Study: Water Restrictions to Mean Billions in Lost Farm Revenue
A new study by University of California researchers anticipates drastic economic losses in the face of future restrictions on water available for San Joaquin Valley agriculture.
The study by economists David Sunding and David Roland-Holst at UC Berkeley examined the economic impact of two types of restrictions to water supplies for ag: on groundwater pumping as part of the Sustainable Groundwater Management Act and future reductions in surface water due to regulatory processes by the state and federal government.
Up to one million acres of farmland could be fallowed over the next 20 to 30 years — about one-fifth of all acres currently under cultivation in the San Joaquin Valley. Associated farm revenue loss would be about $7.2 billion a year.
