Virtual water trade alaa el sadekPresentation Transcript
Virtual Water in WANA Dr. Alaa El-Sadek Arabian Gulf University 217 1 egg 255 1 kg potato 909 1 kg maize 1334 1 kg wheat 2291 1 kg rice 3046 1 kg chicken 15497 1 kg beef
Sustainable development of water resources in WANA region faces a number of challenges:
- Rapid population growth
Water management among different institutions
Cost recovery of water resources services
CHALLENGES IN THE WATER SECTOR
Virtual water ?
The "virtual water" content of a product is the volume of water used to produce the product:
Measured at the place where the product was actually produced (production site specific definition).
Estimated in the place where the product is consumed (consumption site specific definition).
Approximately, Virtual Water trade among countries amounts some 15% of the total water use on earth, including rained agriculture.
For example, about 1350 liters of water is needed to produce one kilogram of wheat. However, about ten times as much is needed for producing one kilogram of meat.
Trade in cereals and other crops as virtual water amounts in average to some 64% of total virtual water trade, while animal products amounts to about 25%, and other about 11%.
Consider All Options
The research concern is with the possibility of using the concept of “Virtual Water Trade” as a planning tool and to present issues that need to be tackled before considering virtual water trade as a policy option.
This research is concerned with investigating the water and food situation in WANA. The investigation includes outlining water and food security facts and figures, as well as policy measures undertaken to meet the challenges.
Virtual water import The role of virtual water in compensating water scarcity Source: El-Sadek & Hummoda, 2007; Yang & Zehnder, 2002 Cereal Oil Sugar Veg. Fruit Sum of the Net virtual water COUNTRY import import import export export country import as a percentage of water resources Algeria 7540 2418 1276 -10 -99 11342 79.21 Egypt 10049 2840 1006 124 44 13727 24.73 Jordan 1250 326 248 120 -18 1722 195.69 Lebanon 834 274 188 -18 48 1266 28.73 Libya 2214 729 248 -138 -13 3343 557.09 Morocco 3945 1935 695 109 121 6344 21.88 Syria -315 553 809 76 28 943 3.59 Tunisia 3486 1019 411 60 12 4845 96.91
Virtual water trade?
Economic issue of comparative advantage:
it is wise to have trade of water-intensive products from water-rich to water-poor countries.
The issue is focused on optimizing the ongoing trade for the benefit of the trading states.
Virtual Water Trade Oki et al. 2003
Water and Food Security for the poor: can trade make any difference?
YES in an “ideal system”
trade is a WIN-WIN solution based on comparative advantages
Quantity & productivity increase
Quality of diet increases
Water savings: dry countries - Global
Which countries should benefit from virtual water trade?
Can water poor nations benefit from the element of choice (i.e. can they choose what and who to trade with)?
As long as trade is at stake, how can developing countries benefit from virtual water trade when their trade infrastructure is not up to the required standards?
VWT: Skepticism in WANA
Factors Determining the Virtual Water Trade Social justice and equality Water scarcity Politics International relations Economics VWT as a Policy Option
Virtual water import can play and has played an important role in compensating for water scarcity at country and regional levels.
The virtual water strategy concerns integrated measures at global, national and local levels.
However, understanding of the virtual water trade concept and strategy is important for formulating informed policies for improving water use efficiency at different levels.
The introduction of virtual water concept as a policy option in WANA is still in need for extensive investigations, research, and feasibility evaluation.
WANA depends more and more on new technologies and policies that support the implementation of the integrated water resources management concept.
VWT as a Policy Option
Food imports are ongoing and important for compensating water resource needs in WANA.
It is important to study the sources of skepticism related to political, economic, and socio-cultural dimensions of the virtual water trade before introducing it as a policy option.
Many changes are needed for adapting to the current water situation.
For WANA region, it is not the problem of applying the virtual water concept, but more the problem of independency related to food security.
In order to adopt the application of virtual water concept in the national water resources strategy, there is a need for a clear vision and understanding according to the WANA conditions.
There are many other aspects in the balance equation of virtual water concept that limit its applicability in WANA. These aspects need to be subject to extensive research investigation, and analysis.
Although import of virtual water trade will relive the pressure on the national water resources, including this new concept as a policy option in WANA requires further research and through understanding of the impacts and interactions on the local social, economic, environmental, cultural, natural, and political situation.