India and Canada have long been seen as friendly nations, knitted with democratic values and strong cultural ties. However, the recent diplomatic blow-up between Canada’s PM Trudeau and India threatens to affect this partnership. The tensions are not just political but are permeated in historical grievances, ethnic politics and conflicting national interests.

Firstly, the core of this tension is Canada’s downright reluctance to crack down on Khalistani separatism, a movement that ‘s so relevant in India today as a dial-up internet. But in Canada? Well, it’s alive and kicking as always.

Canada’s dismissiveness towards India’s concerns over pro-khalistani activities is not just a diplomatic snub, it’s a slap in the face. The Sikh community, though dominating just 2% of Canada’s population, wields significant political weight. As Trudeau himself puts it, “Canada is one of the most diverse countries in the world, and Sikh community is an integral part of that diversity”, while some translate it as their potential vote banks and a mere political strategy, rather than some high-minded dedication to diversity. Because in this cold, calculated world of electoral politics, Khalistan is a card Trudeau won’t give up easily.

Secondly, India’s response to Trudeau’s wild accusation has been unforgiving. Describing the claims as politically motivated, India has shown that it’s not about letting it’s reputation be dragged through the mud without a fight. Cancelling visas, expelling diplomats, India’s message is clear, ‘Don’t bite the hand that holds your diplomatic goodwill’.

With both nations being influential players in the global arena, India in G20 and Quad while the latter being in G7 and the Five eyes alliance, this squabble could soon begin to force other nations to pick sides as well.

While the diplomatic punches keep flying, the economic impact has been mere simmer instead of a full-explosion. For instance, Canadian pension funds have pumped around $75 billion into India’s economy, and both countries stand to lose if they let this ruckus spill over into trade and investment.

However, let’s not pretend that money is immune to political pressure. Already, trade talks have grounded to a halt, and it won’t be long before the private sector starts feeling the pinch as well.

Another considerable point is the education exchange between the two countries. Indian students flock to Canada in droves, with one in every seven Indian students studying abroad choosing the Great White North. These aren’t just warm bodies filing the seats they are rather soft power conduits. But if this feud drags on, we might witness fewer students heading towards the west, cutting off an invaluable link in diplomatic relations.

Well, this diplomatic mess can only be cleaned up with one thing and that’s ‘Dialogue’. But not the kind where both nations talk past each other.

India and Canada need to sit down, face the hard truths and get real about the cost of letting this standoff get out of control.