Turning farms into farmstays: UP’s govt new agri-tourism push for ‘reverse migration’

“Farmstays are at the heart of our vision to make tourism inclusive, community-driven, and sustainable. Uttar Pradesh has always attracted millions of visitors for its culture and spirituality. But we realised that the villages, with their land, traditions, and people, hold an equally powerful story,” Mukesh Meshram, Principal Secretary, Tourism Department, Uttar Pradesh Government, told The Indian Express.

The idea is to turn “small-scale rural experiments” into a statewide model of agri-tourism, he added.

To begin with, the government has floated an Expression of Interest (EOI), seeking investment in farmstays across villages of the state. The government is also offering “multi-layered” capital subsidy – from Rs 2 crore to Rs 40 crore, depending upon the investment size. (See Box)

Along with 100 per cent exemptions in stamp duty, land development charges, or land conversion fees, the government is offering subsidy on loan interest, whereby 5 per cent rebate would be given on loans up to Rs 5 crore.

The government is also offering additional employment incentives wherein it will reimburse the EPF for those employing over 50 local staffers.

Incentive is also being offered to those employing differently-abled – the government will provide Rs 1,500 per month per worker for a maximum of five such workers.

“Apart from the financial assistance, we are trying to create an awareness through some of the existing operational models as to how to design and operate rooms with basic safety and comfort. Also, tell them about the ways of ensuring community participation, involving women, artisans, youths, and how to convert their villages into tourism hotspots by highlighting local shrines, water bodies etc,” an officer of the Tourism Department explained.

Narrating the story that led to the government focusing on boosting agri-tourism in the state, Meshram said that isolated examples acted as the motivation to take the concept forward. “The early examples we saw were a farmer in Kannauj turning her flooded fields into an island retreat. We found about women-led kitchens in Pilibhit and attar-based farm experiences in Kannauj. These showed us how rural ingenuity can transform livelihoods. These pioneers proved the model works,” Meshram added.

This led to the government last month organising a dedicated “Rural and Agri-Tourism Conclave” in Lucknow, where a group of individuals interested in wanting to turn their fields into farmstays were given a “familiarisation trip” to Kathwara village near Lucknow and were shown three operational farmstays.

“These are not isolated cases. There are several success stories

Like the one in a Kannauj village providing “attar making experience” to the visitors, or the one in Prayagraj, where a farmer has developed a hut-style restaurant, providing craft workshops as well as Ayurvedic wellness therapies,” an official said.

While there is no recent data on the exact number of migrants from Uttar Pradesh, the UP government had estimated a movement of about 40 lakh migrant workers returning to the state during the Covid-19 pandemic. Further, Uttar Pradesh claims to have the largest number of households that depend on farming and agriculture.

Financial Offer For Farmstays

Project Investment Capital Subsidy
Up to Rs 10 cr 25% or Rs 2 cr max
Up to Rs 50 cr 20% or Rs 7.5 cr max
Up to Rs 200 cr 15% or Rs 20 cr max
Up to Rs 500 cr 10% or Rs 25 cr max
Above Rs 500 cr 10% or Rs 40 cr max

Interest Subsidy: 5% rebate on loans up to Rs 5 cr, maximum Rs 25 lakh per year for 5 years

Additional Subsidy: Extra 5% for women, SC/ST/OBCs entrepreneurs with 30% overall ceiling

100% exemptions offered on stamp duty, land conversion fees, and development charges

Employment Incentives: EPF reimbursement for employers hiring 50+ locals

Additional ₹1,500/month per differently-abled staffer for a maximum 5 workers

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