Structural Optimization of Sectoral Exports from the Perspective of Water Footprint: A Study from Henan Province, China

The water footprint of each sector in Henan Province in 2017 was calculated using non-competitive input-output techniques in this paper. Furthermore, a dual-objective planning model that minimizes water resource export and maximizes labor compensation was established, based on which the export structure of the sector in the province was optimized. Research findings show; First, agriculture is the primary consuming sector of water resources in the direct water use perspective. While the food processing industry is the major consuming sector of water resources in the water footprint perspective. The difference of water resources consumed by sectors in the perspective of water footprint is smaller than that in the perspective of direct water use. Second, most water-intensive sectors have a relatively large water footprint of out-of-province use, which results in 52.75% of Henan Province's produced water being consumed outside the province. Third, the current export structure adjustment of sectors in Henan Province can achieve the Pareto improvement of water conservation and economic development. It is expected to save 14.65% of the province's export water resources and increase Henan Province's total exports by 170.61 billion yuan and labor compensation by 39.76 billion yuan.