Oñate’s economy has traditionally been driven by agriculture and small-scale manufacturing, though in recent decades, tourism has become an increasingly important sector. The town is well-known for its production of high-quality dairy products, especially Idiazabal cheese, a renowned Basque cheese made from the milk of local sheep. This agricultural heritage is still an important part of the local economy, with many family-run farms contributing to the town’s supply of artisanal goods.
Additionally, Oñate is home to several small- and medium-sized enterprises in the industrial sector, particularly in metalworking and machinery production. These industries provide employment for a significant portion of the local population and contribute to the town’s economic stability. The region also fosters a thriving craft industry, with local artisans producing handmade goods that reflect Basque traditions and skills.
Tourism, however, remains the most visible economic driver, with visitors attracted to the town’s natural beauty, cultural heritage, and outdoor activities. This sector is supported by a growing number of boutique hotels, rural guesthouses, and local tour operators who help visitors experience the best of what Oñate has to offer.