The stakes for both countries is high as the rift over allegations that India ran a campaign to intimidate Sikh separatists in Canada deepens.

India and Canada do not see diplomatic fallout over the murder of a Sikh separatist leader having any immediate impact on bilateral trade ties, government officials from the two countries said. Canada exports primarily minerals,

GTRI warned that if the dispute drags on, both nations will need to carefully manage their actions to avoid a full-blown economic fallout.