Impact of Tourism in Mount Everest Region: Approach to Modernization and
Economic Dependency
Case study by:
Sophiya Shrestha
For:
South-Asian Economic Development
Economics 349
Professor Khan
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Impact of Tourism in Mount Everest Region: Approach to Modernization and
Economic Dependency
Introduction
Nepal was opened to foreign visitors in 1950 after two centuries of isolation. Annual
tourist visit was as low as 10,000 until 1965 but dramatically increased in the following
decades1. The majestic mountain ranges have always been the center of attraction for
many visitors, attracting increasing number of tourists each year particularly for trekking
and mountaineering activities.
The Mount Everest region, locally known as Khumbu, is the gateway to many majestic
mountains including Mount Everest, the highest mountain in the world. Khumbu is
located in the high altitudes of the north-eastern part of Nepal. It is set in the valley of
Imja Khola enclosed by majestic peaks rising above 8000-metres such as Mount Everest,
Lhotse and Cho Oyu. Khumbu is located at the headwaters of Dudh Koshi near the
Tibetan border and there are eight Sherpa inhabited villages in the area. Khumbu is home
to Sherpas whose primary occupations were high-altitude animal herding and subsistence
agriculture. Sherpa Sherpas were also involved in annual trans-Himalayan trade where
they conducted barter exchange of Tibetan salt and wool for rice, maize, millet and wheat
with Sherpas and Rais of lower Dudh Koshi area.
s are Mongoloid and Buddhist and share closer cultural ties with Tibet than Nepal.
Increasing tourism activities have transformed the lifestyle of Sherpas in numerous ways.
Until 1964 only mountaineering expeditions were allowed to visit Khumbu but after the
region was opened the number of visitors multiplied to 8000 and increased even more in
the following decades. Most of the trekkers are from United States, Western Europe,
Australia, New Zealand and Japan. The most popular time of year to visit this area is in
October and November when the weather remains clear.
Objective and Framework
The objective of this paper is to study the transformation of Khumbu region due to
tourism activities. The study will attempt to evaluate the effect on the economy, society,
Inger-Marie Bjonness, “ External Economic Dependency and Changing Human Adjustment to Marginal
Environment in the High Himalaya, Nepal”, August 1983, pg. 264
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culture and environment of Khumbu region and evaluate whether it can be considered a
successful model of tourism-led development.
I will be utilizing the framework of
modernization and economic dependency2 to study the changes brought about by tourism
in Khumbu region. Modernization will include the evolution and integration of social
structures into greater political and economic systems with technical, social and cultural
transfer from ‘modern’ to ‘traditional’. I will utilize the framework of economic
dependency to study the evolving interdependency at regional, national and international
level brought about by the advent of tourism in Khumbu region.
Transformation of Economy
Greater employment opportunities and increasing affluence
The government of Nepal emphasizes development and growth of tourism in order to
secure foreign exchange and to stimulate economic growth. Increasing tourism activities
has lead to increasing prosperity of Sherpas and elevation in their living standards. While
the annual per capita income for the nation was $229 (2003, WDI), annual per capita
income for most of the people in Khumbu area was $14003. Sherpas, who were involved
in higher altitude work, earn average of $70004 annually which is substantially above the
national average. Mountaineering in Khumbu region is a source of substantial foreign
exchange for the government of Nepal. A royalty of $50,000 is charged for a team of 7
people and additional $20,000 is charged if the team wishes to scale Mount Everest from
East Ridge route.5 The ministry of Tourism and Civil Aviation also requires the
expedition team to keep monetary deposit subject to refund after the dispatch of garbage
from Nepal.
Most of the Sherpa households have adopted income-generating activities based on
tourism. Sherpas are employed in trekking and mountaineering activities as group leaders
(sirdars), porters and cooks as a part of trekking groups or mountaineering expeditions.
