Despite witnessing a substantial surge in tourist numbers on the evening of December 31, Himachal Pradesh experienced a significant exodus later that night, with the majority of visitors returning to their respective states without securing hotel accommodations. Consequently, the hotel occupancy rate plummeted to 60 percent.
On New Year's Eve, Sunday, hotels in Shimla recorded an occupancy rate of approximately 60 percent, marking the lowest figure in four decades. This rate is even more dismal than the occupancy levels observed during the pandemic. In a similar vein, numerous tourists who chose to remain in Shimla opted for homestays, which were available at more affordable rates compared to many hotels.
The state's tourism industry, constituting 7.89 percent of its GDP, has endured significant setbacks, initially due to the pandemic and subsequently owing to the 2023 floods. In response, the Himachal Pradesh government and Shimla district administration initiated the Winter Carnival at the Ridge in the city, spanning from December 31 to January 4, in a concerted effort to revitalize tourism.
Prince Kukreja, the vice-president of the Shimla Hotel Association, conveyed to AajTak/India Today TV, "This marks the first instance in 40 years that we have witnessed such a dismal occupancy rate in hotels. One of the primary contributing factors is that many tourists had anticipated witnessing snowfall. However, with no snowfall occurring, they promptly departed. Another factor is the inclination of numerous individuals to opt for budget-friendly homestays, many of which are not even legally registered."
Ajay Thakur, the manager of the Combermere Hotel in Shimla, highlighted that this time around, a majority of tourists were seeking cost-effective accommodation and preferred staying away from the city center.
Notably, when questioned about their departure, tourists cited their intention to witness snowfall as the main motive. Disappointed by the absence of snow, they chose to return on the same night.
