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With the rising water scarcity across India, it becomes crucial for the stake-holders to know about the source of supplied water used directly and indirectly in their operations. This study transforms the 2003−2004 economic input−output (IO) table of India into a water withdrawal input−output model to quantify direct and indirect flows. This unique model is based on a comprehensive database compiled from diverse public sources, and estimates direct and indirect water withdrawal of all economic sectors. It distinguishes between green (rainfall), blue (surface and ground), and scarce groundwater. Results indicate that the total direct water withdrawal is nearly 3052 billion cubic meter (BCM) and 96% of this is used in agriculture sectors with the contribution of direct green water being about 1145 BCM, excluding forestry. Apart from 727 BCM direct blue water withdrawal for agricultural, other significant users include “Electricity” with 64 BCM, “Water supply” with 44 BCM and other industrial sectors with nearly 14 BCM. “Construction”, “miscellaneous food products”; “Hotels and restaurants”; “Paper, paper products, and newsprint” are other significant indirect withdrawers. The net virtual water import is found to be insignificant compared to direct water used in agriculture nationally, while scarce ground water associated with crops is largely contributed by northern states.
In addition to the developed model, this study provides a unique data inventory of water withdrawn, resource intensity, throughput in physical units and monetary prices (from the IO table) for each sector of India's IO table. Thus, this research assesses water-sustainability (from an environmental perspective) of the Indian economy (system), acknowledging water as an ecosystem good (or service) or natural capital
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