Harnessing Digital Technologies for Smarter Water Management in Agriculture 2025
Page 6 of 33 · WEF_Harnessing_Digital_Technologies_for_Smarter_Water_Management_in_Agriculture_2025.pdf
Sources: World Bank, Food and Agriculture Organization of the United Nations (FAO), Global Commission on Economics of Water (GCEW).10While these recent shifts in natural cycles increase
water scarcity, inadequate water management
exacerbates the problem. Addressing the issue starts with a shared understanding of the key
barriers to effective water use (see Table 1).
Over 32 billion m3 of treated water is lost every year due
to leaking pipelines and outdated distribution networks.
World Bank
Key barriers to effective water use TABLE 1
Challenge Description
Ageing infrastructure –A significant proportion of global water infrastructure was built decades ago and is currently unable
to satisfy the demands of growing populations and climate variability.
–The World Bank estimates that over 32 billion cubic metres (m3) of treated water is lost every year
due to leaking pipelines and outdated distribution networks.
Overextraction and
groundwater depletion –Overextraction of groundwater leads to land subsidence, making water management
more complicated.
–Global water withdrawals, driven mainly by overextraction through agriculture, have outpaced
population growth over time.
–Aquifers are being depleted more rapidly than they can naturally recharge, jeopardizing long-term
water availability.
Pollution of freshwater resources –Water pollution worsens scarcity by diminishing the volume of freshwater resources accessible for use.
–Agricultural runoff, filled with pesticides and fertilizers, is a leading contributor to water pollution.
–Industrial discharges containing untreated wastewater further degrade water quality, leading
to hotspots with unusable resources.
Uncertainty from climate change –With climate change altering rainfall patterns and intensifying drought cycles, managers encounter
major challenges in preparing for upcoming water demands.
–These shifts disrupt natural hydrological cycles, impacting how water is stored, flows and
replenishes. Systemic disruption amplifies uncertainty.
–Conventional forecasting methods fall short in anticipating drastic changes, leaving regions ill-
equipped for extreme events.
Harnessing Digital Technologies for Smarter Water Management in Agriculture
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