Multifunctional Farms in Greece: Opportunities, Challenges, and Prospects for Sustainability ^†

Abstract

This study explores the opportunities, challenges, and sustainability prospects of multifunctional farms in Greece that have been officially certified by the state. Through qualitative field research involving semi-structured questionnaires with farm operators, the study examines general operational aspects, environmental practices, social engagement, cultural activities, digital presence, and perspectives on institutional frameworks and development potentials. Results indicate that multifunctional farms contribute to environmental sustainability, local identity, and rural–urban linkages through organic farming, circular resource use, educational programs, and cultural activities. At the same time, structural challenges—including bureaucratic hurdles, complex licensing, limited institutional support, and low digital capacity—restrict their potential. Participants emphasized the need for tailored regulations, networking, guidance, and marketing support. While the sample is small, reflecting a low response rate, the study provides rich, context-specific insights into multifunctional farm practices and highlights the necessity for flexible policies, digital capacity-building, and community-oriented strategies to enhance the socio-economic and environmental impact of these farms.

1. Introduction

The Greek countryside faces significant socio-economic and demographic challenges, including population decline, ageing, and the abandonment of agricultural activities. These trends, coupled with the deterioration of infrastructure and services such as transport and healthcare, highlight the urgent need for restructuring the rural economy and exploring new development models [1,2].

In this context, multifunctional farms—farms combining agricultural production with tourism, education, environmental stewardship, and social activities—are increasingly recognized as promising tools for rural revitalization and sustainability. These farms not only diversify income sources but also strengthen local social cohesion and contribute to environmental and cultural sustainability [3].

The recent FAO work highlights agritourism as a key driver for transforming agrifood systems towards sustainability by promoting rural development, preserving cultural heritage, and supporting biodiversity. It emphasizes agritourism’s role in enhancing economic, social, and environmental resilience through local entrepreneurship and stronger rural–urban linkages [4].

This study aims to examine the structure, functioning, and future prospects of multifunctional farms in Greece that have been officially recognized by the state. Through qualitative field research involving interviews and questionnaires with farm operators, it seeks to explore key issues such as licensing difficulties, economic viability, environmental practices, social engagement, cultural heritage promotion, and the use of digital technologies. The research also addresses institutional challenges and development opportunities for multifunctional farms within the broader framework of rural development policies [5,6]. By investigating these aspects, the study contributes to understanding how multifunctional farms can support sustainable rural economies and informs recommendations for enhancing institutional support and policy frameworks.

2. The Concept

Multifunctional agriculture refers to a model of agricultural activity that aims not only at food production but also encompasses additional functions, such as environmental protection, the preservation of rural heritage, and the provision of educational and recreational services. It represents an approach that promotes the sustainability of rural areas across the three pillars: economic, social, and environmental [7].

In practice, multifunctional farms are concrete applications of this multifunctional agriculture model, as they incorporate multiple activities beyond primary production. These farms contribute to the sustainable development of rural areas and to the strengthening of local society and the economy [5,6].

According to the existing legislative framework, a multifunctional farm is defined as an agricultural enterprise that includes, at a minimum, cultivable land, plant or animal capital, as well as facilities or capacities related to the provision of catering services, the implementation of educational activities, the demonstration and monitoring of the production process, or cottage-industry processing. The operation of such farms is based on the exploitation of local productive potentials. Their functions may include agritourism activities (such as hosting visitors and offering guided tours), processing of agricultural products (e.g., the preparation of foodstuffs), educational programs (targeted at schools), environmental actions (such as landscape and biodiversity protection), and social services (such as the inclusion of vulnerable groups).

3. Methodology

This study employs a qualitative research approach to examine the multifunctional farms certified by the Greek Ministry of Rural Development and Food. The research process began with a thorough review of Greek literature and relevant legislation, including a detailed analysis of Joint Ministerial Decision 390771/11-12-2024, which governs the certification and operation of multifunctional farms.

Data collection included accessing and analyzing the official Registry of multifunctional farms maintained by the Ministry of Rural Development and Food. The empirical material was collected through semi-structured qualitative questionnaires containing open-ended questions, administered to farm owners and operators during July–August 2025, in order to gain deeper insights into the practical functioning and challenges of these farms. Out of nine certified multifunctional farms (one of which had ceased operation), three participated in the survey. The low participation resulted from both the limited response and the small number of the certified farms, but allowed for detailed, context-specific information to be collected through semi-structured interviews, offering rich descriptive data. Although this small sample size restricts the generalizability of the findings, the data nonetheless provide meaningful evidence on the dynamics, challenges, and prospects of multifunctional farms in the Greek context.

The questionnaires covered general operational aspects, environmental practices, social engagement, cultural activities, digital presence, and perspectives on institutional frameworks and development potentials, allowing respondents to provide open-ended, descriptive answers. The collected qualitative data were subjected to thematic analysis to identify recurring patterns, as well as the potentials, barriers, challenges, and opportunities encountered by multifunctional farms.

