Bhutan is a small country located in Himalayan Mountains between India and China. This small country has enjoyed the honor of being named one of the most pristine and exclusive travel destinations in the world. Despite their controlled tourism policy, the number of inbound tourists has increased each year, imposing an overpriced daily tariff of US $200 on each tourist. This daily tariff stems from the high-value, low-volume strategy based on the “Gross National Happiness” philosophy— a way to earn the foreign currency and to limit the number of arrivals in order to prevent the negative impacts of tourism on its cultural heritage and natural environment. However, a growing number of tourists could jeopardize the intended objective of safeguarding Bhutan’s culture and nature which it is known for.The “High Value, Low Volume policy” has been mainly successful because tourism has stimulated the private sector growth and transformed the rural economy, without having a negative impact on its culture and environment.
Consequently, Bhutan’s controlled tourism policy had positive impacts on the country’s economy. Tourism contributed to 56% of the national tax revenue in 2005, making it an important source of revenue. Furthermore, tourism created independence, self-employment, and provided income for rural communities through selling local produces and handicrafts to tourists.
However, some researchers argue that Bhutan’s controlled tourism policy had negative impacts on its country. Along the tourists’ hiking routes, there was forest destruction through cutting of trees for firewood, soil erosion through the use of horses and yaks for treks and a trail of non-biodegradable waste. Additionally, if tourism increases, there is a high potential of polluting Bhutan’s environment and tradition.
Bhutan’s controlled tourism policy has been successful in increasing economic development, while hindering the negative impacts on the country’s cultural and natural resources. However, inevitably Bhutan’s environment experienced many negative results such as forest destruction, soil erosion and garbage trail. Thanks to tourism, people have the ability to visit a location, but as tourists we need to remember to respect that place and treat it like our own.