Agritourism has become one of rural Scotland's fastest growing sectors with an estimated 800 businesses now involved in one way or another. It is now believed to be worth £60m a year to the economy and that is not including the £110m which comes from farm retail.
But the sector has rarely been as challenged as it is just now according to Scottish Agritourism lead Caroline Millar. She told the annual organisation's annual conference in Perth (Nov 18-19) that the recent UK budget would cause real problems which could see businesses close. The Employer's National Insurance increases in particular would cause real problems. Many members might only employ one or two people on the farm side of their business but 20 or 30 on their agritourism or food retailing business.
Ms Millar said: "People are worried about NI but also about recruitment of staff when there is no clear immigration policy. The UK also has the highest VAT rate in Europe which does not help."
Changes to inheritance tax are also of real concern especially where diversified businesses have invested heavily and considerably increased the value of their holdings .
Nonetheless Ms Millar remains relentlessly upbeat about the prospects for agritourism and believes an increase in turnover from £170m to £250m is possible by 2030 . She would also like to see the number of businesses involved increase to over 1000.
"It is all possible but we have to stay real. Genuine agritourism can only be offered by farmers, crofters and rural estates and wherever possible should include a food offering. I sometimes fear that we are not being taken seriously by the core agricultural industry.
"There is often a perception that diversifying is an acknowledgement of failure in mainstream farming and we have to get away from that way of thinking," said Ms Millar.
In the meantime, there does seem to be obvious interest in tourism based diversification with over 300 delegates at the Perth conference including visitors from Canada, India and New Zealand. In 2026 the Global Agritourism Network is coming to Scotland. It will be based in Aberdeen with around 1000 delegates expected.
Conference speaker Rachael Hamilton, MSP for the rural constituency of Ettrick, Roxburgh and Berwickshire has also recently become deputy leader of the Conservative group at Holyrood, said: "I have noticed that the agritourism sector is full of young enthusiastic people.
"Job creation is so important and these enterprises are offering a way for young people to stay in the rural areas of Scotland.
"I would like to see an expanded young famers grant scheme re-introduced and not one like the last one which was restricted by lack of funds and where there was only a 30 percent uptake.
"I know that short term let regulations with their heavy-handed licencing schemes are also causing problems as is lack of infrastructure especially broadband.
Staff development vital
STAFF development can be easy to ignore while building an agritourism business but it can be as important as serving up the very best of local food.
In 2005 Sarah Heward founded her Real Food Café in a former Little Chef building in the village of Tyndrum which sits astride one of the busiest routes into the Western Highlands.
The business, which is open seven days a week now turns over £2.5m per year but can only do so with the help of an enthusiastic staff of 30. It has won awards for its staff development programme which is run by her husband.
"Our mission is to pay top dollar which we do by running a profit-sharing scheme. We offer great conditions and smart uniforms so that everyone feels valued," said Ms Heward.
She also lays great store in community involvement including a litter collection scheme in the village and running mini-rugby coaching sessions. Raising funds for a high quality disabled toilet in the village has helped make it a more popular stopping off point .
"Food quality is our core value however at the Real Food Cafe. We source everything we can from Scotland," she added.
