An economic analysis of groundwater markets and water use efficiency in hard rock area of Hosur union Krishnagiri district of Tamil Nadu
Article Main
Abstract
Groundwater selling is a guarantee against deficiency rains in areas where farmers do not have access to surface water irrigation. Therefore, examination of groundwater market development and the efficiency of groundwater use under different water regimes needs to be studied. The objective of the study was (a) to analyse the structure and contact of groundwater markets and (b) to estimate the cost of ground water extraction and selling price in Hosur and Kaveripatinam taluks of Krishnagiri district, Tamil Nadu. Based on the Primary survey, water structures were analysed using simple statistics and measured efficiency by Data Envelopment Analysis. The groundwater market structure demonstrated that the number of irrigation water buyers grows as the size of the farm decreases, while the number of irrigation water sellers grows as the size of the farm increases. The efficiency of groundwater use is estimated by data envelop analysis. According to the data, in a sample of groundwater markets, the seller-buyer concentration ratio was 1:1.13. The cropping intensity and irrigation intensity were highest (89.13 and 93.19 %, respectively) for the self-user+seller category. The selling price of groundwater (Rs. 50 per tank) was marginally higher than the total cost of water extraction (Rs. 28.27 per tank), thereby implying the exploitative nature of groundwater markets. According to findings on input consumption and landholdings, water buyers are resource-strapped farmers who are unlikely to be able to afford the large investments required to install a well.
Article Details
Article Details
Cost of water, Data envelope analysis, Ground water extraction, Water markets, Water use efficiency
Bach, L. T., Tamsitt, V., Gower, J., Hurd, C. L., Raven, J. A. & Boyd, P. W. (2021). Testing the climate intervention potential of ocean afforestation using the Great Atlantic Sargassum Belt. Nature Communications, 12(1), 1-10. https://doi.org/10.1038/s41467-021-22837-2.
Baig, I.A., M. Ashfaq & R. Afzal (2021). Groundwater markets in the Indus Basin Irrigation System, Pakistan. In Water Markets. Edward Elgar Publishing.
Bjornlund, H. & McKay, J. (2002). Aspects of water markets for developing countries: experiences from Australia, Chile, and the US. Environment and Development Economics, 7(4), 769-795. https://doi.org/10.1017/S1355770X02000463.
Bruno S. M., Daly, M. & Dessai, S. (2018). Assessing the value of seasonal climate forecasts for decision-making. Wiley Interdisciplinary Reviews: Climate Change, 9(4), e523. DOI: 10.1002/wcc.523.
Coelli, T. J., Rao, D. S. P., O'Donnell, C. J. & Battese, G. E. (2005). An introduction to efficiency and productivity analysis. Springer Science & Business Media
Debaere, P. & Kapral, A. (2021). The potential of the private sector in combating water scarcity: The economics. Water Security, 13, 100090. https://doi.org/10.1016/j.wasec.2021.100090.
Fujitha, K., & F. Hossain. (1995). Role of the groundwater market in agricultural development and income distribution: a case study in a northwest Bangladesh village. The Developing Economies 33 (4):460-463.
Grafton, R. Q., Hilborn, R., Squires, D., Williams, M. & Tait, M. (Eds.). (2010). Handbook of marine fisheries conservation and management. OUP USA.1-67.
Manjunatha, S., M. Dalwai, and R. Sukhaye (2016). A Remote Sensing and GIS based evaluation of groundwater prospects of Karanja river basin, Bidar district, Karnataka, India. Internationational Journal of Geomatics and Geosciences, 6 (4),1782-1795.
Palomo H. S., Gómez L. J. A. & Riesgo, L. (2015). Water markets in Spain: Performance and challenges. Water, 7(2),652-678. https://doi.org/10.1016/j.wasec.2021.100090.
Phillips, K.R & J. Teng (2020). Groundwater Markets Slowly Evolve in Ever-Thirstier Texas." Southwest Economy (First Quarter).
Raina, A., Y. Gurung & B. Suwal. 2020. Equity impacts of informal private water markets: case of Kathmandu Valley. Water Policy 22 (S1), 189-204.
Razzaq, A., Qing, P., Abid, M., Anwar, M. & Javed, I. (2019). Can the informal groundwater markets improve water use efficiency and equity? Evidence from a semi-arid region of Pakistan. Science of The Total Environment, 666, 849-857. https://doi.org/10.1016/j.scitotenv.2019.02.266
Saleth, R. M. (1998). Water markets in India: Economic and institutional aspects. In Markets for Water (pp. 187-205). Springer, Boston, MA.
Shah, T. & Raju, K. V. (1988) Groundwater Markets and Small Farmers Development. Economic and Political Weekly, 23(13), 23-28. https://www.jstor.org/stable/4378300.
Singh, V., G. Rajanna, V. Paramesha & P.K. Upadhyay (2022). Agricultural Water Footprint and Precision Management. Sustainable Agriculture Systems and Technologies: 251-266.
Singh, F. & Singh, B. (2006). Funds Management In: The Central Cooperative Banks Of Punjab-An Analysis Of Financial Margin. The IUP Journal of Bank Management, (3), 74-80.
Speelman, S., D’Haese, M., Buysse, J. & D’Haese, L. (2008). A measure for the efficiency of water use and its determinants, a case study of small-scale irrigation schemes in North-West Province, South Africa. Agricultural systems, 98(1), 31-39. https://doi.org/10.1016/j.agsy.2008.03.006.
Varady, R. G., Zuniga-Teran, A. A., Gerlak, A. K. & Megdal, S. B. (2016). Modes and approaches of groundwater governance: A survey of lessons learned from selected cases across the globe. Water, 8 (10), 417. https://doi.org/10.3390/w8100417.
Wang, X., Huang, K., Yu, Y., Hu, T. & Xu, Y. (2016). An input–output structural decomposition analysis of changes in sectoral water footprint in China. Ecological Indicators, 69, 26-34. https://doi.org/10.1016/j.ecolind.2016.03.029.
Wheeler, R. (2017). Agriculture for Space: People and Places Paving the Way. Open Agriculture: 2 (1), pp. 14-32.
Zuo, A., T. Sun, J. Wang & Q. Huang. 2021. Agricultural water markets in China: a case study of Zhangye City in Gansu province. In Water Markets. Edward Elgar Publishing.
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
This work is licensed under Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) © Author (s)