While due to their growing positive reputation Sherpa men are most likely to find
Inger-Marie Bjonness, “ External Economic Dependency and Changing Human Adjustment to Marginal
Environment in the High Himalaya, Nepal”, August 1983, pg. 264
2
National Geographic, ‘Field Notes from Sherpa’, May, 2003
4 Christian Science Monitor, ‘Mt. Everest's quiet conquerors: the Sherpas of Nepal’, May 2003
5
http://www.nepalinformation.com/everest.htm
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trekking or mountaineering job easily, participation of women have been relatively small
though some women are employed as kitchen or camp crews or as pack-stock drivers. As
Sherpas of Khumbu continue to discover better opportunities brought about by tourism,
they have started considering a job of porter inferior due to low pay. So, in recent years
most of the porters in Khumbu are from outside the area; they are mainly the Sherpas,
Rais and Tamangs 6from lower areas.
Since the late 1960s, tourism based businesses and entrepreneurship has also
mushroomed in the region. Numerous lodges have been built to cater to the trekkers and
mountaineers. Stores selling food, souvenirs and selling or renting trekking or
mountaineering paraphernalia are also quite popular. At the beginning Sherpas used to
merely modify their own houses or herding huts as lodges, nowadays there are specially
built lodges with modern facilities. However, the cost of building a lodge is increasing
because of the high cost of land and rising cost of materials especially wood.
Running a lodge in Khumbu is a highly lucrative business as a popular lodge can earn as
much as $10,000 a year, and most lodges earn at least $2000 annually. That provides
enough funds to purchase supplies at the local weekly market or Kathmandu and to hire
wage labor. A committee of local lodge owners has been formed to monitor prices of
Khumbu lodges to avoid any price wars.
Though employment as a part of expedition is seasonal, most of the Sherpas are
employed throughout the year by the mountaineering and trekking agencies based in
Kathmandu. Also the income earned during the tourism season is sufficient for the rest of
the year for them as food, lodging and other expenses are paid by the expedition enabling
them to bring the entire paycheck home.
Increasing Income Inequality
Income inequality has been increasing due to tourism based activities as not all household
could establish the lucrative entrepreneurship or get lucrative jobs. Household in villages
which are not optimal for tourism have significantly low income compared to households
that are involved in high paying trekking or mountaineering employment or other tourism
based business or that own large herds of cattle and Yaks. Nauje, one of the villages in
Khumbu located at the entrance of Khumbu area has 70 percent of the total shops in
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Ethnic group in Nepal
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Khumbu and almost all the lodges are also located here. Hence, households in Nauje have
benefitted highly due to its prime location. Other villages in Khumbu that have benefitted
due to their location are Kunde and Khumjung. While some villages like Phurtse,
Yulajung and Thami Teng have no prospect for tourism as some of them are near the pass
leading into Tibet where tourist are prohibited from visiting. Though income inequality
persists there has been no social tension in the area. Instead the Sherpas who are not able
to benefit from the tourism activities continue to look for trekking and mountaineering
careers and also seek low wage employment in the areas where tourism activities exist.
While a number of Sherpas are engaged in lucrative employment opportunities, Sherpas,
Tamangs and Rais from the lower altitude areas and villages with poor business prospect
resort to low-wage employments in the lodges, hotels and other operations. They are
often involved in low-paying jobs like hauling water, collecting firewood, cooking and
cleaning.
Other Economic Changes: Multiplier effect, higher monetization of economy and
inflation
Multiplier effect of money earned through tourism-based activities is evident in the area
as the money earned through tourism based activities has been primarily been used to buy
local agricultural products from low altitude areas and after 1980s in hiring local
construction workers and agricultural day laborers. But significant amount of the money
leaves local hands as it is spent on products and supplies from low altitude areas and
Kathmandu. Money is also spent on pilgrimages to Kathmandu, India and Tibet and also
on sending children to Kathmandu. The wage paid to laborers from low altitude region
also leaves the local hands.
