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In Tunisia, the scarcity of water resources is accentuated in recent years with a permanent climate irregularity threatening the sustainability of irrigated agriculture as well as the economic equity of the rural population. In response to this problem, public policy makers are still seeking to consider regulatory instruments to address these climatic effects on agriculture and on water resources in general. The purpose of this study is to reach a compromise between the economic and environmental objective and the appropriate political instruments to maintain economic equity. To answer this question, a multi-objective programming model was applied at level of the farm type in Central-East Tunisia, in the case study of Kalâa Kebira. The results show that the multiobjective modeling approach has proven that the possibility of compromise between two conflicting objectives is possible. The use of integrated regulatory instruments to restore this trade-off such as pricing or subsidy must be synchronized. Indeed, public decision-makers may consider an increase in the pricing of irrigation water of 0.080 DT/m (0.240 DT/m), but provided that they grant subsidies in the order of 20% on the cost of production of the strategic agricultural activity in the region. These results prove that the compromise that is the solid support of agricultural sustainability and we cannot be maintained between conflicting objectives that through conflicting and synchronized public instruments if we want the promotion of Tunisian agriculture in the future years.

Economic Approach to the Sustainable Management of Water Demand at the Farm Level in Central-Eastern Tunisia: Compromise and Economic Instruments