjar. Canada then pulled some staff from its Indian consulates while India issued a travel warning to its citizens.

Indian IT firms favor Canada due to its straightforward visa processes and pro-business environment. Canada contributes about 4-5% of revenues for India’s major IT firms. 

IT giants like Infosys and Wipro have expanded in Canada, while Tata Consultancy Services (TCS) partners with Canadian entities such as Bombardier and Payments Canada. 

At the same time, numerous Canadian companies also operate their Global Capability Centres in India.

Pareekh Jain, an IT outsourcing advisor and Founder of Pareekh Consulting, said that some outsourcing contracts and negotiations could be delayed as businesses adopt a cautious approach.

Despite these concerns, operational disruptions are not anticipated in the immediate future.

Jain stated that operations are expected to remain steady in the short term. The visa suspension — implemented by the Indian government last week — is foreseen not to affect many Canada-based engineers who are of Indian origin. 

Read more here.

Start your
journey today

  • Independent
  • Free
  • Transparent

About OA

Outsource Accelerator is the trusted source of independent information, advisory and expert implementation of Business Process Outsourcing (BPO)

The #1 outsourcing authority

Outsource Accelerator offers the world’s leading aggregator marketplace for outsourcing. It specifically provides the conduit between Philippines outsourcing suppliers and the businesses – clients – across the globe.

The Outsource Accelerator website has over 5,000 articles, 350+ podcast episodes, and a comprehensive directory with 900+ BPO companies… all designed to make it easier for clients to learn about – and engage with – outsourcing.

About Derek Gallimore

Derek Gallimore has been in business for 20 years, outsourcing for over eight years, and has been living in Manila (the heart of global outsourcing) since 2014. Derek is the founder and CEO of Outsource Accelerator, and is regarded as a leading expert on all things outsourcing.

“Excellent service for outsourcing advice and expertise for my business.”

Learn more
Banner Image
Get 3 Free Quotes Verified Outsourcing Suppliers
3,000 firms.Just 2 minutes to complete.
Learn more

Connect with over 3,000 outsourcing services providers.

Banner Image

Transform your business with skilled offshore talent.

  • 3,000 firms
  • Simple
  • Transparent
Banner Image