Should we mourn the demise of folk music?

I am a city kid. Born, brought up in a city. Nowadays I get to hear a lot of positives of rapid urbanization of our lands. New, fancy buildings, cosmopolitan cultures, and heaps of aspirations.

But one thing that I feel is being let down is our music. And the style and uniqueness of our music. In earlier times, every region had it's own dialects and hence its own unique music. You had people holding whatever they could gather, and prepare songs and all, almost spontaneously. Someone would get a dholak,another one would get hold of a harmonium and just like that, a band would be formed. We now call it, folk music. And it is almost dead.

Now we have guitars in over priced coffee shops in large cities, and someone waiting to become center of attention would be singing an already popular song. All this, with little annoyance to the other clients of the same joint. Since we already have forgotten our own cultures and our own languages running so fast in this mega affair called life, our songs and their quality is now almost extinct.

True, we should praise, appreciate and enjoy music of the universe.
But does that also mean that we should do that at the cost of our own very music?
Richness of which, has been derived from our own soil and water?