Spain relies on agriculture for a vast share of its water use—roughly 82.1% of the nation’s total consumption. Household demand accounts for 12.8%, while industry and electricity draw 5.1%. Because farming remains a dominant economic force and a major water user, it faces mounting pressure as water becomes scarcer, especially amid climate-driven droughts. At the same time, irrigation practices in Spain continue to expand, driven by the need to sustain yields in changing conditions. A CaixaBank Research snapshot warns that water stress is likely to intensify, with the south of the Iberian Peninsula most affected and areas including Alicante, parts of Valencia’s interior, and the archipelagoed zones experiencing growing scarcity.
Irrigation expansion continues despite limited water resources, underscoring the tension between production needs and resource availability. The document notes that the irrigated area in Spain represented 22.9% of total arable land in 2021, yet it produced just over half of the country’s final vegetable output. Spain stands as the European Union’s leading exporter of fruits and vegetables, earning the nickname “Europe’s orchard” and ranking among the world’s top three exporters alongside China and the United States. Between 2004 and 2021, the irrigated area rose by more than half a million hectares, reaching 3.9 million hectares. During this period, overall water consumption remained relatively steady, thanks to advanced irrigation modernization, including the rapid spread of drip irrigation with higher efficiency and lower water demands, contrasted with less efficient gravity systems. Sprinkler systems have also gained prominence for certain crops, providing another route to efficiency.
The report highlights that modernization does not automatically yield collective water savings. Intensified cropping often increases yields per cubic meter of water used, yet it can reduce irrigation returns to water bodies. Cereals like rice account for 24.1% of total irrigated area, while olive groves represent 22.6%, non-citrus fruit trees 10.6%, and vineyards 10.3%. Citrus and vegetables are among the key crops, with irrigation shares reaching 93.7% and 88.4% for oranges and grapes, respectively. The Canary Islands lead irrigation percentages at 58%, followed by the Valencian Community at 45.8% and Murcia at 39.2%. Northern Spain tends to have comparatively lower irrigation levels due to rainfall patterns. Valencia’s crops such as oranges, tangerines, and grapes stand out as significant water users in the region.
The CaixaBank Research paper argues that European funds allocated after the pandemic are essential to modernize irrigation and increase sustainability. Funded by the European Union’s Next Generation program, the plan seeks to invest 563 million euros to modernize more than 100,000 hectares of irrigated land. The initiative includes measures to embed digital technologies and smart tools within irrigation communities, aiming to boost efficiency and promote self-consumption of electricity through renewable energy sources. Projects could involve water-channel infrastructures to generate electricity, as well as the use of recycled wastewater or desalinated water to support irrigation needs.
As a caution, the document concludes that reductions in available water resources across Spain could range from 12% to 40% by the century’s end, varying by region. It emphasizes the ongoing need to improve irrigation efficiency and sustainability to adapt to a drier future and preserve agricultural productivity for the long term.