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Agriculture is the mainstay of Ethiopia’s economy, contributing more than 40% to GDP and providing a livelihood to about 80% of the population. Agriculture is dominated by smallholders growing predominantly rainfed cereals, making economic performance dependent on rainfall availability. This study used the stochastic frontier production function to analyse the productivity and technical efficiency of 4 different agricultural production systems in Ethiopia; namely, irrigated seasonal farms on traditional irrigation systems, irrigated seasonal farms on modern communal irrigation systems, rainfed seasonal farms for farmers who have access to irrigation and rainfed seasonal farms for farmers who do not have access to irrigation. Simple random samples of farmers were selected from lists of farmers. The sample of farmers constituted 122 from the traditional irrigated sites, 281 from the modern communal irrigated sites and 350 from the control rainfed sites of farmers without access to irrigation. For those farmers, from both traditional and modern communal irrigation, who also had access to rainfed farms, their rainfed farms were included in the sample of rainfed with access to irrigation. This sample constituted 434 farmers. The marginal productivity of land on modern communal irrigation systems shows that this is the smallholder irrigation option that should be developed by the Government of Ethiopia. However, the marginal productivity of land in the ‘rainfed without access to irrigation’ category is higher than that of the traditional irrigated system. Thus additional developed land should be put under ‘rainfed without access to irrigation’ before it is put under traditional irrigation; otherwise it should be developed into modern communal irrigation. The average technical efficiency for the modern irrigated system was estimated to be about 71%, whereas this was estimated to be 78% for the ‘rainfed without access to irrigation’ system. There are potential gains to be realised in improving efficiency in these two systems.

The Nile provides freshwater not only for domestic and industrial use, but also for irrigated agriculture, hydropower dams and the vast fisheries resource of the lakes of Central Africa. The Nile River Basin covers the whole Nile Basin and is based on the results of three major research projects supported by the Challenge Program on Water and Food (CPWF). It provides unique and up-to-date insights on agriculture, water resources, governance, poverty, productivity, upstream-downstream linkages, innovations, future plans and their implications. Specifically, the book elaborates the history and the major current and future challenges and opportunities of the Nile river basin. It analyzes the basin characteristics using statistical data and modern tools such as remote sensing and geographic information systems. Population distribution, poverty and vulnerability linked to production system and water access are assessed at the international basin scale, and the hydrology of the region is also analysed. This text provides in-depth scientific model adaptation results for hydrology, sediments, benefit sharing, and payment for environmental services based on detailed scientific and experimental work of the Blue Nile Basin. Production systems as they relate to crops, livestock, fisheries and wetlands are analyzed for the whole Blue and White Nile basin including their constraints. Policy, institutional and technological interventions that increase productivity of agriculture and use of water are also assessed. Water demand modeling, scenario analysis, and tradeoffs that inform future plans and opportunities are included to provide a unique, comprehensive coverage of the subject. 1. Introduction 2. Nile Water and Agriculture: Past, Present and Future 3. The Nile Basin, People, Poverty and Vulnerability 4. Spatial Characterisation of the Nile Basin for Improved Water Management 5. Availability of Water for Agriculture in the Nile Basin 6. Hydrological Processes in the Blue Nile 7. The Nile Basin Sediment Loss and Degradation with Emphasis on the Blue Nile 8. Nile Basin Farming Systems and Productivity 9. Livestock and Water in the Nile River Basin 10. Overview of Groundwater in the Nile River Basin 11. Wetlands of the Nile Basin: Distribution, Functions and Contribution to Livelihoods 12. Nile Water Governance 13. Institutions and Policy in the BNB: Understanding Challenges and Opportunities for Improved Land and Water Management 14. Simulating Current and Future Water Resources Development in the Blue Nile River Basin 15. Water Management Intervention Analysis in the Nile Basin Seleshi Bekele Awulachew was, at the time of writing, Acting Director in Africa for the International Water Management Institute (IWMI), Addis Ababa, Ethiopia. He is now Senior Water Resources and Climate Specialist at the African Climate Policy Center (ACPC), United Nations Economic Commission for Africa (UNECA), Addis Ababa, Ethiopia. Vladimir Smakhtin is Theme Leader – Water Availability and Access at IWMI, Colombo, Sri Lanka. David Molden was, at the time of writing, Deputy Director General of IWMI, Colombo, Sri Lanka. He is now Director General of the International Centre for Integrated Mountain Development (ICIMOD), Kathmandu, Nepal. Don Peden is a Consultant at the International Livestock Research Institute (ILRI), Addis Ababa, Ethiopia.

