Water Productivity in the Agricultural Sector

Water Resource Efficiency Workshop16 – 17 June 2011, EEA, Copenhagen

Maite M. Aldaya

Consultant, UNEPAssociate, WFN

Green water

► volume of rainwater stored in the soil

Blue water

► volume of fresh surface or groundwater

Producing more goods and services using less water…

Water efficiency

The accomplishment of a function, task, process, or result with the minimal amount of water feasible (m3/product units)

Water productivity

Ratio of the volume of benefit, i.e. output, service or satisfaction to the amount of water used in the production process (product units/m3)

The water footprint concept

► The WF is an indicator of water use that looks at both direct and indirect water use of a consumer or producer.

► Water use is measured in terms of:- water volumes consumed (evaporated or otherwise not returned)- polluted per unit of time

► Geographically explicit

► A WF can be calculated for:- process - product - consumer- group of consumers (e.g. municipality, province, state, nation) - producer (e.g. a public organization, private enterprise)

[Hoekstra et al., 2011]

Consumption

ExportP

rodu

ctio

n

Impo

rt

Internalwater

footprint

External water

footprint

WF of national

consumpt.

Water usefor export

Virtual water import for re-

export

Virtualwaterexport

+

+

=

=

WFwithinnation

Virtualwaterimport

++

= =

Virtual water

budget

+

+ =

=

National water accounting framework

Traditionalstatistics onwater use

(withdrawals)

Distinctive aspects:

Integration of hydrological, ecological and economic aspects

Socio-political and institutional drivers pending

Participation of the stakeholders-farmers. WIN-WIN solution

In Spain the policy of ‘more crops and jobs per drop’ has to change to

‘more cash and care of nature per drop’ Is this feasible?

Water footprint of Spain

Water footprint of Spain

96%

4%Agricultural

Urban

Industrial

99%

1%

84%

9%

7%

Water footprint of Spain (46 Km3) (2004)

External WF (in other countries)

Internal WF (inside Spain)

33 Km3 (72%)

13 Km3 (28%)

Source: based on Garrido et al. (2010)

Water productivity in agriculture (Spain)

Source: Garrido et al. (2010)

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

Cro

p w

ater

use

(M

illi

on

m3 )

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

Wat

er a

pp

aren

t p

rod

uct

ivit

y (€

/m3 )

Crop blue water useCrop green water use

Water apparent productivity

Water apparent productivity and blue and green water footprint of crop production in Spanish agriculture (2002)

Most blue water irrigation in Spain is used for low value crops:•10% of the blue water (mainly groundwater) produces 80% of the economic value of irrigated agriculture • 80% of the blue water produces low value crops

Source: Aldaya et al. (2008)

Total water use in agriculture by crop productivity range as percent of volume and value added (2001-2002)

Water productivity in agriculture (Spain)

Water footprint of Spain

• Livestock economic relevance has increased during the last decade;• Most livestock is exported (mainly pork) while grown with imported

fodder (virtual water);• Increased water dependency.

0

5000

10000

15000

20000

25000

30000

35000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Mil

lio

n m

3

France Brazil USA

Ukraine Argentina Portugal

Germany U.K Tunisia

Uganda Indonesia TOTAL

Crop-related virtual water imports by country of origin

Source: Garrido et al. (2010)

Food (virtual water) trade drivers

Virtual water trade mitigates drought cycles (acts as a counter-cyclical effect)

Virtual water trade is mainly a consequence of agricultural (crop and livestock) policies:

boosts water and land productivity

favours specialisation and efficiency

permits more efficient use of available green water

Enables a closer connection of water uses in the basin with global water use

Decoupling economic growth from water use

Water footprint and virtual water trade per gross domestic product

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

10.0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 Year

m3 /

cen

t €

Water footprint Virtual water exports

Total water use Virtual water imports

Net virtual water imports

Source: Garrido et al. (2010)

WF Guadiana river basin - green and blue (surface and groundwater) - related economic analysis

Spanish regulation (2008) requires including the WF analysis in the River Basin Management Plans according to the EU WFD.

Water footprint of Spain

0 50 100 150 20025 Km

PROVINCES

LOWER GUADIANAFORMER LOWER GUADIANA II OR TOP DOMAIN

UPPER GUADIANAMIDDLE GUADIANA

GREEN WATERBLUE SURFACE WATERBLUE GROUNDWATER

Source: Aldaya and Llamas (2008)

BADAJOZ

CÁCERESCUENCA

TOLEDO

SEVILLA

ALBACETE

CÓRDOBAHUELVA

CIUDAD REAL

UPPER GUADIANA

MIDDLE GUADIANA

LOWER GUADIANA

1286

93

835

905745

142

744334

21103

TOP DOMAIN

Incorporating the Water Footprint and Environmental Water Requirements into policy:

Reflections from Doñana Region (Spain)

Water footprint in Spain

(Aldaya et al., 2010)

Water footprint of Spain

Water footprint into policy

• Spain is the first country that has included a water footprint analysis into governmental policy making in the context of the EU Water Framework Directive (WFD) (2000/60/EC).

In 2008 the Spanish Government approved a regulation requiring the water footprint analysis for the development of the River Basin Management Plans according to the EU WFD (BOE, 2008).

• Recently Spanish regulation about sustainable tourism mentions the water footprint (Plan FuturE 2010) (BOE, 2010)

Conclusions

1. The WF is a good method for IWRM, but needs further refinements

2. The food (virtual water) trade is usually driven by comparative advantages. The relative scarcity of water may not be a relevant driver.

3. Socio-political factors in water management might be as important as the environmental and economic ones. An equilibrium between utilitarian and intangible values is necessary.

4. Spanish situation suggests that it is time to change (in industrialized and emerging countries) from a policy of ‘more crops per drop’ to a policy of ‘more cash and care of nature per drop’

Water footprint of Spain

Conclusions

Producing more goods and services…..

….with less water

.…with less impact

Conclusions

Water efficiency and productivity - Framework to inform and support decision-making- Inform water allocation decisions

- Awareness raising - Promote product transparency- Eco-efficiency (operational and supply chain)- Benchmarking

Challenges

- Database improvement (industrial blue water consumption)- Uncertainties (data used and accounts)- Communication (volumes and impacts)- Governance (good governance structure for implementation)

- Water-pricing policies (incentives for efficient water use, role CAP)

Thanks!

OBSERVATORIO DEL AGUAWATER OBSERVATORY