This paper analyses the supply of rural tourism. The analysis is framed into three main sections: firstly, an overview examines the supply of rural tourism at a European level. Secondly, the main legislative actions engaged by the Italian region of Sardinia in regulating the supply of agrotourism are presented. Thirdly, a life cycle analysis is undertaken in terms of trend factors of Sardinian agrotourism within a sample period from 1986 up to 2003. An econometric analysis has identified a heterogeneous trend for each of the four Sardinian provinces. Evidence is found of signs of a consolidation stage. Moreover, regional regulatory laws for agrotourism have had a significant impact in the evolution and dynamics of this type of rural tourism supply. On the basis of the economic results obtained suggestions are given to the private sector and policy maker.