Strategic Policy Options to Improve Irrigation Water Allocation Efficiency: Analysis on Egypt and Morocco



with 5 irrigation zones and 6 agricultural regions based on climate differences (the amount and
variability of rainfall).

The GAMS modeling software and MINOS 5.0 solver is used to solve and implement the
model.

The Case of Egypt

Characteristics and Policy Goals of the Egyptian Irrigation System

The Egyptian economy depends heavily on the agricultural sector as a source to support non-
agricultural sector growth. The Nile River supplies about 55.5 billion cubic meters of water
annually to Egypt, and 80% of the water is used in agriculture. Over 90% of Egyptian
agricultural land lies within the Nile basin and delta. There are three cropping seasons in Egypt,
winter (November-May), summer (April-October) and Nili (July-October). The main winter
crops are wheat, berseem (Egyptian clover) and broad beans. Among the summer crops, maize,
rice and cotton are dominant. Vegetable crops such as tomato, potato, and others are cultivated in
all seasons.

Water scarcity is growing in Egypt because of the competition use among users.
According to a report by FAO in 2000, to maintain the irrigation infrastructure and conserve
water, water pricing at cost recovery level and other incentives are needed. However, low cost
recovery to gravity irrigation supply and subsidized energy cost for pumping groundwater is the
most common distortion in Egyptian agricultural sector. The price of water is low. A three-fold
increase would have minimal effect on farmer’s profitability. This report also indicated that
water pricing may not be a good tool to influence water conservation, but it is needed to raise
financial resources to develop and maintain huge water infrastructure. The policy challege for

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