The local economy has been highly monetized. Rise in tourism activities has elevated
importance and use of cash replacing traditional barter trade of goods as well as services.
It has also lead to inflation of some of the primary commodities as lodges and
mountaineering groups buy larger quantities of supplies pushing up the demand as well
as price of goods. Inflation in food and fuel prices has especially put pressure on the low
income groups that are not involved in tourism activities. Households that are involved in
tourism activities can use their high tourism generated income to overcome inflation.
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Effect of Tourism in Land-use and Environment
Subsistence Agriculture to Transitional Agriculture
Government as well as local communities focuses more on the economic growth
triggered by tourism. However, tourism also results in transformation of the economy.
Before tourism flourished in Khumbu, subsistence agriculture existed. In fact, Khumbu as
a whole existed as subsistence economy which is -‘characterized by the isolation of the
economic unit and by the independence of each household comprising the production
unit’ (Barkay, 1981). Sherpas cultivated potatoes, barley and buckwheat.
Subsistence does continue to be the goal of agriculture and families growing crops with
the help of reciprocal help and migrant labors with local knowledge and without any
commercialization. Increasing focus on tourism has marginalized the traditional local
subsistence agriculture shifting it to transitional agricultural system.
‘In Khumbu the transitional agricultural system is a result of a traditional system exposed
to internal and external political, social and economic factors which have disrupted the
traditional practices’ (Bjonness, 1983). Trekking seasons occur during the period of
important agricultural works like planting and harvesting. Though women have always
played the fundamental role in the cultivation of land, shortage of labor often arises due
to absence of male members of household. This has lead to permanent need to hire
migrant agricultural worker from lower altitude areas creating increase in expenses as
well as less intensified farming resulting in reduced agricultural product despite
increasing demand for food.
Increasing demand for food by tourists has been met by importing foods from loweraltitude region at weekly outdoor market in Nauje and Kathmandu. Transaction is funded
by cash generated from tourism. Lodge-owning families have increased their production
from their household gardens however commercial production of vegetables have not
taken place. Households producing surplus potatoes sell it to the lodge owners and to
trekking groups.
Change in Pastoralism
Effect of tourism on pastoralism has been greater as people have transformed the size and
composition of herd they keep. Traditionally, they used to keep female Yak called Nak
for dairy product and to cross-breed with Tibetan Bulls to produce Urang Zokpio in order
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to sell them in Tibet. These animals were also used to obtain manure and dried dung
(fuel). Influenced by tourism activities, Sherpas keep few Zhum (female cross-breed)
and cows for dairy products and a large number of Urang Zopkio. Urang Zopkio is
popularly used by trekkers and mountaineers to transport their stuff. As people have been
keeping large number of Urang Zopkio7, it has increased pressure on grasslands and
inhibited forest regeneration due to intensified grazing leading to depletion of vegetation
making it incapable to hold the soil.
As people keep larger packstock of cross-breeds called Urang Zopkio used as means of
transportation by tourists to higher altitude regions, there has been rising problem of
overgrazing leading to intense degradation of pastures in villages. Community regulation
for grazing is violated when packstock are brought to Nauje to meet the expedition and
the herd would graze in the lower valley grass. Erosion of alpine soil due to overgrazing
is evident in Khumbu region. Lush greens in the higher altitudes have also been degraded
due to trampling and browsing by expeditions accompanied by packstock8.
Deforestation due to increase in demand for fuel- wood
Rise in tourism has lead to increase in demand for firewood as it continues to be the main
source of fuel energy used for cooking, heating and campfires by lodges as well as
trekking and mountaineering expeditions. Though increasing demand for firewood due to
rise in tourism has lead to thinning of forests in Khumbu especially in the villages of
Nauje, Khumjung and Kunde, disintegration of local forest management system due to
nationalization of local forest by central government in 19579 under Panchayat system
has contributed in aggravating the problem of rapid deforestation. Before nationalization
of forest, local people operated traditional forest management system based on Buddhist
belief to obligate people to protect local forest and even appointed forest guards. After
the management of local resources was undertake by central authorities, local people felt
Barbara Brower, “Range Conservation and Sherpa Livestock Management in Khumbu, Nepal”, February
1990
8
Alton Byers, “Landscape Change and Man-Accelerated Soil Loss: The Case of the Sagarmatha (Mt.
