Canada Visa Rule Changes Force Closures of IELTS Centres in Punjab

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Key Takeaways

• In November 2024, Canada ended the Student Direct Stream (SDS) program, reducing international student intake and IELTS demand in Punjab.
• Punjab saw IELTS test-takers drop from 50,000 monthly to 5,000 in September 2024; 30% of centres have closed.
• Canada’s 2025 policy caps annual study permits at 437,000 and introduces stricter language benchmarks for Post-Graduation Work Permits (PGWP).

Many International English Language Testing System (IELTS) centres in Punjab 🇮🇳 have shut down or reduced their operations drastically in response to changes in Canada’s 🇨🇦 immigration policies. These policies, which include restricted visa rules and adjustments to student immigration programs, have led to a steep drop in demand for IELTS training across the region. As a result, Punjab’s once-thriving IELTS coaching economy has suffered a major setback.

Changes in Canada’s Immigration Policies

Canada Visa Rule Changes Force Closures of IELTS Centres in Punjab

In November 2024, Canada officially ended the Student Direct Stream (SDS) program. The program had long been a favored pathway for students from Punjab seeking education in Canada. Additionally, new restrictions have been introduced to reduce the overall intake of international students. These changes have significantly influenced the popularity of IELTS in Punjab, which relies heavily on student aspirations to study in Canada.

This impact is evident in the sharp reduction of students taking the IELTS exam. In September 2024, Punjab saw a drop from 50,000 students per month attempting the exam in previous years to just 5,000 students during that period. In Ludhiana, where numbers were once as high as 6,000 students per month, only 150 took the test in September 2024. These figures highlight how closely linked IELTS demand is with Canada’s immigration policies.

Stricter visa rules have also played a role. Since December 2023, Canada has tightened tourist and student visa requirements and introduced limits on spousal visas. These spousal work permits are now restricted to students pursuing Master’s and PhD programs, while work permits for other students are only issued to those obtaining technical diplomas. This makes it much harder for students without technical qualifications to transition into permanent residency or employment in Canada.

How Punjab’s IELTS Business Shrunk

The sharp decline in demand for IELTS has devastated the local industry in Punjab:

In Ludhiana, the number of IELTS centres fell from 567 in 2023 to 431 in 2024.
A total of 62 institutes in the district did not renew their licenses, while 74 surrendered theirs.
In Bathinda, eight IELTS centres have closed just since September 2024.

Overall, estimates suggest that 30% of IELTS institutes across Punjab have closed or reduced their operations. Out of the 10,000 centres registered a year ago, only about 7,000 remain functional. Some centre owners have chosen to take a “wait-and-watch” approach, while others are diversifying their services or transitioning into entirely different industries.

For example, Nitin Chawla, who had successfully run an IELTS coaching centre in Ludhiana for over two decades, has now shifted focus to running an air hostess training academy. In the face of declining revenue, Chawla also reduced his staff by 50%. Many other owners of IELTS centres have pivoted to teaching alternative courses or preparing students for destinations other than Canada, such as Europe or Australia.

Statistical Analysis Reflects the Industry’s Struggles

The numbers paint a grim picture. The Association of Consultants for Overseas Studies reports that 1.4 to 1.5 million students from Punjab took the IELTS exam in 2023. In 2024, that figure dropped substantially to under 300,000. The total number of registered IELTS centres in Punjab has decreased dramatically from 11,000 to around 6,000 in one year.

The adverse changes to both Canada’s visa policies and India’s diplomatic relationship with Canada have reinforced this decline. Diplomatic ties between the two countries deteriorated following the Hardeep Singh Nijjar case in September 2023. The strained relations have compounded Canada’s stricter visa policies, resulting in reduced opportunities for students from Punjab to study and work in Canada.

