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Ushuaia, Argentina, often dubbed the “end of the world,” is experiencing a significant surge in Antarctic tourism. During the summer months, the city’s docks are crowded with cruise ships preparing to transport visitors on once-in-a-lifetime journeys to Antarctica. This influx of tourists is bringing economic benefits but also posing challenges to the city’s infrastructure and residents.
A decade prior, approximately 35,500 passengers embarked on Antarctic cruises from Ushuaia. In the past year, this number ballooned to around 111,500. Current estimates from the local port authority suggest a further 10 percent increase this year as the season concludes. Many travelers extend their stay by a night or two in local accommodations or utilize services like Airbnb.
This rapid expansion of tourism in Ushuaia is generating wealth for its 83,000 inhabitants, nestled between the Andes Mountains and the Beagle Channel. However, it is simultaneously straining local resources, escalating living expenses, and exacerbating an existing housing deficit for workers. Ushuaia’s remoteness, paradoxically its main attraction, intensifies these pressures.
Julio Lovece, president of the Ushuaia Foundation XXI, an advocate for community-benefiting tourism development, explained, “We market an atmosphere, an essence. Unlike destinations that promote waterfalls, whales, or glaciers, our unique selling point is the ‘end of the world’ experience.”
Cruising to Antarctica: Exploring ‘Another Planet’
Ushuaia, the world’s southernmost city, functions as the primary entry point to Antarctica. While Antarctic cruises also depart from Chile, Australia, and New Zealand, Ushuaia’s geographic advantage – a mere 600 miles from the Antarctic Peninsula’s tip on Tierra del Fuego – accounts for its dominance, handling 90 percent of departures.
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Tourists are drawn to these Antarctic cruises by the allure of pristine landscapes, extraordinary wildlife, and immense ice formations, particularly relevant in an era of global warming. Gabriel Chocron, co-founder of Freestyle Adventure Travel, a local agency, likened an Antarctica visit to “the closest experience to exploring another planet.”
Ellie Light, a 28-year-old traveler from Dallas, recently disembarked from an Antarctic cruise and browsed souvenir shops in downtown Ushuaia, where penguin figurines are highly sought after. She recounted memorable moments: a submarine excursion to observe deep-sea reefs and a polar plunge where a minke whale appeared beside her as she prepared to jump.
These exceptional encounters are driving the escalating demand for Antarctic tourism. The cruise season, traditionally aligned with the austral summer from December to March, now extends from September to April. Ushuaia’s port infrastructure has also expanded. In 2023, over 32,000 square feet of dock space were added, with further expansion plans underway.
Ushuaia offers approximately 6,200 tourist beds nightly, according to the Tierra del Fuego tourism board. Hotels constitute about 40 percent, and short-term rentals at least 30 percent, likely an underestimate due to unregistered properties. Many downtown hotels provide Beagle Channel views, but accommodations are generally characterized as rustic. Budget-friendly options are plentiful, including a new capsule hotel with Japanese styling. However, luxury accommodations within the city are limited; the three five-star choices are resorts located outside the city center.
To tap into the upscale market, Meliá Hotels announced plans in late December to construct a $50 million luxury resort in Ushuaia, complete with a spa, indoor and outdoor pools, and an 800-seat auditorium.
Local tourism authorities believe that the current scarcity of high-end options hinders their ability to encourage cruise passengers to prolong their stays and explore the wider region of Patagonia.
Housing Challenges: Forest Clearing for Homes
Passengers spending upwards of $18,000 for an average Antarctic cruise might be surprised by the living conditions of some local workers. Nolly Ramos León, a 34-year-old single mother of four, has resided for years on a mountainside where residents have deforested areas to construct makeshift dwellings. This area presents striking views of the harbor and the opulent cruise ships.
Her initial home was a fragile structure of nylon and wood. Her family’s current dwelling offers improved insulation against sub-freezing temperatures but still lacks connection to electricity, water, and sanitation. Ms. Ramos León sources some of her family’s water from a nearby stream.
To reach her housekeeping job at a hotel, where she earns approximately $500 monthly plus overtime, she navigates stairs and dirt paths that become treacherous in winter conditions.