Although the sample includes only three farms, the study is exploratory and aims to provide in-depth qualitative insights into the practices, challenges, and potentials of multifunctional farms. These preliminary findings serve as an initial step toward understanding multifunctional farm dynamics and highlight the need for further research with a larger sample.

4. Results

4.1. Participants’ Profile

The study participants represented a diverse demographic and professional background. In terms of age, respondents fell into groups over 30 with a gender distribution of two men and one woman. Educational attainment varied, including one with a high school diploma and two with higher education degrees from universities or technical institutes. Reported annual incomes varied.

Geographically, the farms were located in different geographical departments of Greece; Lefkada, Euboea, and Arcadia. Two of the participants resided permanently on their farms, while one lived off-site. Farm sizes also varied, ranging from smallholdings of 4–10 stremmas to larger properties exceeding 41 stremmas.

The multifunctional character of the farms was reflected in their activities, which included crop production, processing and cottage industry, agritourism, educational and training programs, catering and food services, and packaging. Permits and certifications secured by the participants covered a certificate of compliance with operational requirements; catering, small-scale industry, and agritourism unit operation.

Main sources of income derived from product sales, tourism, workshops, and educational programs. Some farms were further distinguished by their reliance on specialized markets, particularly olive oil, gastronomy, and experiential activities, which highlight the diverse strategies employed in generating revenue.

4.2. Farm Operations and Support

Respondents frequently emphasized the extensive bureaucratic hurdles encountered during the licensing process. These challenges were described as significant obstacles to the smooth establishment and operation of multifunctional farms.

Income was reported to derive from a mix of activities, including wholesale product sales, catering, farm visits, and experiential activities. Olive oil, educational seminars, and product sales were highlighted as important revenue streams. However, two of the farms noted that the multifunctional farm was not their primary source of livelihood, underscoring the supplementary rather than central role of farm income in household economies.

Two farms reported employing staff from the local area, with one relying on seasonal labor. The third farm operated solely through the work of its owner, reflecting the diverse labor structures underpinning multifunctional farming.

For two farms, participation in the LEADER program, which provided 60% co-funding, was crucial in enabling their integration into the multifunctional farm scheme. In one case, however, reliance on a bank loan created ongoing financial strain, highlighting both the importance and limitations of available funding mechanisms.

4.3. Sustainable Management of the Environment

The surveyed multifunctional farms demonstrated a strong commitment to sustainability and community engagement. Their activities included education and seminars on sustainability, climate change, and local heritage, which helped to foster environmental awareness among both visitors and local residents. Circular economy practices were also emphasized, such as the use of local resources, composting, and the preservation of traditional seed varieties to maintain biodiversity. School visits, community events, and experiential activities further contributed to raising awareness and building connections between rural areas and wider society. Additionally, farms provided open spaces for the community, serving as sites where local traditions and intangible cultural heritage could be safeguarded and experienced.

Environmentally friendly practices were consistently reported. Farms highlighted reduced chemical inputs, with some adopting strictly organic cultivation and avoiding the use of chemical substances altogether. Water recycling and efficient irrigation methods were also applied, alongside composting to minimize waste. Several respondents pointed to resource efficiency and the use of renewable energy as part of their broader commitment to sustainable management.

4.4. Social Engagement of Multifunctional Farms

The participating farms reported frequent engagement with social activities, particularly through educational initiatives. School visits were organized on a regular basis, often with free entry, while Open Farm Days provided the wider public with free access to the farms’ spaces. Respondents emphasized their own willingness to participate in such activities, but noted limited involvement or support from local authorities, which they perceived as insufficiently recognizing the value of multifunctional farms.

A diverse range of initiatives was undertaken to foster community interaction and cultural enrichment. These included theater performances, cultural events, cooking workshops, and experiential learning activities. In addition, farms hosted astronomy nights as well as science and chemistry workshops for both children and adults, offering hands-on experiences that connect education with leisure. Collaborations with local schools further reinforced these efforts, highlighting the role of multifunctional farms as active contributors to community life and social cohesion.

4.5. Cultural Heritage and Digital Presence of Multifunctional Farms

The surveyed farms actively contributed to the preservation and promotion of local cultural heritage. Initiatives included olive oil knowledge workshops (Elaignosies), cooking classes, and gastronomy events, which highlighted traditional practices and local products. Additional activities such as tasting sessions and cultural videos showcasing the region further emphasized the role of multifunctional farms in sustaining and communicating intangible cultural traditions.

Respondents reported the use of websites, Facebook, and online shops as tools to promote and sell their products and services. While these digital channels generated positive results, the overall impact was described as limited due to a lack of digital expertise. Although farm operators expressed general satisfaction with the current use of digital tools, they also acknowledged that enhanced outreach and improved digital skills could significantly expand their visibility, market access, and engagement with broader audiences.

4.6. Proposals and Development Potentials of Multifunctional Farms

These practices collectively indicate moderate to strong environmental and social sustainability, despite economic fragility. Respondents highlighted the need for more flexible and farm-specific regulations, with requirements adjusted according to farm size and use. They emphasized the importance of reducing taxation, minimizing bureaucratic hurdles, and simplifying licensing procedures. Beyond regulatory reforms, participants proposed the creation of a strong support network to address current gaps, including structured guidance, marketing assistance, opportunities for networking, and joint promotional campaigns.

