The availability, quality and cost of water will be a progressively more important factor in the location and profitability of agribusiness activities. Climate change, increasing population pressures, and rising energy costs are all making water increasingly expensive, changes in the cost of water across different regions will affect the choice of where large international agribusinesses source their products, giving water-abundant areas in LDCs a potential advantage (Roepstoff etal., It therefore has a very low degree of mechanization.