What is Agritourism?
Let’s start by learning a little about what agritourism is. The National Agricultural Law Center defines it as “a form of commercial enterprise that links agricultural production and/or processing with tourism to attract visitors onto a farm, ranch, or other agricultural business for the purposes of entertaining and/or educating the visitors while generating income for the farm, ranch, or business owner.”
Notice those three words near the end of the definition, “while generating income.” The economic benefits are included right in the definition. Not only can agritourism support communities by generating income, agritourism has the potential to create jobs and support local economies.
As farms and ranches generate income through agritourism, it allows them to add another aspect of diversification to the business. Rather than depending solely on sales of agricultural products, agritourism adds income from visitors as an additional revenue stream that is outside the traditional agriculture industry. Agritourism offerings might include farm stays, tours, events, and more.
Benefits for Rural Communities
Agritourism has the potential to create jobs in a rural area. Most farm and ranch operators have full schedules without offering agritourism opportunities. Adding an agritourism enterprise can add a profitable side gig for a family member without leaving home. It could also be a seasonal learning experience for high school students who want to work in agriculture or the hospitality industry. Income from an agritourism enterprise could potentially replace the income from a full-time job that a family member may have away from the farm or ranch. And what about the kids who may want to return to the family farm, but there isn’t enough income to support another family? Agritourism can provide that opportunity.
As agritourism enterprises grow, local communities benefit. As visitors stop in the area to visit an agritourism enterprise, they may need a place to stay. They may stop to eat in a local restaurant, fill a vehicle with fuel at a local gas station, and perhaps stop in town for a little shopping. While this benefits local businesses, the local community also benefits from the sales tax collected from those visitor expenditures.
Agritourism presents a unique opportunity to combine aspects of South Dakota’s two top industries, tourism and agriculture.
Resources
- Johnson, L., Understanding the Benefits of Agritourism, Solimar International, August 2023.
- Whitt C., Sarah A. Low S., Van Sandt A., Agritourism Allows Farms To Diversify and Has Potential Benefits for Rural Communities, Economic Research Service, US Department of Agriculture, Nov. 2019
