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Ladakh Stakeholders Pass Resolution To Restrict Outside Investment In Tourism Sector

PT Kunzang, ALTA president, said tourism is Ladakh's backbone and 11 properties, in which non locals had invested, have been blacklisted.

Ladakh Stakeholders Pass Resolution To Restrict Outside Investment In Tourism Sector
All Ladakh Trade Alliance (ALTA) holding press conference in Leh (ETV Bharat)
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By ETV Bharat English Team

Published : April 14, 2025 at 7:56 PM IST

5 Min Read

By Rinchen Angmo Chumikchan

Leh, Ladakh: Amid growing concerns over the preservation of Ladakh’s fragile ecology, cultural identity and local economy, the All Ladakh Trade Alliance (ALTA), various political parties and community groups have reiterated their long-standing call to restrict outside investment in the region’s booming tourism sector.

In a recent resolution—the fifth of its kind since 2006—local stakeholders emphasised the urgent need to safeguard Ladakh's only thriving industry from external dominance, advocating for long-term constitutional protection under the Sixth Schedule. They have blacklisted 11 properties in Ladakh in which non locals have invested.

PT Kunzang, president, All Ladakh Trade Alliance, said, “We have blacklisted 11 properties in Ladakh found to have non-local investment. We extend our gratitude to the six properties that have withdrawn from non-local investment partnerships. This non-cooperation movement is not new, we have been pursuing it since 2006. The resolution we recently passed is the fifth such resolution between 2006 and 2025. When we talk about the economy of Ladakh, tourism is the backbone, and many people are directly or indirectly dependent on it. Secondly, we do not have large-scale industries in Ladakh. Tourism provides livelihood opportunities to our people. We have opposed outside investment because outsiders come with more capital, hotel chains and big brand names. If they establish themselves in Ladakh, our local businesses will not be able to compete with them.”

According to Kunzang, Ladakh has a fragile environment and faces severe water scarcity. Therefore, the promotion and protection of tourism must be done responsibly, he said.

"We are not against outsiders, but for the past 25 years, we have been urging local people to invest in their own businesses and refrain from leasing land to non-locals. In the long run, such practices will affect the identity, culture, and environment of Ladakh. Since Ladakh was opened to tourism in 1974, despite numerous challenges, the indigenous tribal communities of Ladakh have over four decades developed a sustainable tourism infrastructure including hotels, guest houses, taxis, bike rentals, adventure sports and tour services,” he said

He said there are two cases in which land was leased to outsiders for 50 to 90 years, which is almost equivalent to selling it, resulting in a generation losing control over their ancestral land. The business of Ladakh should remain in the hands of Ladakhis, he said.

"Approximately 13,000 to 14,000 families are dependent on tourism, and around 50,000 to 60,000 people—out of a total population of three lakh—are directly reliant on it. Many more are indirectly connected. It is the collective responsibility of all of us to protect this sector,” Kunzang added.

Tsering Namgyal, Leader of opposition, said, “This is for the fifth time that we have passed a resolution because tourism is the biggest industry in Ladakh. Around 15,000 to 20,000 youth are engaged in tourism business. Secondly, tourism is seasonal and we can earn in summer season only from 3-4 months. Ladakh does not have any large-scale manufacturing industry, textile and IT sector. Sixty percent of people are dependent on tourism. Through this resolution, we want to send a message to the Centre and the people who are interested in doing tourism business in Ladakh to not interfere in this as this is the only industry we have.”

He further said that this has been an interim arrangement at the societal, community, and stakeholder level. "We have been able to resist outside interference because of the unity within our society. However, for a long-term solution, the Sixth Schedule is essential as it grants tribal rights, helping us preserve them and pass them on to future generations. Our four-point agenda also includes the demand for safeguards from the government. This is the only permanent solution, and ultimately, there is no alternative but to demand inclusion under the Sixth Schedule,” Namgyal added.

Tsering Sandup, former executive councillor for tourism, LAHDC Leh, said, “It is a welcome step if this is being done at an organisational level, they have been doing it for years. The most important aspect here is creating awareness among the locals. If we are receiving investment from outside, that may seem beneficial, but Ladakhis are not financially strong. If outsiders bring in large amounts of money, we will not be able to compete with them. First, we need to achieve financial stability, and only then can we consider outside investment. While such investments might create job opportunities, they also carry the risk of locals losing control over their businesses. We’ve seen many such examples in the past. We must carefully weigh both the short-term and long-term impacts. Being part of a democratic setup, such situations are bound to arise in the future too—but we must stay informed and take responsibility for our own resources. Even with protection under the Sixth Schedule, if we don’t know how to manage our affairs, we won't be able to prevent outside influence.”

Meanwhile, chairman/CEC of LAHDC Leh, Adv. Tashi Gyalson, chaired a meeting on April 12 at the Council Secretariat to address key issues concerning tourism regulation, infrastructure and funding in Ladakh. During the meeting, various stakeholders presented submissions highlighting regulatory gaps, logistical challenges and potential opportunities for improving systems.

Tsewang Dorjey, president, All Ladakh Tour Operators Association, proposed that the Ladakh Resident Certificate (LRC) be made mandatory for the registration of travel agents, aligning this requirement with the existing criteria for Adventure and Mountaineering Tour Operators.