When addressing prospects for future development, the majority of farms reported no intention of further expansion at the present stage, prioritizing stability over growth. In contrast, one farm indicated potential plans to diversify by incorporating animal husbandry, highlighting a differentiated strategic orientation. This divergence illustrates the heterogeneity of multifunctional farm operators in terms of developmental trajectories and personal objectives.

5. Discussion

The findings highlight the potential, challenges, and opportunities/needs associated with multifunctional farms.

5.1. Potential

Multifunctional farms emerge as important actors in advancing environmental sustainability, community engagement, and the safeguarding of cultural heritage. Their activities encompass the promotion of local products, engagement with traditional customs, and food-tasting experiences, while integrating organic farming practices and circular resource use [8,9], but also extends beyond primary production to educational initiatives, and cultural activities [10]. By opening their spaces to schools and local communities, they provide platforms for experiential learning, foster environmental awareness, and reinforce rural–urban linkages.

At the same time, the results reveal heterogeneity in development trajectories. Some farms demonstrate growth-oriented strategies, for instance by considering expansion into new activities, whereas others prioritize stability and lifestyle rather than economic enlargement. This diversity underscores the differentiated roles that multifunctional farms can play in rural development, suggesting that they should not be treated as a homogeneous category [11]. Although the sample is admittedly small, the observed variation highlights the importance of further empirical research to better capture the spectrum of multifunctional farming pathways.

5.2. Challenges

The study highlights several structural and operational challenges faced by multifunctional farms. Bureaucratic obstacles, unclear certification procedures, and limited guidance were frequently reported as significant impediments to farm operations. Ministries were often insufficiently coordinated, resulting in constrained support regarding taxation, regulatory compliance, and access to funding programs. The absence of advisory services compelled farm managers to navigate complex issues independently, while inadequate promotion limited both community engagement and commercial potential. Collectively, these factors create an environment in which farms must operate with limited institutional support, potentially restricting their capacity to fully realize multifunctional objectives [12].

5.3. Opportunities and Needs

The findings underline the importance of farmer agency in sustaining multifunctional practices despite institutional constraints. Respondents identified multiple avenues to enhance the performance and sustainability of multifunctional farms. Key among these was the simplification of the licensing process and the establishment of a more flexible, farm-specific institutional framework. The expressed demand for networking, guidance, and marketing support underscores the relative isolation of these farms and suggests that collective structures could improve knowledge exchange, market visibility, and community integration. Furthermore, the provision of structured support, coupled with awareness campaigns, was seen as a mechanism to strengthen both the operational capacity and societal impact of multifunctional farms. These findings point to a set of targeted policy interventions that could facilitate farm development while respecting their diverse objectives and operational contexts [6,13].

6. Conclusions

Multifunctional farms have the potential to play a pivotal role in promoting environmental sustainability, preserving cultural heritage, and fostering community engagement [7,13,14]. By integrating agricultural, educational, environmental, and touristic functions, these farms contribute positively to the rural economy and society, supporting the diversification and revitalization of rural life in Greece. Educational programs, cultural workshops, and experiential activities further strengthen local identity while raising awareness among visitors.

Although the institutional framework for recognizing multifunctional farms is now established, the limited number of officially recognized farms and the challenges reported by practitioners indicate a need for enhanced institutional support and facilitation. Significant institutional and policy barriers remain, particularly concerning bureaucracy, taxation, and rigid licensing procedures. Tailored regulations and supportive frameworks are therefore essential to enable farm operations and fully realize the potential of multifunctional farming as a driver of sustainable rural development. Policy interventions should focus less on uniform growth targets and more on enabling diverse multifunctional trajectories.

Development trajectories among multifunctional farms are diverse, highlighting the need for flexible and adaptable policy approaches that accommodate varying objectives and operational scales. Digitalization represents an underutilized opportunity; enhancing digital skills and improving online visibility could expand market reach and strengthen community engagement. Networking and guidance are equally critical, as stronger farm networks, marketing support, and knowledge-sharing platforms could improve sustainability, resilience, and socio-economic impact. Finally, further research and sustained policy dialogue are necessary to evaluate the long-term viability of multifunctional farms and to ensure their alignment with broader rural development strategies.

Overall, multifunctional farms exhibit substantial potential to contribute to sustainable rural development. However, fully realizing this potential requires enhanced institutional support, targeted digital capacity-building, and the implementation of community-oriented strategies that strengthen local engagement, market access, and socio-economic resilience.

It should be noted that the findings are based on a very limited number of participants, reflecting the low response rate from the contacted farms. While this small sample restricts the generalizability of the results, it allowed for in-depth, context-specific insights into the practices, challenges, and opportunities of multifunctional farms. These preliminary observations provide an initial understanding and underscore the need for further research with a larger and more diverse sample to validate and expand upon the findings.