Ethiopia has an irrigation potential of 5.3 million ha (Mha) of which 3.7 Mha can be developed using surface water sources, and 1.6 Mha using groundwater and rainwater management. Irrigation contributes to rapid transformation of agriculture as present-day agriculture is dominated by rainfed single crops. The current irrigation development in Ethiopia is about 0.7 Mha, and the performance of the existing schemes is not well understood. As the country is planning to expand irrigated agriculture in the next five years, it will be useful to review existing performance and to identify areas for interventions that help revitalize underperforming systems. In this paper, we have investigated the performances of irrigation at three levels: (a) national level for broad performance, (b) regional level for small-scale irrigation and (c) scheme level for large-scale irrigation. National level indicators measure (i) the relative proportion of operating schemes, (ii) ratio of actually cultivated area to planned command area and (iii) relative number of benefited to targeted number of households. The result shows that 86.5% of schemes are operating, 74.1% of command area is under cultivation and only 46.8% of the planned beneficiaries have benefited from implemented irrigation. For regional level irrigation performances, the regions of Southern Nations and Nationalities and Oromia Regions were investigated. We used technological (structural) and management factors as measures of performances. Sixty-four underperforming schemes were sampled from the two regions to analyse the causes. About 30 parameters were identified as causes of underperformance. Watershed degradation related problems that are causing erosion and sedimentation of water control and conveyance structures are found to be the major cause for structural failures, while lack of sustainable funding, extension of agronomic practice, and post harvest technologies are identified as the top management-related problems. For evaluating performances of large-scale schemes, we used irrigation water delivery performance and output performance indicators applied to six large-scale schemes. Scheme level performance indicators results showed that all of the schemes considered have supplied adequate to excess amounts of water during the period. The Wonji scheme that uses pump diversion showed higher water use efficiency than other schemes that are using simple gravity diversion types. In this case it might be the running costs of pumps that have encouraged efficient management of water. In terms of output performance, sugarcane based irrigation schemes are superior and up to ten times that of banana, cotton, and maize or tobacco production. The results of these assessments are useful for decision-makers and disclosed the low performance of the existing irrigation schemes. They also indicated the need to revitalize existing schemes to improve performance in parallel to the implementation of new projects. The paper also provided new indicators of evaluation of performance with respect to national level, structural and management related performance.

A multi basin analysis of runoff and erosion in the Blue Nile Basin, Ethiopia was conducted to elucidate sources of runoff and sediment. Erosion is arguably the most critical problem in the Blue Nile Basin, as it limits agricultural productivity in Ethiopia, degrades benthos in the Nile, and results in sedimentation of dams in downstream countries. A modified version of the Soil and Water Assessment Tool (SWAT) model was developed to predict runoff and sediment losses from the Ethiopian Blue Nile Basin. The model simulates saturation excess runoff from the landscape using a simple daily water balance coupled to a topographic wetness index in ways that are consistent with observed runoff processes in the basin. The spatial distribution of landscape erosion is thus simulated more correctly. The model was parameterized in a nested design for flow at eight and sediment at three locations in the basin. Subbasins ranged in size from 1.3 to 174 000 km2, and interestingly, the partitioning of runoff and infiltrating flow could be predicted by topographic information. Model predictions showed reasonable accuracy (Nash Sutcliffe Efficiencies ranged from 0.53–0.92) with measured data across all sites except Kessie, where the water budget could not be closed; however, the timing of flow was well captured. Runoff losses increased with rainfall during the monsoonal season and were greatest from areas with shallow soils and large contributing areas. Analysis of model results indicate that upland landscape erosion dominated sediment delivery to the main stem of the Blue Nile in the early part of the growing season when tillage occurs and before the soil was wetted up and plant cover was established. Once plant cover was established in mid August landscape erosion was negligible and sediment export was dominated by channel processes and re-suspension of landscape sediment deposited early in the growing season. These results imply that targeting small areas of the landscape where runoff is produced can be the most effective at controlling erosion and protecting water resources. However, it is not clear what can be done to manage channel erosion, particularly in first order streams in the basin.