Everest) National Park, Khumbu, Nepal, August 1987
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Stanley F. Stevens, “Tourism, Change and Continuity in the Mount Everest Region, Nepal”, October
1993, pg. 422
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alienated from forest and withdrew their traditional obligation. People often violated the
rules set by central government to protect Khumbu forests.
Upon identifying the need for involvement of local people, central government
established Sagarmatha National Park in 1976 and appointed Mingma Norbu (a local
resident) as park warden10. Internationally accepted rules formulated by International
Union for the Conservation of Nature and Natural Resources (IUCN) were imposed
strictly. Park authorities have banned expeditions from using fuel wood for cooking and
heating and advised them to use kerosene stoves instead. They have also banned people
from felling trees for construction purposes. However, such restrictions have not been
imposed on local lodge owner who continue to use fuel wood increasingly. A lodge uses
more than four times the amount of fuel used by local Sherpa household11. Despite the
restrictions, local people continue to sell fuel wood to tourist for high economic returns.
High-altitude forest, woodlands and alpine shrub lands along the popular trekking areas
have experienced pressure. Some lodges located in the higher altitudes along the way to
Mount Everest have also put pressure on subalpine woodlands as they procure their fuel
supply from there. Namche Bazar, historically with dense forest has been heavily
deforested due to tourism activities.
Some initiatives have been taken to develop alternative sources of energy in order to stop
depletion of natural resources but it is still insufficient and not fully developed.
Hydroelectric project near Thami Og by Central government with the aid from Austria
has been completed and may reduce fuel use12. Additional alternative energy source for
Khumbu area is Namche Bazar 33kw Micro Hydel project. Other initiatives like
installation of solar water heaters in lodges in Thyangboche and Namche Bazar provide
supplemental alternative energy.13
Ivan G. Pawson, Dennyse D. Stanford, Vincanne A. Adams, Mingma Norbu, “Growth of Tourism in
Nepal’s Everest Region: Impact on Physical Environment and Structure of Human Settlements”, August
1984, pg. 241
11
P.P. Karan, Shigeru Iijima, “Environmental Stress in Himalaya”, January 1985
12
Stanley F. Stevens, “Tourism, Change and Continuity in the Mount Everest Region, Nepal”, October
1993, pg. 423
13
P.P Karan, Cotton Mather, “Tourism and Environment in the Mount Everest Region”, January, 1985, pg.
95
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Problem of Garbage Disposal
There has been elevating problem of garbage disposal created by tourist. Heap of garbage
accumulated in the Mount Everest base camp area created an unsightly scene in the
formerly pristine mountain region. The problem of accumulating trash is worsening
mainly due the increasing number of mountaineering expeditions and trekkers. The
gravity of situation has even lead to a proposal by Sir Edmund Hilary to stop allowing
people to climb Mount Everest until the problem of garbage is addressed sufficiently.
Foreign environmentalist, trekking companies and other organization has attempted to
organize cleaning efforts with little success due to intensity and size of the problem.
In 1993 Nepalese government adopted the policy of granting only one permit per route
per season to scale Mount Everest and also raised the royalty to $50,000 per expedition
and environmental deposit of $4000 per expedition14. The expedition was required to
pack all non-disposable trash and oxygen bottles to Kathmandu and eventually ship it to
their country of origin in order to retrieve the environmental deposit. Some of the
expeditions considered it sunk cost as they did not care to adhere to the regulation calling
the deposit ‘a fee to leave trash in Nepal’ while some expedition did put an effort in
adhering to the policy.
