Page 7 - ING-Waterproblematiek Report
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Majority of water intensive industries are
located in countries prone to water stress…

Almost half of the 60 largest economies likely to             provide 57% of global GDP and consist of most of MENA,        Extending the water-energy-food nexus
face (extremely) high ‘water stress’                          a large part of Asia, some Latin American countries and       So not only energy and food are in competition for water.
Of the world’s 60 largest economies, 29 are ranked “high to   the US.                                                       Other necessities of life such as clothing and base metals
extremely high” for water stress risk by the World Resources                                                                and chemical products are as well. Many industries in water-
Institute, using a ‘business-as-usual’-scenario in terms of   Several water-intensive sectors show high concentration of    stressed countries are in competition over precious water
climate policy. Water stress occurs when demand for water     production in terms of gross value added in these 29          resources.
exceeds the available amount during a certain period or       countries: 88% of coal mining, 80% of textile production and
when poor quality restricts its use. These 60 countries       74% of global agriculture are located in these countries.

Majority of water intensive industries are located in countries prone to water stress                      *29 countries which WRI indicate high to extremely high water stress (2040): Pakistan, Spain,
Share of 29 countries* prone to water stress in world total, by sector                                     Turkey, Greece, Portugal, Kazakhstan, Chile, Saudi Arabia, Iran, UAE, Israel, Singapore, Iraq,
                                                                                                           Algeria, Qatar, Kuwait, Morocco, South Africa, China, India, Indonesia, Philippines, Italy,
                                                                                                           Belgium, Ukraine, Mexico, Peru, Australia, United States

                             88%            80%                  74%             67%           63%            62%           59%             59%             57%
                          coal mining      textiles           agriculture     base metal    chemicals /        F&B
                                                                                                                               paper        metals mining   global GDP
                                                                              China (43%)     refining     China (25%)      production
                                                                                 US (8%)    China (27%)      US (16%)
Top-4 producers             China (53%)     China (40%)        China (30%)                                                  US (22%)        US (12%)        US (12%)
                          Australia (11%)     India (8%)        India (11%)    India (6%)      US (17%)    Mexico (3%)
(of 29 countries                              Italy (5%)                        Italy (1%)  S-Arabia (3%)   India (3%)      China (18%)     Australia(10%)  Australia(10%)
prone to water stress,         US (8%)     Indonesia (5%)         US (6%)
in terms of GVA)          Indonesia (4%)                      Indonesia (4%)                  India (2%)                    Indonesia (3%)  China (6%)      China (6%)

                                                                                                                            Italy (1%)      Chili (5%)      Chili (5%)

                                                                                                                            Source: calculations ING Economics Department, based on Oxford Economics, WRI

ING Economics Department                                                      7                                                             Too little, too much  /  December 2015
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