Local businesses cry for help as colonial-era hill station Dalhousie struggles for survival

Local businesses cry for help as colonial-era hill station Dalhousie struggles for survival


DALHOUSIE: Dalhousie, one of India’s most beautiful hill stations, is still blessed with lush greenery and a healthy climate. The scenic town, rich in historical significance, was named after Lord Dalhousie by the British during colonial times.


It has been a destination for several notable figures, including freedom fighter Subhas Chandra Bose, who came here for health reasons, and Rabindranath Tagore, who wrote his iconic book Geetanjali while staying in Dalhousie.


Freedom fighter Ajit Singh, the uncle of Shaheed Bhagat Singh, also sought health benefits here and his ‘samadhi’ is located in Dalhousie. Swami Satyanand Ji Maharaj of Ram Sharanam performed penance at Norwood Kothi in Dalhousie, where he attained the Ram Naam.

Lack of development despite historical significance

Despite its historical significance and natural beauty, Dalhousie is currently suffering due to lack of development.
Both the Congress and BJP governments have had their turn in power, yet neither party has made substantial efforts to develop Dalhousie from the tourism perspective.

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While the Congress represented the region for a longer period than BJP, there has been minimal progress in promoting Dalhousie as a major tourist destination.

Political divisions and lack of cooperation

One significant reason for the stagnation in Dalhousie’s development is the division among local leaders, who, driven by political ambitions, have formed factions and continue to fight among themselves rather than focusing on the development of the region.


If these leaders could put aside their political ideologies and unite for the greater good of Dalhousie, significant progress could be made, said a local hotelier.

Private sector’s contribution to Dalhousie’s growth

It is important to note that most of the development in Dalhousie has come from the private sector.
Historical establishments such as Sacred Heart School, which dates back to British times, and more recently Dalhousie Public School, Hilltop School and Guru Nanak Public School have attracted students from other states.

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This, in turn, has benefited local businesses as the parents of these students frequently visit Dalhousie, contributing to the hospitality industry.


In 1989 when terrorism in Kashmir caused a surge of tourists towards Himachal Pradesh, private investors constructed several hotels in Dalhousie, further promoting tourism. This private investment was the primary driver of the town’s growth during that period.

Dependence on tourism and recent challenges

Dalhousie has a small population and the livelihood of everyone depends on tourism and the floating population. However, the onset of the COVID-19 pandemic halted business for two years.
Subsequently, the natural disaster in 2023 during the peak tourist season further contributed to a sharp decline in the number of visitors.


For the past five-six years, business has been down and local hoteliers and shop owners are facing severe financial hardship. Many of them are unable to sustain their families and their children are migrating for better opportunities elsewhere.


This year, however, local residents are hopeful that the tourism industry will recover, with more tourists visiting Dalhousie, enabling them to escape the economic crisis they have been facing for the last few years.

Municipal Council’s inability to promote tourism

Dalhousie has a Municipal Council, but due to the lack of financial resources, it has been unable to carry out tourism development work.
The situation is so dire that recently, the Municipal Council failed to pay electricity bills, leading to street lights being cut off for several days, leaving both tourists and locals in darkness.

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There are several social organisations in Dalhousie, but these are mainly limited to organising events in local schools and are not doing anything for tourism development.
There is a hotel association in Dalhousie, but what is truly needed is a social organisation focused solely on promoting tourism.


Such an organisation should put pressure on both the Himachal Pradesh government and the central government to prioritise the development of tourism in Dalhousie.

Increasing competition from surrounding areas

Another factor affecting Dalhousie’s business is the rise of hotels and homestays in nearby areas like Banikhet.
These accommodations are more affordable and often newer properties, which have drawn tourists away from Dalhousie, further affecting the local economy.


Dalhousie’s limited scope for expansion only adds to these challenges. In the coming years, Dalhousie could become like McLeodganj and Banikhet could turn into a commercial hub like Dharamshala.

Parking, infrastructure deficiencies

One of Dalhousie’s biggest challenges is the lack of parking spaces, especially near popular tourist spots like Gandhi Chowk, discouraging visitors from exploring the area.


Additionally, most tourists only stay in Dalhousie for a short period, usually no more than two days. This is partly due to the lack of attractive and well-maintained picnic spots, which are not developed to their full potential.


Dalhousie also suffers from inadequate infrastructure: it does not have an airport, a ropeway or a direct railway connection from Pathankot. These deficiencies limit its appeal as a tourist destination.

Efforts by Kangra MP Rajiv Bhardwaj

However, there is hope on the horizon. Rajiv Bhardwaj, the Member of Parliament for Kangra-Chamba, has recently raised strong demands in Parliament for the construction of a railway line, an airport and a ropeway connecting Pathankot to Dalhousie.


If these demands are fulfilled in the near future, the potential for increased tourism in Dalhousie is significant. Local people have expressed their gratitude to MP Rajiv Bhardwaj for his efforts.

Punjab’s role in saving Dalhousie’s tourism

In the present day, it is Punjab that is playing a crucial role in maintaining Dalhousie’s tourism industry. Being close to Punjab, several tourists from the state visit Dalhousie, providing the town with much-needed visitors.


Historically, Dalhousie was one of two major hill stations in Himachal Pradesh, alongside Shimla. However, since then, other destinations like Manali, Dharamshala and Sissu near Atal Tunnel have emerged as more developed tourist hotspots. Dalhousie, on the other hand, has fallen behind, leaving it struggling to compete with its more developed counterparts.

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Call for unity in development efforts

If Dalhousie is to survive as a viable tourist destination, it is essential for both the Congress and BJP to collaborate passionately at both the state and central levels to promote tourism in Dalhousie. If this does not happen, the hill station may eventually fade away.


Local leaders in Dalhousie must also come together, set aside their political differences and focus on the town’s development.


They should work towards creating a social organisation dedicated solely to the promotion of tourism, which can put pressure on both state and central governments to take action. Additionally, the local population should vote for political leaders and parties that will prioritise the development of Dalhousie in the upcoming Municipal Council elections.


Dalhousie’s future depends on the collective efforts of local leaders, political parties and the government. It is time for the town to be given the attention it deserves before it is too late.

Subhash Mahajan

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Subhash Mahajan

Subhash Mahajan

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