Watering the future: The economics of sustainable irrigation

A new study shines a light on the often-overlooked economic challenges of sustainable irrigation in smallholder agriculture.

Sustainable irrigation is often promoted as a silver bullet for feeding a growing population while protecting our planet. But what does it cost? A recent study published in Environmental Research Letters by a team of experts from the International Rice Research Institute (IRRI), Wageningen University, Cornell University, and the International Food Policy Research Institute sheds much-needed light on the economic complexities of this critical issue.

Led by Anton Urfels, scientist at IRRI, the study reveals a stark reality: farmers often bear a heavy financial burden to access the water they need to grow crops. These operation costs can range from a few dollars to over $200 per season while infrastructure costs can vary from $200 to more than $200m. Surprisingly, these operational expenses shouldered by smallholder farmers are frequently overlooked when we talk about sustainable irrigation.

While technological advancements in irrigation are crucial, the study emphasizes that they are not enough. Sustainable irrigation requires a holistic approach that addresses economic, social, and environmental factors. For example, government policies, such as subsidies for groundwater pumping, can have unintended consequences, leading to water scarcity and environmental degradation.

The study delves into specific case studies from across Asia, highlighting the diverse challenges faced by farmers. In northwest India, groundwater depletion is a major concern due to subsidized electricity for pumps. In the Eastern Gangetic Plains, farmers rely heavily on diesel pumps due to unreliable electricity, leading to high operating costs. And in the Philippines and Indonesia, a mix of diesel and electrically powered pumps are used to move water from canals and groundwater irrigation systems that can impacts equity, sustainability, and production.

To address these challenges, the study proposes a comprehensive research and policy agenda. Key areas of focus include:

• Improving data collection: Better data on water use, delivery systems, and costs is essential for understanding the full economic picture.
• Mapping irrigation economics: Detailed analysis of the economic impact of irrigation on farmers' livelihoods is needed to inform effective policies.
• Supporting sustainability transitions: This involves working closely with farmers and policymakers to develop strategies for adopting sustainable practices.

Sustainable irrigation is undoubtedly crucial for a food-secure and climate-resilient future. However, the economic realities faced by farmers cannot be ignored and will be instrumental for delivering on other food systems outcomes. By investing in research, data collection, and supportive policies, we can create a more equitable and sustainable food system for all.

Read the full article: Urfels, A., et al. (2024). Economics of sustainable irrigation in smallholder agriculture: implications for food security and climate action. Environmental Research Letters, 19(8), 081008. 10.1088/1748-9326/ad6201

The study is supported by the CGIAR Initiatives on Asian Mega-Deltas, Excellence in Agronomy, and NEXUS Gains, and Cereal Systems Initiative for South Asia.