Agencies
Srinagar, Sept 06: Repeated incidents of unrest and turmoil have damaged the economy in the Kashmir valley – and the industry which has been worst hit by the unrest is tourism. The loss is estimated to be touching Rs 21,000 crores and more than a lakh people have been rendered jobless.
Shutdowns due to violence for close to three months has hit Kashmir hotelier Mushtaq Ahmad Chava and Jammu based industrialist Rahul Bansal badly.
Chaya has four hotels that saw a booming 100 per cent occupancy in April and May, but now it is all empty. And Bansal's steel unit near Jammu supplies over 70 per cent of its products to Kashmir, all of which is stocked up for want of sale.
“`I had a roaring business in May and half of June ... after that the accident took place …it was 50 per cent and in July and August the occupancy was zero,” says Chava.
The story isn’t very different for industrialist Bansal. “We have stock worth Rs 20 cores and finished the product is not going to Valley. Even government sector has shut down and have stopped taking supplies,” rues Bansal.
The economy of Jammu is largely dependent on the Valley, one of the reasons why traders, manufacturers and wholesale dealers too have been severely affected.
In Kashmir, the tour and travel industry has laid off an estimated 60,000 employees and if the situation does not improve, 40,000 more people are likely to lose their jobs in the coming weeks. The economic hit is projected at a staggering Rs 21000 crore in sectors such as tourism, industry and handicrafts.
The state lost nearly Rs 13000 crores in the last 86 days on sales tax, income tax and other levies. And tour, handicraft and industry losses adds up to Rs 1000 crores a day.
With no tangible resolution to the political crisis in Kashmir, traders face a tough time ahead. And like the turmoil, there’s also no end in sight for these men.
