Quantifying the economic value of Isfahan agricultural water sources with the approach of modifying the cultivation pattern and based on virtual water

Document Type : Research Paper

Authors

1 Department of Irrigation & Reclamation Engineering, University of Tehran, Karaj, Iran

2 Department of Renewable Energies and Sustainable Resources Engineering, University of Tehran, Tehran, Iran

3 Department of Water Science and Engineering, Faculty of Agriculture, Ferdowsi University of Mashhad, Mashhad, Iran.

4 Department of Irrigation & Reclamation Engineering, University of Tehran, Karaj, Iran.

Abstract

It is necessary to use the correct methods of water economic valuation. Proper use of the virtual water concept and the crop pattern can play a significant role in increasing water productivity and sustainable development.
In this paper, the economic value of agricultural water, once without considering virtual water and once again with virtual water for four crops including wheat, barley, alfalfa and fodder maize was calculated, using a native-exclusive mathematical model, in Isfahan province, counties of Shahinshahr-Meymeh and Borkhar, Iran. Three weighting methods based on cultivated area, volume of net water consumption and product income were considered for water valuation. The input data for the mathematical model includes crop parameters, meteorological data, the amount of water consumed for each plant and the amount of expenses and incomes from each product for the crop year 2020-2021.
The obtained results showed that by all the three weighting methods and in the both studied areas, the economic value of agricultural water increased by considering the virtual water of crops and changing the crop pattern accordingly; the water economic value by three weighting methods based on cultivated area, the amount of water consumed, and crop income increased by 22%, 44%, and 23% in Shahinshahr-Meymeh county and by 17%, 15%, and 15% in Borkhar county, respectively. This research showed that considering virtual water and changing the crop pattern accordingly can increase the economic value of water, reduce water consumption and help achieve sustainable development.

Keywords

Main Subjects

Extended Abstract

Objective

Considering the water scarcity in Iran and the fact that two-third of Iran’s climate is arid and semi-arid, it seems to be necessary to use the correct methods of water economic valuation. Proper use of the virtual water concept—the total amount of water used in produce a product from the beginning to the end of the production process—and the crop pattern can play a significant role in increasing water productivity and sustainable development. This paper investigates one of the economic value calculation method for agricultural water in two Isfahan counties and examines if there’s a way to increase the profitability and use agricultural water more efficiently in the studied regions.

 

Materials and methods

In this article, the economic value of agricultural water, once without considering virtual water and once again with considering virtual water for four crops, i.e., wheat, barley, alfalfa and fodder maize was calculated using a native-exclusive mathematical model in Isfahan counties of Shahinshahr-Meymeh and Borkhar, Iran. Three weighting methods based on cultivated area, volume of net water consumption and product income were considered for water valuation. The input data for the mathematical model includes crop parameters (irrigation water requirement, yield and growth season), meteorological data (air temperature, precipitation, solar radiation, wind speed and relative humidity), the amount of water consumed for each plant and the amount of expenses and incomes from each product for the crop year 2020-2021.

 

Results

The obtained results showed that by all the three weighting methods and in the both studied areas, the economic value of agricultural water increased by considering the virtual water of crops and changing the crop pattern accordingly. Sparing Wheat and barley for their strategic nature, alfalfa had the lowest profitability in both Shahinshahr-Meymeh and Borkhar counties (0.29 and 0.25, respectively). Fodder maize was the most profitable crop in both Shahinshahr-Meymeh and Borkhar counties, with the profitability being 1.75 and 1.68, respectively. The water economic value by three weighting methods based on cultivated area, the amount of water consumed, and crop income increased by 22%, 44%, and 23% in Shahinshahr-Meymeh county and by 17%, 15%, and 15% in Borkhar county, respectively.

 

Conclusion

There are multiple methods for economic value calculation. In this paper, the economic value of agricultural water was calculated using the crop price, crop yield and the crop water sensitivity. This concept yielded negative profitability for 3 out of 4 crop in both regions. This research showed that by removing the least profitable crop (alfalfa) and planting the most profitable crop (fodder maize) in the freed area, i.e., changing the crop pattern using the virtual water concept. the economic value of water increases significantly (> 5%). The results of this study can be employed in agricultural planning in Shahinshahr-Meymeh and Borkhar counties and eventually increase water productivity in the studied regions.

References

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Iranian Journal of Agricultural Economics and Development Research
Volume 54, Issue 3
September 2023
Pages 575-592

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