Water Allocation

While China is one of the countries with the most water in the world, its water resources are unevenly distributed, with the south and far west being the most concentrated in the terms of water resources. On the other hand, water scarcity becomes more of a problem for Northern China, and shortages have reached austere levels, as rapid economic development continues to worsen the problem. According to an article by New York Times, Northern China is an “economic powerhouse with more than 200 million people”, however it has limited rainfall and 60 percent of its supply of water is dependent on groundwater. As a centre of population, industry and agriculture, with all three aspects of the city producing booming advancements, the limited water resources has inevitably kept falling. This has led to over-exploitation of groundwater, prioritising supplies to industrial development at the expense of agriculture, resulting in serious water shortages in rural areas. The excessive use of groundwater has also resulted in land subsidence and frequent sandstorms in the region. Not only is there a disparity in the supply of water between the northern and southern regions of China, water supply is also allocated inefficiently between rural and urban areas. Industrial water demands have been prioritised, from the steep economic growth that China has experienced over the recent years, neglecting the agricultural sector. The poor are at the greatest disadvantage. Despite the outstanding economic progress, as well as social development and poverty reduction, China is still facing challenges to reduce residual poverty. Between 50 and 55 per cent of the population is situated in rural areas, where approximately 66 percent of the population engages in agricultural activities such as farming, forestry, animal husbandry and fishing. About 40 per cent of the total employment in China is in rural areas, and the income of the poorest rural households are generated from agricultural activities, which tend to show low levels of productivity and net profits.