Economics of Small Dams in Rainfed Region of Pakistan

The rainfed areas of Pakistan demand more water to produce sustainable agriculture production. Their contribution is less in the agriculture sector due to un-availability of water. Although the construction of small dams in these areas could enhance their productivity and more area will be available for cultivation. To examine the economics of small dams in the rainfed (barani) region, two small dams namely Khasala and Jawa were investigated. Farmers were categorized into two groups: irrigated (using dam water) and rainfed (without using dam water) farmers. The primary data including personal and farm related information were collected through questionnaire and conducting interviews while secondary data including inflow-outflow of the selected dams, water charges and printed documents were collected from Small Dams Organization (SDO), Punjab. It is concluded from the results that irrigated farmers were getting more benefits in terms of land holdings, cultivated lands, agriculture productivity, revenues and livestock production as compared to rainfed farmers. Moreover, the socio-economic condition and life style of irrigated farmers were better than rainfed farmers. The only reason is water shortage that shoves the rainfed farmers towards lower or average productivity. The study area is close to Islamabad agriculture market. By proper provision of dam water to the rainfed farmers, then both of the farmers (irrigated and rainfed) can cover the consumption requirements of Islamabad and nearby areas. Hence, there is a dire need to construct more small dams in the rainfed region and provide water to the rainfed farmers under the supervision of water management departments. This study also provides recommendations for the efficient use of dam’s water.