May 24, 2024
Agritourism Market

Agritourism Market Is Estimated To Witness High Growth Owing To Growing Interest In Rural Tourism Experience

Agritourism provides farm or rural-based recreational activities including farm tours, u-pick, agricultural fairs and festivals, petting zoos, garden shops and mazes, among other hands-on activities. It allows individuals and families opportunities to experience farm and ranch life. The industry provides education about farming and food production while generating additional income for working farms and rural communities. It aims to create awareness about the importance of agriculture. The growing interest in unique leisure activities and health & wellness trends are driving demand for rural tourism experiences.

The Global Agritourism Market is estimated to be valued at US$ 17.51 Bn in 2024 and is expected to exhibit a CAGR of 11% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the Agritourism Market Size are Field Farm Tours Limited, Farm to Farm Tours, Bay Farm Tours., Star Destinations , Expedia, Inc. , Select Holidays, Green mount Travel., Blackberry Farm, LLC., GTI Travel, Kansas Tourism, Trump Tours Inc., Tour De Farm, Kisan Eco Farm and Farm Stay, Liberty Hill Farm , Harvest Travel International , Farm to Farm International , STAR Destinations , Stita Group , Select Holidays, and Agritours Canada Inc. 

Key opportunities in the market include scope for offering diverse experiences to attract new customers, leverage online marketing and booking platforms, focus on group tours and events. The rising popularity of social media has potential to boost visibility of rural tourism offerings.

There is a growing focus on sustainability and eco-friendly practices in agritourism. Operations are increasingly relying on renewable energy sources and adopting waste management initiatives. The application of virtual and augmented reality is also gaining traction for educational purposes and supplementary experiences.

Market Drivers

The demand for agritourism is driven by growing health awareness, interest in the outdoors, and desire to disconnect from urban chaos. Many seek unique activities away from large crowds and prefer small-scale intimate experiences. The rising popularity of farm-to-table movement has raised appreciation for local produce and farming practices. Initiatives like slow food and field-to-fork dining are drawing customers to rural destinations.

Current challenges in the Agritourism Industry

The agritourism industry faces several challenges due to its dependence on agriculture and tourism sectors which are highly vulnerable to climate risks and economic uncertainties. Farmers operating agritourism businesses have limited skills and resources in tourism operations and management. There is a lack of infrastructure like proper accommodation facilities, transportation and connectivity in rural areas which hinders the growth of agritourism. Marketing and promotion of agritourism destinations and activities is still at a nascent stage.

SWOT Analysis

Strength: Agritourism leverages local culture, heritage and agriculture activities to promote rural livelihoods. It offers unique experiences to visitors to engage with rural life.
Weakness: Agritourism businesses are highly vulnerable to climate risks, pests and crop failures impacting farm revenues and tourism activities. Lack of skills and training among farmers to effectively manage tourism operations.
Opportunity: Growing interest of tourists in experiential and responsible forms of tourism offers opportunities to promote agritourism. Government schemes to boost rural infrastructure and connectivity will aid the industry.
Threats: Outbreaks of animal and plant diseases can damage the industry. Competition from mainstream resorts and destinations impacts agritourism revenues.

Geographical regions of value concentration

North America currently accounts for the largest share in the global agritourism market in terms of value, led by countries like the US and Canada. Europe is another major region contributing to the market.

Fastest growing region

Asia Pacific region is projected to be the fastest growing market for agritourism during the forecast period. Countries such as India, China, Japan and Southeast Asian nations are witnessing rising domestic and outbound tourism which is boosting the growth of agritourism industry in the region. Initiatives by governments to promote rural tourism are also aiding the market expansion.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it.