TREND: Mexico leads the irrigation project charge

Irrigation accounts for more than two thirds of water use across Mexico and many Central American and Caribbean countries. But despite its importance, the sector, in terms of investment, has largely been overlooked, left in the wings as drinking water projects have taken center stage.

The need to improve irrigation is, today, more important than ever as the effects of climate change are increasingly being felt in the region, according to an IDB report.

Latin American countries should invest between US$1.2bn and US$1.3bn annually to adapt their agricultural sectors to changing weather patterns, according to the report.

Mexico has led the way this year, with a series of big-budget projects designed to boost agricultural productivity, but the majority of projects in the rest of the region are small-scale.

As part of Mexico's 417bn-peso (US$30bn) 2014-18 water infrastructure program, the country's water commission (Conagua) and the government will invest 94bn pesos in irrigation technology and water supply projects for the agricultural sector.

The program involves the upgrading of 1.3Mha via development of new irrigation systems.

In September, Conagua put out to tender the construction of the 7bn-peso Centenario irrigation canal in Nayarit state. The contract is due to be awarded on October 27. The irrigation canal will increase the amount of arable land in Nayarit by more than 43,000ha. The waterway will harness up to 15Bm3 of river runoff each year.

A tender for supervision of the works has also been launched.

Other key projects currently in the process of being awarded include the Santa María dam in Sinaloa state, which will take water from the Baluarte river for irrigation, urban public use and, potentially, power generation.

Tenders for supervision of construction and for the development of an irrigation program for the area were also launched earlier this month.

DOMINICAN REPUBLIC

While the Mexican government is stepping up efforts to invest in irrigation, in the Dominican Republic agricultural projects have been hampered this year by budgetary restrictions.

Despite a US$1bn government bond issuance in 2013, construction of the Guaigüí dam, in La Vega province, is on hold as national irrigation authority Indrhi's budget allocation was not large enough for the project to begin.

An irrigation system being built in the community of El Carrizal, in the province of Azua, is, however, approximately 80% complete.

Once complete, the system will irrigate 1,006ha and benefit some 350 agricultural producers. It will also help reduce the risk of flooding in surrounding communities.

JAMAICA

In May, the Jamaican government awarded two contracts totaling US$281mn to Jamaica Drip Irrigation for the installation of irrigation systems at the Ebony Park and Spring Plain sustainable agriculture parks.

The government's agro-parks initiative for intensive agricultural production has generated US$36.3mn in its first two years.

El SALVADOR

Meanwhile, El Salvador has seen tenders for small irrigation projects launched in recent months.

The Central American Bank for Economic Integration (Cabei) is funding irrigation improvement projects in the No. 3 Lempa Acahuapa irrigation district. It is also providing funding for pumping and well protection equipment for rural irrigation initiatives, and for associated project supervision contracts.