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THE PEARLS AND PITFALLS OF CONDUCTING AN AGRITOURISM ECONOMIC IMPACT STUDY

Agricultural Economics & Community Development

Melissa Fery
Small Farms Extension Agent
Oregon State University
Eugene

Abstract

There is confusion and contention about offering agritourism activities on farmland in Oregon. Claims of benefits for adding agritourism like creating new jobs, adding additional revenue streams, selling more agricultural products, leading to farm succession, and educating the public about agriculture are hard to quantify. Stakeholder groups have been asking for data to prove these concepts about how agritourism impacts farms and the rural economy. In 2023, OSU Extension Service undertook an economic impact study project focusing on Oregon’s most agriculturally diverse and populated region, the Willamette Valley. The first step was seeking local funding from economic development, tourism, and university partners to hire a lead economist experienced with similar studies, familiar with agriculture production and confident using the IMPLAN modeling program. Our team researched other approaches and studies conducted in the United States. Survey and interview questions were developed to ground-truth the IMPLAN data and were disseminated to farms in the nine-county study area.  The results from the surveys and interviews were used in combination with the 2017 Census of Agriculture to adjust components of the IMPLAN models.  Without a clear definition of agritourism, it was difficult to determine what should be included in the study. For example, we included farm stands and U-pick operations, but the Census agritourism data only includes activities. The study provided some surprises. Producers that diversify with agritourism potentially spread almost half of their gross and net revenues between the wholesale and agritourism portions of their operations. Agritourism contributes significantly to the local economy, in both dollars, direct sales exceed over $985 million and employment, approximately 11,000 jobs. We learned that in the study area, 66% of agritourism customers are local people living within 50 miles of the farmers, the remaining traveling for a day trip or overnight visit. The motivations that farmers shared for starting an agritourism enterprise focused on income and education.

Authors: Melissa Fery, Audrey Comerford
  1. Melissa Fery Agriculture Extension Agent, Oregon State University, Oregon, 97402
  2. Audrey Comerford Agritourism Program Coordinator, Oregon State University, Oregon, 97301