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?