Further complicating matters, Canada has introduced additional immigration changes effective 2025. These include limiting study permits to 437,000 annually, which represents a reduction of 300,000 permits over the next three years. The country has also implemented stricter language requirements for the Post-Graduation Work Permit (PGWP). University graduates must now achieve a Canada Language Benchmark (CLB) of 7, while college graduates need a CLB of 5. Together with a cap on study permit applications and restrictions on spousal work permits, these measures have made it increasingly challenging for Punjabi students to secure a future in Canada.

Widespread Economic Effects in Punjab

The slowdown in IELTS-related activities has not only affected the centres themselves but also had a ripple effect on local economies. Streets that were once lined with IELTS coaching centres and bustling businesses catering to student clientele now have empty shopfronts and “TO-LET” signs. Locals often refer to these areas as “IELTS vaali galli” (IELTS Street), but the diminished demand has left many commercial premises vacant.

Families in Punjab that were once investing an average of 18–25 lakh INR per student in the Canada study route are pausing their plans. Furthermore, the economic loss extends beyond India. According to reports, Indian international students contributed 68,000 crore INR to Canada annually—a sum that will be missed under the new immigration policies.

Real-Life Impacts on Centres

Some IELTS centres have witnessed drastic reductions in the number of students enrolled. Mandeep Singh, who ran Learning Highway, used to teach about 40 students per year but is now down to only 10 students. Similarly, Prag Garg’s consultancy has experienced a 70–80% loss in business. Garg previously worked with up to 10 students per season but now handles just one or two. Vinay Hari Education and Consultants, conducting business across cities such as Jalandhar, Ludhiana, and Chandigarh, reports a shocking 95% reduction in operations.

The slowdown has also altered student preferences. Fewer families are willing to take financial risks by choosing Canada as a study destination now. Instead, they are considering alternatives. For example, Australia, the UK 🇬🇧, and Germany 🇩🇪 are becoming more popular choices for Punjabi students who are cautious about unpredictable immigration rules.

Adaptation and Outlook

While some IELTS centres have diversified their services to remain afloat, others are holding out hope for a diplomatic resolution between Canada and India. Many centre operators believe improved relations might ease visa restrictions, potentially reviving interest in their services. At the same time, some are eagerly exploring market opportunities tied to students seeking admission in countries other than Canada.

Analysis from VisaVerge.com suggests these market adaptations are likely to shape the region’s IELTS industry in the coming years. It notes that the coming months will test whether the industry can reconfigure itself to cater to broader needs or if it will continue to decline under reduced demand for Canadian study opportunities.

Conclusion

The closure of IELTS centres in Punjab is a direct result of Canada’s altered immigration rules and the strained diplomatic ties with India. For Punjab, a region where dreams of studying abroad were often built around Canada, the ripple effects have been deeply impactful. Thousands of students must re-evaluate their aspirations, while businesses that once thrived within the IELTS ecosystem struggle to survive. The need for adaptability has never been higher. Only time will tell whether these centres can pivot to other opportunities or if the downturn will permanently reshape the landscape for IELTS training in Punjab.

For official details about Canada’s visa policies, students can consult the Immigration, Refugees and Citizenship Canada (IRCC) website.

Learn Today

International English Language Testing System (IELTS) → A standardized English language test for non-native speakers, often needed for studying, working, or immigrating abroad.
Student Direct Stream (SDS) → A Canada-specific visa program streamlining study permits for eligible international students, primarily from certain countries including India.
Spousal Work Permit → A visa allowing spouses of international students or workers to gain employment in the host country during the permit period.
Canada Language Benchmark (CLB) → A national standard in Canada for measuring English language proficiency of immigrants or international students.
Post-Graduation Work Permit (PGWP) → A Canadian visa allowing international students to work in Canada after completing their educational programs.

This Article in a Nutshell

Punjab’s IELTS Industry Faces Uncertainty

Canada’s tightened immigration policies, including capped study permits and stricter visa rules, have decimated Punjab’s booming IELTS coaching industry. With a 95% decline in enrolments, thousands of centres have shut down or diversified. Dreams are shifting away from Canada to alternatives like Australia and Europe, reshaping aspirations and the region’s economy.