Virtual Water

(Originally posted on waterefficiency.net)

By Elizabeth Cutright
Editor
Water Efficiency

Discussing imbedded water costs and the influence of free trade and a global economy -
Let’s talk about “virtual water.” Defined as “imbedded water costs,” the idea behind virtual water is that any product – be it food or commercial goods” – requires a certain amount of water to be produced. Once a water scarce region identifies goods that come with a high virtual water cost, they can develop regional partnerships with their neighbors, who can produce the same item without the same strain on their own water resources.
The concept of virtual water has found its niche in the area of global trade. According to recent studies, 800 billion gallons of virtual water are traded each year. Most of that trade revolves around food and other farm products. And the potential impacts are dramatic – it takes 1,000 liters of water to make 1 kilogram of wheat, and a country able to import, rather than grow this crop itself, frees up water for other, more pressing needs. For countries with scarce water resources, virtual water allows a switch from an ag-heavy water use system to water-based sanitation services and drinking water.
For countries who are not in dire straights yet – like the United States – virtual water provides data that can be used for future planning. For example, according to Maude Barlow – Canadian water activist and senior advisor to the UN on water issues – the US is currently exporting a third of its water through the export of goods. (By contrast, both England and Japan import most of their virtual water.)
Does a third seem too high? With devastating droughts on the rise and a continuing struggle between urban and agricultural demand, should the US move toward a more balanced virtual water portfolio?