The political conflict is gripping the economy of Kashmir

Srinagar (India), December 25, 2008. - The constant appeals to the strike, the riots of summer and the tension between India and Pakistan have destroyed this year's expectations of traders in Kashmir, say losing 14 million dollars each day of curfew.
"In the past 17 ​​years we had many problems that have developed between July and December. In these six months we have been 100 days of curfews and closures due to strikes, "he told Efe the president of the Cashmere Chamber of Commerce, Mubin Shah.
Last summer, this northern region of India suffered riots Hindus and Muslims, following the decision of the Executive Cashmere give forest land to a Hindu organization that manages the pilgrimage to Amarnath.
The riots, which caused 40 deaths, caused an economic blockade on the region that traders tried to break a protest march to Muzaffarabad (Pakistan), but the police prevented them from crossing the border and seven people were shot.
"Only the economic blockade of the road to Jammu, which connects the Kashmir valley with the rest of India, we lost 100 million dollars," said Shah.
In addition, the end of the protests gave way immediately to the pre-campaign for regional elections in the valley, which affected the economic activity of the separatist protests and curfews currents, with subsequent closure of shops and a drop in tourism.
"We expected to receive large numbers of tourists and so it was until June, but the riots and elections have been reduced to virtually zero arrival," he acknowledged by telephone on regional tourism director, Farooq Shah.
According to the director, the region has experienced this year 1.1 million tourist arrivals, which is almost double the 600,000 the previous year, although only 50,000 of them from abroad.
The drop in tourism since June, however, have devastating effects for the local economy, which has in tourism services of its three main activities.
The other crafts, and agriculture-face storage problems, a poor transport system and lack of processing industries, partly due to the occupation of factories by the Army in recent decades.
"Take the example of growing apples. It is very important, because it takes at least 300,000 people, including many small farmers. Yet we can not give out the product, "complained the president of the Chamber of Commerce.
Scenario cyclic outbreaks of violence and several wars since independence and partition of the subcontinent, the Kashmir territory is divided and disputed between India, which has the richest part-Pakistan and China.
India and Pakistan since 1999 embarked on a slow thawing process, announced in October the opening of two commercial crossings along the Line of Control, a move welcomed by employers who nevertheless has produced few results.
"We wanted to refer to Pakistan 10 percent of production. But we have an adequate: neither banks operating on both sides, and allow us to find travel agents in the Pakistani side, "said Shah.
These shortcomings are now joined the growing tension between the two countries following the Mumbai attacks in November that India attaches to the Kashmiri separatist group Lashkar-e-Toiba, established in Pakistan.
According to Shah, the dispute between the two countries has paralyzed the "small but growing" trade across the Line of Control, to the point that last week only three trucks crossed the border.
And the new tension between India and Pakistan away also the desired goal by Kashmiri merchants: A free trade area, "as in the European Union", that makes the border a little part.
"After what Mumbai, our only prospect is the economic crisis," concludes Shah.

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