As India and Pakistan continue to observe a ceasefire after at least 4 days of air strikes on each other, the bordering Indian state of Punjab has been witnessing a dip in business as well as tourism. Pakistan targeted multiple key locations in Punjab in its failed missile and drone attacks. One of the most impacted districts of Punjab is Amritsar. Amritsar traders have informed that during the peak India-Pakistan conflict, people rushed to shops and started panic buying. Now, as the situation stabilizes and calm returns, shopkeepers and commission agents (Aarhtiyas) are facing the brunt of the India-Pakistan conflict aftermath, drastically reduced footfall, and plummeting sales.
Gurveen Singh, a local trader, said, "People panicked and emptied the markets, fearing prolonged conflict. Now, there is no one left to sell to. We are just sitting idly. Earlier, we used to earn around Rs 50,000 to Rs 1 lakh a day, but now we barely make ₹5,000. The sudden drop in demand has pushed us to the edge."
Adding to their woes, tomatoes, which were previously being exported to Afghanistan, are now flooding the local mandis at throwaway prices due to a lack of demand. Farmers are also distressed as they are not getting fair prices for their crops.
Traders and farmers alike are now appealing to both the Indian and Pakistani governments to maintain peace and harmony so that normalcy can return and their businesses can revive. “We also urge the public not to panic or take irrational decisions. Such reactions disrupt the supply chain and hurt everyone in the long run,” said another vendor.
Amritsar's tourism also hit
Not only the vegetable and fruit sectors of Amritsar, the holy city's tourism has taken a hit due to the India-Pakistan conflict. As per reports, Amritsar has witnessed a sharp 90% decline in tourist footfall, leaving hotels and resorts virtually empty.
According to local tourism operators, the few tourists who do arrive in the city for religious purposes only make brief daytime visits and leave the same day, eliminating the need for overnight accommodation. This has resulted in a near-total halt in hotel bookings and a significant revenue crisis for the hospitality sector.
"Earlier, our hotels operated at near-full capacity, but now they are completely vacant. Worse still, more than 90% of advance bookings have been cancelled," said A.P. Singh Chattha, President of the Amritsar Hotel and Restaurant Association (AHARA). "While revenue has dried up, operational costs such as electricity, permanent staff salaries, municipal taxes, maintenance, and sanitation remain constant."
AHARA has now appealed to the Punjab Government for a Rs 300 crore relief package to mitigate the massive losses faced by the hospitality sector in the city. The association stated that while the entire state has been affected to some degree, Amritsar has borne the brunt of the crisis, given its dependence on religious tourism.
The double blow of a sudden drop in footfall and cancelled bookings has put immense financial strain on hoteliers, many of whom are struggling to stay afloat. As tension continues to loom, the association warns that without immediate government intervention, the city’s tourism infrastructure could face long-term damage.