Srinigar's Dal Lake is famous for its 'floating vegetable market', the only one of its kind in India and only the second in the world, the other being the rowing shops along the backwaters of the Mekong Delta in Vietnam.

The floating market first attracted international attention in 1960, when a Japanese photographer featured it in a tourist guide that was published out of Japan.

Around 10,000 kanals (around 1,250 acres) of land along the Dal Lake is being used for the cultivation of vegetables. There are no permanent shops on the lake. Instead, the local farmers paddle to a central location where the sale and the purchase of vegetables take place between 5 am. and to 7 am. everyday. Most of the vegetables are grown on the lakeside and retrieved from the lake before being sold in just 2 hours. Any vegetables left over are taken to street markets.

Dal Lake is also home to vast stretches of lotus plants. which balance the wetland ecosystem, and also lend a special kind of beauty to the lake.

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