According to Ms. Ramos León, Ushuaia residents who built on the mountainside did so “to strive for a dignified life.” Informal settlements like these, with limited access to public services, house at least 10 percent of Ushuaia’s population. “Building this house took considerable time,” Ms. Ramos León stated. “At times, we lacked funds for food due to allocating resources to construction.”
Ushuaia’s population has surged by 45 percent since 2010, driven by workers seeking economic opportunities. However, accommodating this influx has proven challenging. Geographically constrained by mountains, a national park, and the sea, Ushuaia has limited space for housing and infrastructure development. Furthermore, construction in such a remote location entails substantial costs.
Renters in Ushuaia typically spend around 80 percent of their income on housing. According to Que Nos Escuchen, a local housing advocacy group, a two-bedroom apartment averages 900,000 pesos monthly, roughly $1,000 at the official exchange rate. In 2023, Ushuaia’s rental costs surpassed even those in Palermo, a trendy Buenos Aires neighborhood.
Patagonia Dream: Exploring Tierra del Fuego
When explorer Ferdinand Magellan sailed past this island in 1520, he observed indigenous fires along the coast, naming it Tierra del Fuego, Land of Fire. Today, the island, divided between Argentina and Chile, largely remains a wilderness.
Visitors to Tierra del Fuego can observe penguins and sea lions, hike amidst glaciers in Tierra del Fuego National Park, and ski at Cerro Castor, Argentina’s longest-operating ski resort.
Tierra del Fuego is a prominent attraction within Patagonia, alongside Perito Moreno Glacier near El Calafate, Puerto Madryn (a renowned whale-watching destination), and the picturesque mountain town of Bariloche.
Mariano Sanchez, a tour guide with Tierra Turismo, a local agency offering 4×4 excursions, noted, “Similar to how many Argentines dream of visiting Paris, seeing Patagonia has become a dream for numerous people globally.”
Last summer, Argentina’s Tierra del Fuego received a record of nearly 640,000 tourists, significantly exceeding the province’s population of 190,000.
This surge has transformed Silvana Ponce’s business. Her sightseeing agency, Latitud Ushuaia, has expanded from six employees in early 2020 to 28. The agency’s signature tour involves visitors joining local fishermen to catch and prepare centolla, the southern king crab.
Preserving a Remote Wonderland: Balancing Tourism and Sustainability
Like other resort communities facing geographical constraints while balancing housing and tourism, Ushuaia possesses limited universally acceptable solutions. City expansion proposals have emerged, but concerns exist about potential negative consequences. Some within the tourism sector advocate for moderating both city and industry growth to safeguard the region’s appeal as a secluded natural paradise.
“We believe we could accommodate significantly more visitors, but we also recognize this as the opportune moment to consider managing this growth to prevent loss of control,” stated Mr. Lovece of the Ushuaia Foundation XXI.
Last year, President Javier Milei abolished Argentina’s rent-control law, previously among the world’s strictest. Housing activists report that this has further strained residents in Tierra del Fuego, the province with the highest proportion of renters. Local authorities recently implemented a moratorium on new Airbnb registrations to provide some relief but have struggled to effectively control unlicensed rentals.
The International Association of Antarctica Tour Operators (I.A.A.T.O.), representing the private Antarctic tourism sector, stated that most cruise passengers utilize hotels instead of private rentals during their Ushuaia stays, emphasizing a “commitment to promoting a sustainable equilibrium between tourism and community well-being in Ushuaia.”
Antarctic vacations also exert considerable environmental impact: each traveler contributes approximately five tons of carbon dioxide emissions per trip, comparable to the average person’s annual carbon footprint, and significantly higher than the average American’s at around 16 tons. Antarctica is warming at an accelerated rate, and rising temperatures are already altering the landscape around Ushuaia. During an unusually hot summer, a popular ice and rock formation within Tierra del Fuego National Park disintegrated into slush this year.
According to I.A.A.T.O., cruises enhance awareness and convert paying customers into advocates for Antarctica’s protection. However, environmental activists argue that considering stringent caps on cruise passenger numbers or designating certain continental areas as off-limits to tourism is now imperative.
Housing activists in Ushuaia also express concerns about future housing affordability. “A point will be reached where Ushuaia is exclusively populated by tourists,” warned Maria Elena Caire, president of the Que Nos Escuchen housing group. “And who will serve them then, if residents are unable to secure housing?”
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