Xylem to help Australia control water use in the agriculture sector
Australia has a strong agricultural tradition, producing three times as much food as is required by its population. Given that Australia is the driest continent on Earth, that’s doubly impressive. But the way in which it accomplishes such productivity is through intensive water use. According to the Australian Bureau of Statistics, in 2014 – 2015, the agriculture industry was the biggest drain on water, consuming a massive 59.9% of the total used.
For comparison sake, the next biggest quantity belonged to the “water supply, sewage, and drainage services” segment, which used 12.4%. Clearly, as global warming intensifies and the world prepares for a global water crisis, Australia will have to manage the water used in its agricultural processes more efficiently. That’s where global water technology company Xylem Inc. comes in.
Xylem’s share price has appreciated by 38% year to date
SOURCE: Yahoo Finance
Jim Athanas, managing director of Oceania Xylem Water Solutions recently spoke about this concern to Australian publication Food & Beverage Industry News. He told the magazine: “The end game of what we do is to build a sustainable world. Our commitment is that we care more. We care more for our people; we care more for our customers; we care about doing things sustainably through commercial excellence. We look at being innovative and creative and we also want to enrich our environment by creating sustainable communities.”
Speaking directly to water use in agriculture, he said: “From the farm to the fork you need to irrigate plants and livestock to provide food. Whether you’re a farmer growing wheat or you’ve got cattle, water is essential. Then all the way through the processing plant, whether you’re using it for heating, cooling, utility needs water, or as a raw material. We transport water to where it’s needed. We treat it so it’s suitable for use and also monitor and control it to make sure it’s of the right purity, the right quality and the right quantity.”
Xylem’s technologies, which allow water to be reused and measured out with greater efficiency, are destined to become a major component in agriculture and other heavy-water industries. As global warming heats the planet, and the population continues to rise, water will become scarcer. This puts Xylem in a great position to capitalize on the trend towards smart water use – and it also bodes very well for the health of the planet.
Dominion holds Xylem Inc. in its Global Trends Managed Fund.
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