The population, along with the economy, reached its peak at the end of the 19th century, with an estimated population of 15,000.
During that period, Kastellorizo was the only safe harbor along the route between Makri (present-day Fethiye) and Beirut.
Sailing ships departing from the island transported coal, timber, oak wood, and pine logs from Anatolia, while trading goods arriving from Egypt such as rice, sugar, coffee, and yarn. The island also had a developed charcoal production industry (highly demanded in Alexandria for use in hookahs). The fishing sector was particularly important, especially in sponge fishing.
At the beginning of the 20th century, especially after the expulsion of Greeks from Anatolia in 1923 and the decline of Ottoman influence, the economic downturn accelerated.
By the late 1920s, the island’s population had fallen to 3,000, while around 8,000 people from Kastellorizo were living abroad, particularly in Australia, Egypt, Greece, and the United States.
At that time, although there were 730 inhabited houses in the town, 675 of them were empty, and most were in ruins.
According to the 2001 census, the population had decreased to 406. This population is economically supported in order to maintain the island’s presence in the face of territorial claims by Turkey.
Most emigrants moved to Australia—where they became known as “Kassies”—particularly to the cities of Sydney and Perth.
