Much greater attention is needed on water policy and management reform to improve the efficiency and equity of irrigation and water supply systems. In order to pay for future investments, irrigated agriculture needs to produce high-value crops for both local consumption and exports into competitive world markets. The complex tradeoffs across sectors and across water uses can best be managed through integrated water management at the river basin level-but developing appropriate institutions for intersectoral water allocation remains an important challenge under the fragmented management structure in most of Latin America and the Caribbean. Thus, the challenges for water policymakers in the region are great, but a strategy that focuses on river basin management, irrigation management transfer and privatization, and market-based water allocation can effectively address these challenges. Download full-text discussion paper .
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