Assessment of water economic value in wheat and rapeseed farms(Case Study: Qazvin plain irrigation network)

In the recent decades, water resources have been severely under pressure due to increasing demand. Besides, use of water by some users affects the possibility of using water by other users. Therefore, the optimal management and allocation of water resources have become increasingly important among policymakers and farmers. Undoubtedly, one of the most important tools for optimal allocation of water resources is economic valuation which the long-term development strategy of the country also emphasizes it. In this regard, the aim of the present study was to determine the economic value of agricultural water from the viewpoint of the applicants in wheat and rapeseed farms of Qazvin flat irrigation network area using the production function approach as an appropriate tool for better water resources management. Data and statistics were collected by completing a questionnaire from 144 farmers based on a two-stage cluster sampling method in 2015-2016. In order to achieve the research objectives, the estimation of various forms of flexible production functions was used and according to the results, the Translog production function was detected as the best form of the function. The results showed that the economic value of each cubic meter of water in the production of wheat and rapeseed was estimated 3715 and 3370 Rls, respectively, which had a huge difference with what farmers paid for water cost (418 Rls) in mentioned year.