With a rise in the development of industrial infrastructure and technological advancements, there is a rise in pollution. Green initiatives and campaigns have become the trend in the fast-growing eco-tourism. The eco-tourism encourages the mass to adopt a green pastime. This help to generate more demand for agro-tourism.
The overall market progressed from US$ 76.7 billion in 2018, with an average yearly growth rate of 4% until 2022. By the end of the year 2022, the net revenue generated by the agro-rural tourism business globally was nearly US$ 89.8 billion.
As per newly released data by Future Market Insights, the agro-rural tourism market is estimated to be around US$ 91.6 billion in 2023. Furthermore, this report predicts the worldwide demand for agro-rural tourism to record a CAGR of 5.8% from 2023 to 2033. By following this promising growth rate, the overall market size, in terms of value, is projected to reach US$ 160.9 billion by 2033.
Agro-rural Tourism Market Outlook
Agro and Rural Tourism is one of the emerging trends of tourism. It extends great support to the primary sector of a country as well as the upliftment of remote and rural regions. Agro-tourism is the subset of Rural Tourism.
The agro-rural tourism is also supported by the cause of eco-tourism and sustainability tourism. Agro-rural tourism allows city travelers to escape from urban life and re-discover rural roots. Engaging in agriculture farms and fields and discovering rural life is becoming a trend and attracting travelers towards agro-rural tourism. Lastly, agro-rural tourism contributes to the key growth of the tourism industry with the help of income generated from agro-rural tour activities.
Growing Trends of Farm and Ranch Stay to Generate Demand for Agro-rural Tourism Market
The trends of farm and ranch stays are getting traction at a significant rate. The increasing stress and pollution have inclined travelers towards farm vacations, apart from this. The promotional activities and campaigns from tour aggregators for farm stay vacations are attracting several travelers.
In farm stay vacations, agro products are used and promoted extensively. Meanwhile, the farm vacation includes working in fields, a village tour, shopping for handmade products, trying the local fresh food, and exploring and experiencing authentic rural life. Youths and millennials like to participate in such activities, which results in the growth of the market.
Rise in Eco-tourism Result in Growth of Agro-rural Tourism Market
With a rise in the development of industrial infrastructure and technological advancements, there is a rise in pollution. Green initiatives and campaigns have become the trend in the fast-growing eco-tourism. The eco-tourism encourages the mass to adopt a green pastime. This help to generate more demand for agro-tourism.
The rising trends of agro-tourism focus on the betterment of villagers. The cause of agro-tourism results in the growth of rural tourism. Despite monopolization in the tourism market by leisure activities, there has been a significant and steady increase in demand as it is considered an alternate way of healthy tourism under eco-tourism. The rising trend of health and environmental consciousness has further fueled the growth of the market.
The Benefits of Agro-rural Tourism Drives the Agro-rural Tourism Market
The concept of agro-rural tourism offers tangible and intangible features related to the environment, culture, food, and landscape. It is a positive approach and journey to understanding the behavior and cultural background of the community. The agro-rural tourism brings acknowledgment and creates value for cultural and architectural heritage.
The activities of agro-rural tourism permit travelers to have a noiseless peaceful, comfortable stay and experience the serenity of nature. It also helps to understand the customs and traditions of rural culture. The income generates from agro-rural tourism facilitates improving the living style and condition of villagers. Thus travelers like to be part of agro-rural tourism.
Country-wise Insights
Initiatives by the Indian Government to Grow the Agro-rural Tourism in India
Agriculture has been the backbone of India for many decades. Agriculture in India is one of the leading sectors of Indian Economy. Agriculture is one of the important occupations for various parts and regions of India. Meanwhile, a huge amount of rural areas in India are under development. Hence the government of India is introducing certain schemes and campaigns to promote agro-rural tourism in India, such as the Maharashtra Tourism of India has taken initiatives for agro-tourism under experimental tourism.
