By Elisabeth Mealey

SYDNEY, Sept 20 AAP - Speaking on the eve of a nine-day Buddhist ceremony of meditation, chanting and dancing, the Dalai Lama admitted today he might be the last in a 500-year-old line of Tibetan spiritual leaders.

The leader in exile said the Chinese government's attitude towards Tibet had become so harsh in recent times that once he died, it was possible the Dalai Lama institution might not continue.

Last year's disappearance of the Panchen Lama - the boy chosen as the Dalai Lama's successor, now believed to be under military guard in Beijing was aimed at giving the Dalai Lama a "big slap in the face", he said.

But the 61-year-old "enlightened being" appeared little concerned by the prospect of being the 14th and last Dalai Lama.

"Buddhism (has been) in Tibet since the seventh and eighth century. It came to Tibet and flourished. The Dalai Lama institution only lasts for 500 years.

"As the times change, this institution may die. That would be no problem," he said.

The spiritual leader was speaking to a packed media conference after a four-hour ceremony with fellow monks and lamas from his monastery in India in preparation for the Buddhist ceremony of spiritual healing, known as Kalachakra, at the Hordern Pavilion starting tomorrow.

The 2,500-year-old ceremony, which Buddhists believe may lead to a path of inner peace, is expected to attract more than 3,500 people on its opening day.

His Holiness said today that as long as there was a Tibetan nation, Tibetan Buddhism would remain and that was far more important than continuing the line of the Dalai Lama.

"If I die tonight, I think most probably Tibetans would want another Dalai Lama. But in another 20 years if the situation is somehow improved, I think there is the possibility that the majority of Tibetan people may feel the Dalai Lama institution is not much relevant for our culture, our nation.

"Then in that case, I will be the last Dalai Lama."

The Dalai Lama said he often joked it would not be so bad if he was the last spiritual leader of Tibetan Buddhism.

"I tell people that if I'm the last Dalai Lama that's OK - very good - because certainly out of 14 Dalai Lamas, I'm not the best one ... but at least I'm not the worst.

"It is better to cease on that level (than if) another Dalai Lama comes and disgraces himself or herself. That would be bad."

In another admission, the Nobel Peace Prize winner revealed that unlike many other Buddhists he was not a vegetarian.

In 1967, after two years of a diet without meat, fish or eggs, he contracted hepatitis and his body turned yellow "like a little Buddha".

"I try now one day vegetarian food and one day non-vegetarian food so at least for six months, I remain a vegetarian," he said.

Highlights of the nine-day Kalachkara ceremony will be the construction of a large and intricate, multi-coloured sand mandala and ritual dancing performed by Buddhist monks.

The mandala depicts a palace of 722 deities, representing the various aspects of the mind. At its completion, the sand painting will be swept up into an urn and poured into Sydney Harbour so that its benefit will spread to all human beings.

Since being forced to leave Tibet after the Chinese invasion of the Himalayan country in 1959, the Dalai Lama has conducted Kalachakra in Mongolia, India, the US, Switzerland, Spain and recently in the Himalayan foothills, attracting crowds of up to 100,000 people.