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The Value of Irrigation Water in World Agriculture

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  • Fuglie, Keith

Abstract

Conclusions • Producer surplus method (change in land rents due to irrigation provision) is a conceptually sound and practicable way of estimating shadow values of irrigation water • Shadow prices of water are location specific – more precise local data will yield more precise estimates • Growth in agricultural TFP raises the shadow price of irrigation water – Over 1987-2017, global average shadow price per 1000 m3 of irrigation water increased from $17 to $48 (at constant 2015 prices) – Total value of irrigation water in world agriculture = $140 billion circa 2017

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  • Fuglie, Keith, 2023. "The Value of Irrigation Water in World Agriculture," Miscellaneous Publications 361277, United States Department of Agriculture, Economic Research Service.
  • Handle: RePEc:ags:uersmp:361277
    DOI: 10.22004/ag.econ.361277
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