Linking local water consumption in inland arid regions with imported virtual water: Approaches, application and actuators

ABSTRACT The consumption of local blue-green physical water (blue-green PW) is linked to imported virtual water (imported VW) within economic production. The quantitative analysis of interactions between blue-green PW and imported VW is important for integrated management of water resources in inland arid areas. This study used the North Tianshan Mountains (NTM) as a case study to demonstrate the construction of a framework to account for local blue-green PW and imported VW in regional economic production using an input-output model. The results showed that the consumption and transfer of blue-green PW in the agricultural sector constitute the most important part of the water cycle in the NTM. Production consumed relatively less imported VW, 51.3% of which was by the secondary and tertiary industries. VW consumed by the primary industry in the NTM was closely correlated with that by the secondary and tertiary industries, whereas low consumption by the primary industry in the NTM and high demand for primary industry products from outside regions resulted in the direct outflow of large amount of blue-green VW. The current structure of trade in VW also contributed to increasing water shortages in the NTM. This study proposed that the enhancement of the cyclic strength of the primary industry in the local economic system is an effective measure to reduce water loss and improve water utilization efficiency. In addition, by considering the results of industrial linkage analysis of economic sectors, this study proposed that the government should promote the development of industries with large water storage potential, such as construction, manufacturing and forestry, and that adjustment of the structure of local industries should be accelerated so as to reduce the loss of VW during local economic production and trade flows of the primary industry.