Though further trash disposal was substantially reduced, there was a persisting problem
of historical trash that continued to mar the aesthetic value of Everest base camp area.
Rob Hall and Gary Ball from New Zealand organized a group and successfully removed
4.5 tons of garbage from the base camp15. This was possible because base camp is easily
accessible by yaks. Another important and exemplary step was taken by Sagarmatha
Environmental Expedition, by scaling Mount Everest without using any supplementary
oxygen and removing garbage from the base camp. Rob Hall from New Zealand and
Todd Burleson from United States created an incentive program when they paid $2 for
every 10kg of trash collected and $6 for every oxygen bottle16. Collected trash was sorted
and disposed off responsibly. Sagarmatha Environmental Expedition also set an example
by bringing minimum supplies from their country of origin and using supplies and food
Brent Bishop, Chris Naumann, “ Reclamation of the World’s Highest Junk yard”, August 1996, pg. 323324
15
Brent Bishop, Chris Naumann, “ Reclamation of the World’s Highest Junk yard”, August 1996, pg. 324
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Brent Bishop, Chris Naumann, “ Reclamation of the World’s Highest Junk yard”, August 1996, pg. 326
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available in Nepal, which was instrumental in reducing the amount of trash generation.
“Sagarmatha Environmental Expedition 1994 brought 900 kg of supplies from United
States including personal gear and clothing, climbing equipment and food, while other
expeditions on Everest that year brought over 900 kg in food alone” (Bishop, Naumann
1994).
Efforts by the Nepalese government, organization and exemplary individuals have
resulted in great improvement in the existing pollution in the base camp areas. Trash
generation has almost reached zero and they have been successful in removing old
garbage as well.
National park administrator Mingma Norbu Sherpa initiated locally based system for
ongoing regional cleanup and recycling program. Local religious, political and business
leaders creased a Sherpa Pollution Control committee which was substantially funded by
World Wildlife Fund17. Local residents were hired to establish and supervise garbage
dumps and to create cleanup campaigns. They have also created and implemented deposit
system.
Effects on Culture and Lifestyle
“Anthropologist believe that the Sherpas have undergone widespread economic change
with better social integrity then nearly any other tribal group known to the modern world”
(Garratt, 1981).
Resilience to cultural change despite intrusion
Sherpas continue to be proud of their traditions and continue to observe Buddhism. New
wealth has been used for restoration of temples, building of new shrines, and expansion
of monasteries which have all worked in strengthening their cultural ties. The number of
monks in the local monasteries has also increased due to increase in their demand from
families wanting to conduct religious rituals and ceremonies. Local monks have also been
involved in creating art works which are of interest to tourists.
Stanley F. Stevens, “Tourism, Change and Continuity in the Mount Everest Region, Nepal”, October
1993, pg. 424
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However there have been some instances when tourism is seen to hamper the traditional
culture. Inability of tourist to maintain respect in the shrines and photographing without
consideration has often angered local people. Mani Rimdu festival is observed each
autumn in Tengboche monastery, which is one of the prominent monasteries of
Khumbu18. Increasing number of tourist participation in this festival has resulted in
tourist outnumbering the local people. Though, the ceremonies still remain the same
some of the locals hesitate to participate because of the increasing number of tourists.
However rest of the religious festivals fall in other seasons when tourists are not present
in the area. Tourism has also given rise to commercialization of art and local heritage.
Positive influences
Tourism has influenced Sherpas to send their children to school and also to learn English.
Sherpas have been able to send their children to good school through their tourism
earnings or philanthropic donations from foreign visitors. Locals have greater access to
health facilities due to establishment of infrastructure for health by government as well as
philanthropic donation from foreign visitors. For instance, Sir Edmund Hilary has
established a hospital called ‘Himalayan Trust Hospital’ in Kunde19, which has played
instrumental role in bringing down the morbidity rates including infant and child
mortality rates in the Khumbu region.
