Work

Water constraint mitigation and agricultural productivity: Evidence from the China’s South-to-North Water Diversion Project

Year: 2025

Type: article

Abstract: Water scarcity is a critical constraint on agricultural productivity, particularly in northern China. The South-to-North Water Diversion (SNWD) project, launched in 2014, aims to alleviate this constraint by reallocating water resources across regions. This study evaluates the long-term impact of the SNWD project on regional Agricultural Total Factor Productivity (ATFP) by employing a two-step approach based on Data Envelopment Analysis (DEA) and a Difference-in-Differences (DID) framework. First, we construct a comprehensive efficiency indicator based on DEA methodology to measure ATFP. Second, we exploit the opening of the middle route of the SNWD project as a quasi-natural experiment and estimate its impact on ATFP through a DID model. The results show that the SNWD project has increased the ATFP in the traversed counties by 0.412 (13.55 %). Moreover, the SNWD project has a stronger effect on enhancing ATFP in counties with lower precipitation and non-rice-producing counties, which indicates that the SNWD project can significantly improve ATFP by mitigating water scarcity. Additionally, the SNWD project has a more significant impact on improving ATFP in regions with a higher proportion of grain crops, revealing the crucial role of structural adjustments in enhancing agricultural productivity. • Developed a comprehensive measurement of agricultural productivity using DEA methodology. • Estimated the impact of the SNWD project on ATFP by the DID model. • Found that the SNWD project has increased the ATFP in the traversed counties. • The SNWD project has a stronger impact in counties with lower precipitation and non-rice-producing areas. • Revealed how water resource alleviation and crop structure adjustments boost agricultural productivity.

Source: Agricultural Water Management

DOI: 10.1016/j.agwat.2025.109511

Authors: Zehui Wang, Jianhui Xie

Institutions: Beijing Normal University, Beijing Normal University, Zhuhai, Sun Yat-sen University

Language: English

Topic: Efficiency Analysis Using DEA

Subfield: Management Science and Operations Research

Field: Decision Sciences

Domain: Social Sciences

SDGs: Zero hunger, Clean water and sanitation, Industry, innovation and infrastructure, Climate action

Open Access status: gold

Estimated APC paid: $3,070