Hidden Water

This morning, Sri Suki Sivam delivered another insightful talk on the issue of “hidden water”—the vast amounts of water we often overlook in the production and manufacturing processes. Citing both Indian and international experts, he warned about the significant loss of water being exported out of the country through our exports. For instance, producing just one egg requires approximately 160 liters of water. If we consider the minimum government price of water at Rs. 10 per liter, the water cost alone for producing one egg amounts to Rs. 1,600, while we sell it for just Rs. 3. The same is true for many other products, from cars to jeans.

Sivam highlighted that some countries, like China and Israel, have recognized this issue and restricted the production of certain water-intensive goods, opting instead to import them. For example, China has reduced pig farming, which consumes a lot of water, and now imports pork. Israel has stopped growing oranges due to the high water consumption required for their production. Sivam cautioned against allowing foreign companies to establish large factories in India that deplete our water resources.

There is certainly truth in his warning, and it’s a matter we must take seriously. However, the challenge remains: how will we generate the foreign exchange necessary to import essential commodities like crude oil, needed to produce petrol and diesel, without which our economy would come to a halt? Agriculture is still predominant in India, and exporting manufacturing goods requires the use of water. Moreover, to provide employment to the growing number of graduates entering the workforce each year, we need industries—industries that, again, require water.

Many Western countries preserve their natural resources by outsourcing manufacturing to Third World countries, making large investments in return for cheaper labor. This is true, and exploitation is certainly a factor, but these nations, too, are driven by the need to survive and keep their economies afloat. While the long-term sustainability of natural resources, particularly water, is a valid concern, simply halting economic activities for future preservation is not a feasible option. For instance, if Middle Eastern countries were to stop exporting oil to conserve their resources, their economies would struggle to find alternatives.

Of course, like Israel and China, we must re-evaluate our economic practices with water conservation in mind. However, influential speakers like Sivam, who shape public opinion, should also present the broader picture. An experienced economist can analyze the balance between “need” and “exploitation” in a way that a popular speaker may not. This doesn’t mean that speakers like Sivam should avoid such topics, but offering only one side of the argument without discussing the nuances won’t lead to viable solutions. Warnings, without a thorough analysis of all aspects, can end up being mere threats.

In hindsight, if we Indians used water more responsibly instead of wasting it, we could address critical issues in a more balanced and effective way, rather than focusing on a single approach.

Db. 

18-05-2014, Mathigiri.