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Economic Impact

There is no doubt that tourism is an important force in the economy of Ladakh. This is particularly valuable now that the traditional trade routes which previously provided Ladakh with a stable economic base have closed. Although tourists may spend a large amount of money in Ladakh, much of that goes straight into the pockets of non-Ladakhis only to be taken out of the region at the end of the tourist season. Thus the Ladakhis have to put up with the cultural and environmental problems that tourism brings without benefiting as much as they could from the profits.

• Check out your trekking company - If you book an organised trek in your home country a proportion of what you pay stays in the West to cover the company's administrative costs. Try to find out how your company spends its money in Ladakh. Does it use local services, buy locally produced food and goods, or employ local staff? Some companies bring Nepalese staff over, as Ladakh's peak season coincides with Nepal's off season. If you use an agency in Leh, is the company run by Ladakhis or employing Ladakhi staff? If you trek independently you will contribute more to the local economy. For this reason you should try to find a pony-man close to the start of your trek so that the money directly benefits the local community.

• Use local services - Be choosy about how and where you spend your money. Hotels, guest-houses, restaurants, souvenir shops and trekking agencies are increasingly being run by outsiders. This means that all the profits that they make with your money disappear with them, back to Delhi and Kashmir at the end of September. One estimate was that only 10% of souvenir shops in Leh were run by Ladakhis. You should use local services to boost the local economy; you'll benefit as much as the Ladakhis. Trying out Ladakhi-run accommodation will soon prove to you that their guest-houses give far better value and are much more interesting than the overpriced and uniform establishments that are part of national and international chains. They may have all mod cons but are you seeking a home from home? If so, why travel?

• Buy local products - Handicrafts have always been important in a region that has traditionally provided for its own basic needs. However, the souvenir shops of Leh are flooded with goods imported from the rest of India; sold at a higher price than in Delhi. The potential for Ladakhi crafts is slowly being realised, especially as their manufacture can provide villagers with a supplementary income during the six to eight winter months when there is little agricultural work. This, therefore, diversifies and strengthens the rural economy. Ask for Ladakhi handicrafts and try to find out where they were made. Some of the state-run handicraft centres merely compound the problem by encouraging people (mainly women) away from the farms to work in small-scale craft factories rather than their homes, thus further undermining the traditional agricultural economy.

It is illegal to buy any object that is more than 100 years old. Abiding by the law is not enough: don't buy anything which is obviously robbing Ladakh of its cultural heritage, such as old thankas, statues and other religious objects, or even personal jewellery and old traditional tools.

When buying supplies for a trek, make the most of locally produced food such as the organic vegetables sold along the Main Bazaar, or dried apricots and roasted barley. When eating in restaurants and hotels try to support the local economy by asking for traditional Ladakhi food.

• Pay the right price - Try to get an informed idea of how much things are worth. Guest-house owners, staff at the tourist information and other travellers can all be helpful. If you pay too much you will encourage inflation but by not paying enough you will deprive people of their rightful earnings. If you would like to give money in return for staying in a local home Rs70100 would be an appropriate amount for food and accommodation. Your hosts may be shy about accepting it, so employ the local way of offering gifts which is to place it in an envelope on a table in the kitchen in their sight.

• Alternative economies - It is not always appropriate to bless people with your money as it can enforce the idea of a monetary economy in an area where more appropriate economic systems are operating. Particularly in remote rural areas, giving money in exchange for food or accommodation may not be accepted, in which case you should always have some useful gifts (such as tea, penknives, lighters, scarves for the women, balloons for the children, writing and drawing materials) which can be given instead.

Minimum Impact Trekking Cultural Impact :: Environmental Impact :: Economic Impact