Agro-ecotourism, a novel concept in the Indian tourism industry, is characterized by the collaborative engagement of the farming sector, tourism industry, and agricultural businesses, in conjunction with ecosystem services. This study was conducted in the Chikkamagaluru and Kodagu districts of Karnataka, employing purposive random sampling to select respondents. The research revealed that the annual income generated from agro-ecotourism (Rs. 18,72,820) surpassed that from agriculture (Rs. 8,21,667). The establishment cost of agro-ecotourism units was Rs. 32,55,440, with working costs amounting to Rs. 5,67,371 and fixed costs at Rs. 3,22,008. Despite this investment, the net returns amounted to Rs. 9,83,441, exceeding those from farming activities. The study underscores the significant contribution of agroecotourism initiatives in providing employment and additional income to rural communities through both forward and backward linkages. Strengthening these linkages is essential to mitigate rural youth migration.