Tulip Digest 11 December 2024: A Global Look at Water Use Efficiency

Water is the backbone of agricultural production, playing a vital role in crop growth, livestock health, and overall food security. Its availability and efficient use are essential for sustaining agricultural productivity, which in turn affects the livelihoods of millions of people worldwide.

Water Use Efficiency (WUE), measured as the economic value generated per cubic meter of water used, is a critical indicator of sustainable resource management, especially within agriculture. In 2021, global value added per m3 reached a value of 20.77 USD. However, this global average masks stark regional disparities, reflecting the diverse agricultural practices employed across continents. From the rain-fed systems prevalent in parts of Africa to the large scale, irrigated farming of North America and Asia each presenting unique challenges and opportunities on water use efficiency.

Europe

Leading the charge in water use efficiency, Europe boasts an average 64.33 USD of value added per m3 in 2021, with countries like Luxembourg reaching an astonishing 1189.98 USD/m3. This showcases the continent’s success in decoupling economic growth from water consumption, primarily driven by high-value service and manufacturing sectors. The data shows a clear example of advanced economies leveraging technology and policy to maximize output while minimizing water reliance.

Asia

Demonstrating remarkable progress, Asia displays significant growth, particularly in Central, Southern, Eastern, and South-eastern regions. Eastern Asia reached 35.10 USD/m3 in 2021, driven by China’s impressive climb to 31.21 USD/m3 in 2021. These are encouraging signs of decoupling economic growth from increased water usage. There is still much room for improvement in Southern Asia where the average is only 3.22 USD/m3. The continent's diverse economic landscape presents unique opportunities for further advancement.

North America

With a value added per m3 of 45.88 USD in 2021, North America's progress is steady, though variations exist between countries. This region demonstrates a solid base for further enhancements, especially with the utilization of advanced technologies and best practices in water management.

Oceania

This region presents a mixed picture. While some countries demonstrate high value added by water, it's important to distinguish between Australia and New Zealand which show 69.17 USD/m3 in 2021 and other regions of Oceania (excluding Australia and New Zealand) with a 78.33 USD of value added per m3 in 2021. The variability across the region indicates that strategies must be adapted to specific economic and environmental contexts.

Africa

Sub-Saharan Africa's average value added stands at 13.45 USD/m3 in 2021, with stark differences between countries. While agriculture dominates water usage, some economies with mineral extraction sectors are showing high sectoral value added figures. This presents an opportunity for governments to improve value added from water.

South America

Experiencing a decrease in overall value added per m3 between 2015 and 2021, this region shows a need for innovative strategies to manage water resources more effectively. With a WUE of 12.53 USD/m3 in 2021, the region is ripe for targeted policy interventions.

Source:

https://data.apps.fao.org/aquamaps/