Measurement and Analysis of the Virtual Water Place in Iran's Industry and Mining Sectors

For about a decade the virtual water trade has been highlighted as a means of promoting water efficiency and helping to solve regional restrictions of water resources in order to provide water and food security. Although these tools are not just for certain areas of the world with a specific climate, they are more important for countries which are faced with water resources restriction and crisis. The industrial and mining sectors of our country do not currently possess a significant portion of the water consumption. Although on the one hand, the industrial development experience of the world countries indicates that the portion of water consumption by the aforementioned sectors has been an ever increasing trend, on the other hand, the commodities of this sector contribute to a significant portion of our country’s commercial products. Therefore, attention to the management of water resources and consumption in this sector is important. Hence the aim of this study is to use a virtual water trade approach to determine the country’s water footprint in the industrial and mining sectors; in addition to determining the portion of the individual industrial and mining activities in the imports and exports of virtual water. To achieve this, the technical-based indicators approach for measurement of the virtual water has been used to distinguish the ISIC double-digits relevant to the industry and mining sector. The required information is extracted from the census of industrial workshops with ten or more employees, the country’s Mines under exploitation, and the statistical yearbook of foreign trade for a period of 1387-92. Results indicated that Iran is a net importer of virtual water in the industry sector and is a net exporter in the mining sector. In the mining sector the largest volume of imports and exports of virtual water belongs to the metal ore mining group, whilst within the industrial sector this belongs to the chemical products sector. The results obtained in this study provide information that can be used to improve the trade balance of water in industrial and mining activities. Moreover, to help water resources management in these sectors through changes in the composition of tradable industrial and mineral goods.