Tourism development has, for many areas, become an important means to mitigate impacts from rural restructuring and out migration. At the same time, tourism is an additional stress factor on local infrastructures, environments and water resources. The peak season for both farming and coastal tourism often coincide with the dry summer season. As a result, since both farming and tourism have a high demand for freshwater consumption, water scarcity and related issues has become an increasingly pressing matter (Gössling 2001; Gössling Et al, 2012; Cole 2014). This is especially evident for many coastal and island destinations where freshwater demand and water consumption accelerate. The increasing demand is in part a result of increasing volumes of incoming tourists, cattle livestock changes as well as the 20th century wetland reductions to feed the need of larger areas of farmland. The capacity to cope with low amounts of precipitation for periods of continuous years becomes increasingly challenging. This paper examines the awareness of water scarcity among tourism and farming businesses in Öland and Gotland, as well as measures taken to mitigate of impacts and freshwater use. Focus group interviews as well as surveys have been conducted among tourism and farming businesses and stakeholders in Öland and Gotland. The results show significant differences between tourism- and farming stakeholders regarding perception of causes and effects of water scarcity. Variation in responses is also seen in water management issues as well as matters of responsibility and solutions. There is also a difference between tourism- and farming businesses regarding mitigation and the actions and measures taken to secure freshwater their access or reduce freshwater abstraction.