First Published in Jammu Enquirer.
With inputs from Pritish Raj.
The immediate loss to Jammu and Kashmir’s economy is estimated at Rs.5,400-5,700 crore with heavy damages to trade, hotels, restaurants, horticulture and handicraft, according to initial estimates of Assocham. The apple crop of Kashmir worth Rs.1000 crore is on the verge of failing, destroying the horticulture industry in the state. A civil formation in Srinagar rubbishes the claim of Assocham, estimating the real loss as more than a trillion in Srinagar alone. Initial estimate of destruction in Jammu is close to 1200 crores, with 365 crore loss in crops, 800 crores in private and public infrastructure.
The chamber of commerce, Jammu asked the state government for compensation for losses that occurred to the industries situated at Gangyal as well as Tope Sherkhania, in Jammu – National Flour Mills Gangyal, Aagam Food Industries Gangyal, Bhagwati Flour Mills Gangyal, Sanjeev Timber Products, etc.
“The September-November season tourist inflow both from India and abroad is severely affected as is being witnessed by large scale cancellations. Cancellations for airlines, hotels are 100 per cent up to October 15”, secretary general, Assocham, D.S. Rawat. The loss in tourism has been estimated around Rs.3000 crore.
J&K’s economy stood at Rs. 45,399 crore in 2013-14. Composition of state GDP indicates that agriculture & allied activities account for 20 per cent, industry and mining contribute to about 23.5 per cent and the services sector made up the remaining 56.5 per cent. Trade, hotels and restaurant services registered a turnover of close to Rs. 3,800 crore during 2013-2014. The tourism industry sources of J&K state roughly distribute the tourists among Jammu, Kashmir and Ladakh region in the ratio of 40:40:20,” according to Assocham.
The state government would only start functioning from September 22, since water from Srinagar has been mostly drained; when final survey and estimate of loss would be done.