Change in political dynamics
Men who worked as expedition leaders, lodge keepers have evolved as political figures in
the area. Official positions in villages and temples are often covered by people employed
in tourism or operating tourism business. Status of wealthy Sherpa traders have been
replaced by Sherpas involved in tourism. Communities in Khumbu have felt that
emigration of leaders have affected the political activities to some extent. (Norbu Sherpa,
1982)
Change in Demography
Stanley F. Stevens, “Tourism, Change and Continuity in the Mount Everest Region, Nepal”, October
1993, pg. 425
19
Ivan G. Pawson, Dennyse D. Stanford, Vincanne A. Adams, “Effect of Modernization on the Khumbu
Region of Nepal: Changes in Population Structure”, February 1984, pg. 80
18
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Absence of men during the expedition season and out migration of men to cities or
abroad for better opportunities has lead to greater responsibility for women in agriculture
and business. It has also affected social life and has also decreased the birth rates.
There has been emigration to work in trekking agencies in Kathmandu or migration to
foreign countries for even better opportunities.
However, tourism has played an
important role in slowing emigration as Sherpas opt to work in trekking or
mountaineering or operate tourism businesses which are sources of substantial income.
This has stopped the trend of migrating to low-lands or Kathmandu and other cities,
which might have been obvious if there were no opportunities available in Khumbu.
Absence of Sherpa men during the trekking season and increased household and
agricultural responsibility for Sherpa women has resulted in low birth rate. Birth rate in
Khumbu is easily outnumbered by death and out migration leading to continuing decline
in population. This might have also been triggered by decreasing economic value of
children as Sherpas continue to enjoy affluence brought by tourism.
Conclusion
Khumbu region has gone under tremendous transformation after tourism started
flourishing in the region due to mountaineering and trekking activities. Economic, social,
ecological, cultural and political systems have been modernized due to exposure to
greater regional, national and international systems causing transfer of influence to
Khumbu region from its ‘modern’ counterparts. The region did experience environmental
crisis due to deforestation, decline of pasture and irresponsible garbage disposal but
timely realization of problem and help from central government and greater international
community has helped appease the gravity of problem. Thus, Sherpas of Khumbu region
have been able to gain substantial economic wealth through tourism without grave
cultural erosion or massive environmental degradation.
Traditionally subsistence economy of Khumbu has become highly economically
dependant on external region and industrialized nations in order to sustain the tourism
activities. Both demand and supply of the industry that Sherpas depend upon are
externally determined as their customers are mainly international tourist and supplies
required for industry is also increasingly procured from outside the Khumbu region.
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Modernization seems to have hit the right targets as it has not contaminated the culture
due to resilient nature of Sherpas but has brought number of positive changes like
exposure to educational and health facilities and better lifestyle with continuing
affirmation to Buddhist faith. Economic dependency does not pose any immediate danger
either. It does illustrate incidence of successful tourism-led economic development but
the region continues to face some challenges like widening income inequality and
continuing environmental stress. It also faces permanent challenges due to the
topographical situation of the region as physical infrastructure development continues to
be challenging task.
However, drawing from the way problem of garbage was successfully mitigated, it has
been proven that active participation from central government, responsible community
and foreign individual can address an issue successfully. Inclusion of local people in the
conservation and promotion activities of Sagarmatha National Park may address some
problems of declining status of land-use. There is no doubt that tourism has played
instrumental role in economic growth and development of Khumbu region and without
which there would have been limited potential for economic growth due to the
topographical situation of Khumbu area.
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Environmental Stress in the Himalaya
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http://www.csmonitor.com/2003/0528/p01s04-wosc.html
http://www.nepalinformation.com/everest.htm
http://ngm.nationalgeographic.com/ngm/0305/feature2/assignment1.html
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