Agritourism Market Market is Poised to Register 13.4% Growth by the End of 2027

PORTLAND, OREGON, UNITED STATES, October 6, 2022 / — As per the report published by Allied Market Research, the global agritourism market was pegged at $42.46 billion in 2019, and is projected to reach $62.98 billion by 2027, growing at a CAGR of 13.4% from 2021 to 2027.

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In the last few years, there’s been a steep incline in demand for farm stays across the world along with growing curiosity about rural activities, especially among the young generation. This, in turn, has driven the growth of the agritourism market in more than one way. At the same time, travel agents in agritourism are also playing an important role in vending the agritourism packages since there is not really enough knowledge about ecotourism and associated concepts among individuals.

Government authorities have been taking steps to promote agritourism activities in their counties, districts, and regions. From allocating budgets to stocks, different initiatives have been taken by provincial tourism departments. An agritourism farm has been inaugurated in Ramian county, northern Golestan province in Iran. The province allocated the budget of 160 billion rials ($608,000) for development of the farm in one hectare. Moreover, it generated job opportunities for five people. In the farm, there are daffodil farms, medicinal plant gardens, fruit trees, and reception hall.

Along with allocation of budgets for development of farms and promotion of agritourism activities, governments have been offering startup stock to farmers. The Botswana government began a pilot project in which it aims to provide wildlife startup stock for farmers. This stock will be kept in ploughing fields of farmers. Kabelo Senyatso, the Director at Botswana’s National Parks and Wildlife, outlined that the stock of five animals per species will be allocated to each farmer. The farmers who are willing to adopt the stock need to meet space, fencing, and water requirements for availing the species they want. As Botswana is one of leading tourism destinations in Africa, this initiative is expected to boost the local economy by providing resources to attract agritourists.

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The market for agritourism is expanding as a result of rising demand for activities for families, interest in regional cuisine, and farm stay experiences. Agritourism facilities are also in demand as young people’s interest in agriculture and rural life grows. One such opportunity for people to obtain tranquilly and relaxation that they rarely find in urban settings is through agritourism. The entire tourist and agritourism industry was severely hit by COVID-19, but fewer incidences of the virus and the discovery and use of the corona virus vaccine around the world are likely to help the industry reclaim its position.

The activity, sales channel, and geographic regions are used to segment the worldwide agritourism market. The market is segmented based on activity into on-farm sales, outdoor recreation, agritourism, entertainment, educational tourism, lodging, and others. In 2019, the market was dominated by the on-farm sales sector, which accounted for over three-fifths of the market. However, during the projected period, the lodgings segment is anticipated to have the greatest CAGR of 18.0%.

Based on outdoor recreation, the market is split into direct and travel agent divisions. With more than two thirds of the market, the travel agency sector had the largest market share in 2019. But throughout the course of the forecast period, the direct category is expected to increase at the highest CAGR of 14.0 percent.

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The examination of the worldwide agritourism sector takes a number of regions into account, including North America, Europe, Asia-Pacific, and LAMEA. The market in Asia-Pacific is anticipated to see the highest CAGR of 16.9% during the projection period. But in 2019, North America held the largest part of the market, accounting for nearly 50% of it.

Key Learnings

The market for agritourism, which was valued at $42,460.3 million in 2019, is anticipated to expand to $62,982.6 million by 2027, at a CAGR of 13.4%.
By activity, it is predicted that the lodgings segment would expand at the fastest rate, with a CAGR of 18.0% over the course of the projected year.
Depending on the sales channel, the travel agency market in 2019 had a value of $28,678.3 million, or 67.8% of the global agritourism industry.
The largest market in Europe in 2019 was Italy, which is expected to increase at a CAGR of 12.6% from 2019 to 2027 to reach $3,351.1 million.
The global agritourism market report includes an in-depth analysis of the major market players including Agricultural Tour Operators International, Bay Farm Tours, Agrilys Voyages, Farm to Farm Tours, Blackberry Farm, LLC, Harvest Travel International, Greenmount Travel, Select Holidays, Field Farm Tours Limited, and Stita Group.

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Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Portland, Oregon. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of “Market Research Reports” and “Business Intelligence Solutions.” AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain.

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David Correa
Allied Analytics LLP
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