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A considerable proportion of its irrigation water comes from wells.
It is estimated that every year China has a water supply shortfall of 40 billion cubic meters.
The average annual per capita water availability in Beijing is 400 cubic meters, one seventh the national average and one twenty-eighth the world average.
If nothing is done, Beijing's annual water deficit could exceed 250 billion gallons a year by the year 2010, a figure equal to half its current annual consumption.
Scientist predict that by the year 2010 China could fall one billion cubic meters short of meeting it demands for industrial and daily water use.
During times of drought, water shortages could reach catastrophic proportions.
According to one estimate water shortages result in an annual lost of industrial output of $28 billion.