While the Katra–Srinagar railway link is being hailed as a historic step for Kashmir’s integration and tourism growth, Jammu’s business community fears it may come at a significant cost to their local economy.
Jammu | June 9, 2025 | As the newly inaugurated direct railway link between Katra and Srinagar draws applause from tourism boards, infrastructure authorities, and travelers across India, a quieter but growing concern is surfacing in the heart of Jammu’s commercial corridors.
Local traders, hoteliers, transport operators, and restaurateurs fear they are being left behind in the wake of development. With the new Vande Bharat Express now bypassing Jammu altogether, what once served as a bustling stopover for millions of tourists and pilgrims could soon become a ghost of its former self.
From Gateway to Bypass: A Shift in Jammu’s Role
Until now, Jammu served as the gateway to the Kashmir Valley and a crucial transit point for Vaishno Devi pilgrims and Kashmir-bound travelers. The city’s economy has long thrived on transient tourism—hotels, eateries, shopping centers, and taxi services all depended on this vital flow.
However, with the direct Katra–Srinagar train line now operational, travelers can move seamlessly from central India to the Valley without setting foot in Jammu.
“We used to be the first stop on every travel itinerary. Now, we’re being skipped altogether,” said Vikas Gupta, a hotel owner in Gandhi Nagar, Jammu. “My bookings have dropped 35% in the last week alone.”
Key Concerns from Jammu’s Business Community
1. Decline in Stopover Tourism
Previously, travelers had to spend at least a night in Jammu while transiting to Srinagar or Pahalgam. That pause meant business—rooms booked, meals ordered, and shops visited. The direct rail corridor threatens to eliminate that economic cycle entirely.
2. Livelihood Threat for Local Traders
From local souvenir sellers to multi-generational hotel owners, many livelihoods are tied to transit-based tourism. The railway link, while celebrated for development, may result in structural unemployment for a large portion of Jammu’s informal sector.
3. Economic Shift Toward the Valley
As Srinagar, Pahalgam, and Gulmarg brace for a tourism boom, Jammu is at risk of being economically marginalized. Traders worry about an imbalanced distribution of growth, where infrastructure investments and visitor spending are increasingly Valley-centric.
Voices from the Ground: What Traders Are Saying
Neeraj Anand, President of the Jammu Traders’ Association, shared a cautiously optimistic but firm viewpoint:
“We congratulate the Prime Minister on this historic development. All-weather rail access will benefit Kashmir immensely. But Jammu’s economy will inevitably take a hit. We urge the central and UT governments to introduce measures to shield our businesses.”
Prominent businessman Sudarshan Singh added:
“If the rail link is to unite the region, it must not divide economic opportunity. We call on the government to create a regional trade equalization policy to ensure balanced growth.”
Policy Recommendations: What Jammu Needs Next
1. Integrated Tourism Packages
Business leaders suggest the creation of comprehensive travel packages that combine Jammu, Vaishno Devi, and Kashmir into a single itinerary. This model could redirect at least a portion of traveler attention back to Jammu.
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Example: “Pilgrimage + Paradise” tour: Start in Jammu → Vaishno Devi → Kashmir → Return via Vande Bharat.
2. Dedicated Trade and Tourism Policy for Jammu
There is a growing demand for a Jammu-centric economic stimulus plan. This could include:
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Subsidized business loans
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Tax holidays for tourism services
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Public-private partnerships for events and infrastructure
3. Infrastructure Upgrade & Urban Promotion
To make Jammu a standalone tourism destination, stakeholders propose investing in:
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Riverfront projects, shopping festivals, and cultural fairs
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Restoration of historical sites and forts
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Improved air connectivity and digital tourism apps
Can Jammu Reinvent Itself?
Despite the challenges, some believe that the situation also presents an opportunity for Jammu to redefine its economic identity.
Promoting Local Attractions
Experts suggest turning Jammu’s own heritage sites into tourism magnets:
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Raghunath Temple, Mubarak Mandi Palace, Mansar and Surinsar lakes, and Patnitop can be rebranded and marketed as part of “Spiritual North India” and “Eco Heritage Tours.”
Focus on Family & Wellness Tourism
Jammu’s relatively milder climate, wellness resorts, and adventure trails in nearby Udhampur and Kishtwar could be positioned for family vacations, senior-friendly travel, and nature retreats.
Rail Link Benefits for Kashmir: A Tale of Two Cities
While Jammu expresses apprehension, Kashmir is experiencing a wave of optimism.
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Tourism footfall is expected to double during summer and the Amarnath Yatra season.
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Fruit and saffron producers foresee a major boost in agro-trade and logistics.
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Local artisans and entrepreneurs stand to gain as handicrafts and textiles can now reach broader Indian markets swiftly.
But stakeholders argue that Kashmir’s gain doesn’t have to be Jammu’s loss—with the right strategy, both regions can grow together.
Government’s Response: Listening, But Acting?
As public pressure mounts, the Union Territory administration has acknowledged the concerns. Senior officials from the Department of Industries and Commerce have reportedly begun consultations with business leaders.
A senior bureaucrat (on condition of anonymity) said:
“We are exploring options for business transition support, enhanced marketing of Jammu’s offerings, and integration of Jammu in all central tourism campaigns.”
However, no formal announcement or policy rollout has been made yet.
Bottom-Line: Economic Balance Must Be Built Into Development
The Katra–Srinagar railway link represents progress, connectivity, and national integration. Yet, like all infrastructure megaprojects, its ripple effects vary across regions. While Kashmir accelerates toward a new economic era, Jammu’s future now hinges on smart policy, regional solidarity, and creative tourism planning.
If India’s most ambitious rail project is to be a true success story, it must uplift both regions—ensuring that Jammu remains not just a gateway of the past, but a destination of the future.