The purpose of agro-tourism serves farmers an opportunity to earn extra income. The scheme also benefits rural areas by generating massive visitors to the villages. Agro-tourism aims to introduce agricultural products and experience agricultural activities to visitors.
The visitors can have an enhanced experience by participating in village traditions, culture, and customs and experiencing the village art and artworks. They also provide accommodation for lodging and restaurants for food and refreshments with Maharashtra Tourism Development Corporation (MTDC). The scheme helps travelers to explore as well as generate income for the development of agriculture and the rural sector. Such activities generate demand for agro-rural tourism in India.
The Rural Tourism is Boosting the Growth of the Market in Japan
Although Japan is known for its technological development, the Japanese community still practices and enriches the traditional culture of agriculture. Japan highly promotes rural tourism in the country. Under rural tourism, Japan provides opportunities for visitors to experience the traditional Japanese lifestyle in rural areas.
The visitors get an opportunity to experience authentic local food and Japanese homes to stay and also participate in the agricultural festival and daily events. There is a high demand and trends for agro-rural tourism among domestic tourists along with international travelers. The cultural morals and values attract domestic travelers towards agro-rural tourism in Japan.
Category-wise Insights
Student Trips, Family Trips, and Group Trips Generate the Demand for Agro-rural Tourism
According to the analysis, in terms of tour type, student Trips, Family Trips, and group Trips generates high demand for agro-rural tourism. Many schools introduce environmental studies as a part of their curriculum.
The schools and institutions try to explain the ecological situations and surrounding effects with the help of environmental and social studies. Therefore, they conduct field visits to farms and rural areas and try to connect the children with the roots of agro-rural tourism. Meanwhile, agriculture science is one of the emerging trends in education. Hence, many students visit agriculture fields and rural areas to learn about the agro and rural tourism industry more broadly as they focus on the development of this field. Lastly, families and groups participate in agro-tourism to experience agriculture activities and rural life and contribute to the agriculture and rural sector.
The Participation from Every Age Group is Expected to Increase Significantly in Agro-rural Tourism
In terms of age group, travelers from all age groups are expected to rise significantly. The millennial and youths want to discover the village’s roots and the villagers’ civilization and want to feel the basic culture by participating in rural and agricultural activities. Also, agro-rural tourism is a rising trend on social media among millennials.
The travelers from mid and old-age groups want to connect back to the rural places, feel the presence of rural life and agriculture activities and pass the message of the importance of agriculture to their younger generations. Hence the emotions of travelers and rising trends of agro-rural activities are expected to grow the market.
Recreation Agro-tourism has Huge Participation in this Market
According to our analysis, recreation agro-tourism can get more participants compared to other service types. The recreation of agro-tourism involves fieldwork exploration, participation in agriculture and rural development activities, learning about the new technologies and advancements in the agriculture and rural sector, organic farming practices, and other experiences. It focuses on enriching agro-rural tourism through interactive learning about agriculture and the rural development sector.
Key Companies Profiled and Competitive Landscape
Agro Tourism Development, GTI Travel, Cyprus Agrotourism, Heartland Travel and Tours, AgriProFocus, Cape AgriTours, Farm to Farm, Meru Agro, Rural Tours, Stita Group, Greenmount Travel, Blackberry Farm, Bay Farm Tours, Select Holidays, Harvest Travel International.
Leading players operating globally in the market are focusing on the expansion of their business. Also working on their service offering and marketing strategies to attract new customers.
For Instance: In 2018, Farm to Farm International Tours launched an event called Rural Perspective on Scandinavia. The event focuses on how farming communities adapted and transformed into.
Vicky is the co-founder of TravelDailyNews Media Network where she is the Editor-in Chief. She is also responsible for the daily operation and the financial policy. She holds a Bachelor's degree in Tourism Business Administration from the Technical University of Athens and a Master in Business Administration (MBA) from the University of Wales.
She has many years of both academic and industrial experience within the travel industry. She has written/edited numerous articles in various tourism magazines.
