Alfafar’s economy is strongly influenced by its agricultural roots, with rice farming being one of the most important traditional industries, thanks to the fertile land surrounding the Albufera lagoon. In addition to agriculture, the town has seen significant growth in the retail and service sectors, particularly with the development of large commercial zones like the Alfafar Shopping Park.
The town is also known for its artisanal craftsmanship, especially in products related to its agricultural past. Local businesses and markets often feature handcrafted items, adding a unique touch to the local economy. The proximity to Valencia has also fostered economic ties, with many residents commuting to the city for work, while the tourism sector continues to grow as visitors seek a quieter alternative to the bustling city.