In Kargil, there are only seven small industries manufacturing wood, food and electrical products employing about 30 people. There are over 900 Khadi and village industries providing employment to 3360 workers. The mainstay of Kargil’s economy still continues to be livestock. The state government has admitted in the past that developing Kargil is a tough task. The administration in its district handbook says, “The difficult terrain and topography of the district is a big damper in the development of the district as such Kargil. The rural department here has a tough job in the development of rural areas in terms of construction of bridges, footpaths and Khjuls for small irrigation and sanitation works.”
Leh meanwhile is a more lucrative destination for workers looking to make a living in this hostile terrain. According to estimates by the assistant labour commissioner of Leh there were over 5,000 shops and commercial establishments in addition to over 700 hotels in Leh providing employment to thousands of people from Leh, Kargil and the Kashmir valley. Meanwhile the Indian army has stepped up efforts to boost agriculture production in Leh which has further attracted migrants, many of them Muslims from Kashmir to Leh. More than 45,000 square kilometers of land is under mono-crop agriculture in Leh. The army’s efforts in setting up greenhouses has allowed people to farm even in the harsh winters when outside temperatures are well below freezing. Labour intensive crops like wheat and horticulture have been developed significantly in Leh. The Leh district administration in its district handbook notes, “Horticulture is playing a major role in supplementing the income to the farmers and has assumed great importance in Leh district in recent years. The fruit produced are marketed in Leh town, other places and supplied to the defence forces stationed in the region through cooperative marketing societies.”