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Virtual water trade in industrial products: evidence from Malaysia

Virtual water embodied in international trade is equivalent to nearly one-third of global water withdrawal, confirming that trade plays a significant role in redistributing global water resources. This paper extends a virtual water analysis by measuring the extent to which virtual water embodied in...

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Main Authors: Hassan, Azman, Saari, Mohd Yusof, Tengku Ismail, Tengku Hanidza
Format: Article
Language:English
Published: Springer 2017
Online Access:http://psasir.upm.edu.my/id/eprint/56566/1/Virtual%20water%20trade%20in%20industrial%20products%20evidence%20from%20Malaysia.pdf
http://psasir.upm.edu.my/id/eprint/56566/
https://rd.springer.com/article/10.1007/s10668-016-9770-2
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spelling my.upm.eprints.565662017-08-03T04:04:34Z http://psasir.upm.edu.my/id/eprint/56566/ Virtual water trade in industrial products: evidence from Malaysia Hassan, Azman Saari, Mohd Yusof Tengku Ismail, Tengku Hanidza Virtual water embodied in international trade is equivalent to nearly one-third of global water withdrawal, confirming that trade plays a significant role in redistributing global water resources. This paper extends a virtual water analysis by measuring the extent to which virtual water embodied in traded industrial products affects the distribution of global virtual water. The distribution of global virtual water can be improved if trade in industrial products promotes virtual water outflows from water-abundant to water-scarce countries. Analyses were performed using an input–output model that can decompose water consumption into domestic demand and exports by destinations of trade. Focusing on Malaysia, the results indicate that trade in industrial products between Malaysia and its main trading partners have a limited capacity to improve the distribution of global virtual water. This limitation can be due to two reasons. Firstly, exports of Malaysian industrial products are mainly driven by less water-intensive sectors. Therefore, the amount of virtual water that outflows into other countries is also low. Secondly, trade in Malaysian industrial products largely involves water flows with other water-abundant countries. Only several water-scarce countries benefit from virtual water trade in industrial products with Malaysia, namely the Netherlands, Australia and China. Springer 2017 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/56566/1/Virtual%20water%20trade%20in%20industrial%20products%20evidence%20from%20Malaysia.pdf Hassan, Azman and Saari, Mohd Yusof and Tengku Ismail, Tengku Hanidza (2017) Virtual water trade in industrial products: evidence from Malaysia. Environment, Development and Sustainability, 19 (3). pp. 877-894. ISSN 1387-585X; ESSN: 1573-2975 https://rd.springer.com/article/10.1007/s10668-016-9770-2 10.1007/s10668-016-9770-2
institution Universiti Putra Malaysia
building UPM Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Putra Malaysia
content_source UPM Institutional Repository
url_provider http://psasir.upm.edu.my/
language English
description Virtual water embodied in international trade is equivalent to nearly one-third of global water withdrawal, confirming that trade plays a significant role in redistributing global water resources. This paper extends a virtual water analysis by measuring the extent to which virtual water embodied in traded industrial products affects the distribution of global virtual water. The distribution of global virtual water can be improved if trade in industrial products promotes virtual water outflows from water-abundant to water-scarce countries. Analyses were performed using an input–output model that can decompose water consumption into domestic demand and exports by destinations of trade. Focusing on Malaysia, the results indicate that trade in industrial products between Malaysia and its main trading partners have a limited capacity to improve the distribution of global virtual water. This limitation can be due to two reasons. Firstly, exports of Malaysian industrial products are mainly driven by less water-intensive sectors. Therefore, the amount of virtual water that outflows into other countries is also low. Secondly, trade in Malaysian industrial products largely involves water flows with other water-abundant countries. Only several water-scarce countries benefit from virtual water trade in industrial products with Malaysia, namely the Netherlands, Australia and China.
format Article
author Hassan, Azman
Saari, Mohd Yusof
Tengku Ismail, Tengku Hanidza
spellingShingle Hassan, Azman
Saari, Mohd Yusof
Tengku Ismail, Tengku Hanidza
Virtual water trade in industrial products: evidence from Malaysia
author_facet Hassan, Azman
Saari, Mohd Yusof
Tengku Ismail, Tengku Hanidza
author_sort Hassan, Azman
title Virtual water trade in industrial products: evidence from Malaysia
title_short Virtual water trade in industrial products: evidence from Malaysia
title_full Virtual water trade in industrial products: evidence from Malaysia
title_fullStr Virtual water trade in industrial products: evidence from Malaysia
title_full_unstemmed Virtual water trade in industrial products: evidence from Malaysia
title_sort virtual water trade in industrial products: evidence from malaysia
publisher Springer
publishDate 2017
url http://psasir.upm.edu.my/id/eprint/56566/1/Virtual%20water%20trade%20in%20industrial%20products%20evidence%20from%20Malaysia.pdf
http://psasir.upm.edu.my/id/eprint/56566/
https://rd.springer.com/article/10.1007/s10668-016-9770-2
_version_ 1643836229047812096
score 13.223943

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