Read more

  1. Ladakh Cultural Heritage: Experts Stress Importance Of Preservation With Collaboration, Community Participation
  2. Apricot Blossom Festival: Ladakh All Set To Host From April 10

By Rinchen Angmo Chumikchan

Leh, Ladakh: Amid growing concerns over the preservation of Ladakh’s fragile ecology, cultural identity and local economy, the All Ladakh Trade Alliance (ALTA), various political parties and community groups have reiterated their long-standing call to restrict outside investment in the region’s booming tourism sector.

In a recent resolution—the fifth of its kind since 2006—local stakeholders emphasised the urgent need to safeguard Ladakh's only thriving industry from external dominance, advocating for long-term constitutional protection under the Sixth Schedule. They have blacklisted 11 properties in Ladakh in which non locals have invested.

PT Kunzang, president, All Ladakh Trade Alliance, said, “We have blacklisted 11 properties in Ladakh found to have non-local investment. We extend our gratitude to the six properties that have withdrawn from non-local investment partnerships. This non-cooperation movement is not new, we have been pursuing it since 2006. The resolution we recently passed is the fifth such resolution between 2006 and 2025. When we talk about the economy of Ladakh, tourism is the backbone, and many people are directly or indirectly dependent on it. Secondly, we do not have large-scale industries in Ladakh. Tourism provides livelihood opportunities to our people. We have opposed outside investment because outsiders come with more capital, hotel chains and big brand names. If they establish themselves in Ladakh, our local businesses will not be able to compete with them.”

According to Kunzang, Ladakh has a fragile environment and faces severe water scarcity. Therefore, the promotion and protection of tourism must be done responsibly, he said.

"We are not against outsiders, but for the past 25 years, we have been urging local people to invest in their own businesses and refrain from leasing land to non-locals. In the long run, such practices will affect the identity, culture, and environment of Ladakh. Since Ladakh was opened to tourism in 1974, despite numerous challenges, the indigenous tribal communities of Ladakh have over four decades developed a sustainable tourism infrastructure including hotels, guest houses, taxis, bike rentals, adventure sports and tour services,” he said

He said there are two cases in which land was leased to outsiders for 50 to 90 years, which is almost equivalent to selling it, resulting in a generation losing control over their ancestral land. The business of Ladakh should remain in the hands of Ladakhis, he said.

"Approximately 13,000 to 14,000 families are dependent on tourism, and around 50,000 to 60,000 people—out of a total population of three lakh—are directly reliant on it. Many more are indirectly connected. It is the collective responsibility of all of us to protect this sector,” Kunzang added.

Tsering Namgyal, Leader of opposition, said, “This is for the fifth time that we have passed a resolution because tourism is the biggest industry in Ladakh. Around 15,000 to 20,000 youth are engaged in tourism business. Secondly, tourism is seasonal and we can earn in summer season only from 3-4 months. Ladakh does not have any large-scale manufacturing industry, textile and IT sector. Sixty percent of people are dependent on tourism. Through this resolution, we want to send a message to the Centre and the people who are interested in doing tourism business in Ladakh to not interfere in this as this is the only industry we have.”

He further said that this has been an interim arrangement at the societal, community, and stakeholder level. "We have been able to resist outside interference because of the unity within our society. However, for a long-term solution, the Sixth Schedule is essential as it grants tribal rights, helping us preserve them and pass them on to future generations. Our four-point agenda also includes the demand for safeguards from the government. This is the only permanent solution, and ultimately, there is no alternative but to demand inclusion under the Sixth Schedule,” Namgyal added.

Tsering Sandup, former executive councillor for tourism, LAHDC Leh, said, “It is a welcome step if this is being done at an organisational level, they have been doing it for years. The most important aspect here is creating awareness among the locals. If we are receiving investment from outside, that may seem beneficial, but Ladakhis are not financially strong. If outsiders bring in large amounts of money, we will not be able to compete with them. First, we need to achieve financial stability, and only then can we consider outside investment. While such investments might create job opportunities, they also carry the risk of locals losing control over their businesses. We’ve seen many such examples in the past. We must carefully weigh both the short-term and long-term impacts. Being part of a democratic setup, such situations are bound to arise in the future too—but we must stay informed and take responsibility for our own resources. Even with protection under the Sixth Schedule, if we don’t know how to manage our affairs, we won't be able to prevent outside influence.”

Meanwhile, chairman/CEC of LAHDC Leh, Adv. Tashi Gyalson, chaired a meeting on April 12 at the Council Secretariat to address key issues concerning tourism regulation, infrastructure and funding in Ladakh. During the meeting, various stakeholders presented submissions highlighting regulatory gaps, logistical challenges and potential opportunities for improving systems.

Tsewang Dorjey, president, All Ladakh Tour Operators Association, proposed that the Ladakh Resident Certificate (LRC) be made mandatory for the registration of travel agents, aligning this requirement with the existing criteria for Adventure and Mountaineering Tour Operators.

Read more

  1. Ladakh Cultural Heritage: Experts Stress Importance Of Preservation With Collaboration, Community Participation
  2. Apricot Blossom Festival: Ladakh All Set To Host From April 10
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