The Nile provides freshwater not only for domestic and industrial use, but also for irrigated agriculture, hydropower dams and the vast fisheries resource of the lakes of Central Africa. The Nile River Basin covers the whole Nile Basin and is based on the results of three major research projects supported by the Challenge Program on Water and Food (CPWF). It provides unique and up-to-date insights on agriculture, water resources, governance, poverty, productivity, upstream-downstream linkages, innovations, future plans and their implications.  Specifically, the book elaborates the history and the major current and future challenges and opportunities of the Nile river basin. It analyzes the basin characteristics using statistical data and modern tools such as remote sensing and geographic information systems. Population distribution, poverty and vulnerability linked to production system and water access are assessed at the international basin scale, and the hydrology of the region is also analysed.  This text provides in-depth scientific model adaptation results for hydrology, sediments, benefit sharing, and payment for environmental services based on detailed scientific and experimental work of the Blue Nile Basin. Production systems as they relate to crops, livestock, fisheries and wetlands are analyzed for the whole Blue and White Nile basin including their constraints. Policy, institutional and technological interventions that increase productivity of agriculture and use of water are also assessed. Water demand modeling, scenario analysis, and tradeoffs that inform future plans and opportunities are included to provide a unique, comprehensive coverage of the subject.

Ethiopia\\u2019s economy and majority of the people\\u2019s livelihoods are dependent on agriculture. To develop the socioeconomy of Ethiopia and eradicate poverty, the policy and interventions should focus on agriculture as an entry point. In line with this, the government, bilateral and multilateral donors, NGOs and various institutions share the concepts and priorities identified in the \\u201cPlan for Accelerated and Sustained Development to End Poverty (PASDEP).\\u201d There are key challenges that need to be strongly addressed on transforming agriculture by overcoming a multitude of problems including biophysical and water management issues to help achieve the targets of PASDEP and sustainable socioeconomic growth in Ethiopia. This particular paper aimed at addressing the water management challenges that Ethiopia has faced in the past and is facing today, and to stimulate ideas on how to manage water resources to meet the growing needs for agricultural products, to help reduce poverty and food insecurity, and to show how water can be used as an important entry point to transform its socio-economy and contribute to sustainable development and the environment. The issues discussed will focus on innovations, policies and technologies that enable better investment and management decisions in water use, particularly focusing on agriculture and irrigation but also briefly looking into other water-related subsectors such as hydropower, water supply, watershed, drought and flood management as well as other biophysical aspects. It has also been attempted to make the paper suitable for decision-makers rather than scientists, in order to raise useful ideas for dialogue and further discussions, studies and researches. The paper, therefore, does not claim exhaustiveness. The target audiences of this paper are the people who make the investment and management decisions in water and water management for agriculture, and other subsectors - agricultural producers, water managers, investors, policymakers and civil society. The paper has benefited from the review of key policy and strategy documents of Ethiopia, outputs of various outcomes of research, civil society meetings and workshops, data and information available in government institutions, and global knowledge. The key major issues that are discussed in the paper include the following: Socioeconomic development challenges of Ethiopia, viewed from a water resources perspective., The water resources endowment, development extent, potentials and economic/socioeconomic development linkages., Water-related innovations and agriculture., Water-related interventions in various agro-ecologies., Policy and strategy actions needed. This paper should also be viewed with other components such as river basin growth pole/corridor concept, institutional reform and research capacity building. It focuses on analyzing key problems and associated interventions, and can be applicable in the contexts of the current situation and the future possible reform under growth zones that can be taken as plausible pathways for development.