Risk Assessment of Virtual Water Trade in EU Agriculture

Water scarcity have a significantly negative impact on the global economy. In the modern world, the problem of freshwater use efficiency has already come to the fore. Special attention is paid to food security in conditions of population growth. Virtual water is an opportunity to minimize the consumption of fresh water by increasing imports of water-intensive products and limiting their exports. Virtual water trade allows to optimize water consumption, as well as the use of arable land, if we consider the agricultural sector. Grain crops can be considered as one of the most water-intensive products in the agricultural sector. The stability of virtual water trade in agriculture depends on many factors. The risks of virtual water trade deserve special assessment, since the export of water-intensive products may lead to economic recession, social instability and have a significant negative impact on the environment in case of wrong both physical and virtual water use and trade strategy. The aim of this study is to assess the risks of virtual water trade in European Union agriculture.