Follow us on social

Dry

When Saudi Arabia comes to town and buys all your water

Oil is not the only issue: the Kingdom is getting Arizona resources for a steal, and it's leaving citizens with little to nothing.

Analysis | Middle East

Over the past several years, Saudi Arabia has added eight new wells, increasing production to new heights and even leading to accusations of over-pumping. No, not at the Ghawar oil field, but in the groundwater of rural Arizona. 

Since 2014, the Saudi company Fondomonte has been pumping unlimited amounts of groundwater in the desert west of Phoenix to harvest thousands of acres of alfalfa crops. The alfalfa is then shipped back to Saudi Arabia to feed their cattle. 

But a recent investigation from Arizona Central has revealed that Fondomonte, a subsidiary of Riyadh-based Almarai, has the bargain of a lifetime: for only $25 per acre annually, it can pump as much water as it wants. Nearby farmers pay six times more than the Saudi company. 

This modern day watergate has become a campaign issue ahead of the contentious midterms but candidates across the ballot appear to agree that this is bad. Democratic candidate Katie Hobbs tweeted that “Our water should be for Arizonans, not for sweetheart deals to foreign corporations to grow crops to then send back to their country.” Republican candidate Kari Lake has even gone a step further, calling to terminate the Fondomonte lease and “examine all existing leases to ensure Arizona’s water and natural resources primarily benefit Arizonans, not overseas corporations.” 

Other companies are taking advantage of this fire sale on precious water resources in rural Arizona too, including alfalfa farms affiliated with the UAE and plenty of domestic companies. But Fondomonte is among the largest and most controversial — because it is actually depleting the groundwater of the Butler Valley, a valuable transfer basin that is seen as a potential water supply for Phoenix.  

Fondomonte’s Butler Valley property is part of a larger strategy of buying up land across the Southwest for alfalfa production. The Saudi company owns thousands of acres across Arizona and has expanded operations in Eastern California.

The Arizona State Land Department, which leased the land to Fondomonte, refuses to disclose how much water Fondomonte is pumping, or whether the state would consider charging more for agricultural leases. According to one estimate, the company could be pumping as much as 18,000 acre-feet per year — enough to supply 54,000 single-family homes — raising concerns that the groundwater will disappear faster than it can be replenished. Alfalfa is one of the most water-intensive crops there is, and the current breakneck pace of production is threatening to stop the flow of the Colorado River entirely. 

To Arizonans, the one-sided deal with the Saudi company has become a hot-button issue, particularly since Saudi Arabia dictates global oil prices. “We’re not getting oil for free, so why are we giving our water away for free?” asked La Paz County Board of Supervisors Chairman Holly Irwin, who represents Butler Valley. “Saudi Arabia has stated their intention to rob Airzonans at the gas pump, but they are already stealing our water,” said Rep. Ruben Gallego (D-Ariz.). 

Ironically, lawmakers should look to none other than Saudi Arabia to learn from their mistakes. Saudi Arabia has almost completely exhausted its own groundwater through unrestricted pumping. A 2004 investigation found that the kingdom’s water sources were nearly depleted because “wealthy farmers had been allowed to drain the aquifers unchecked for three decades.” As the wells dried up, Saudi Arabia has been forced to take conservation much more seriously, even outlawing the production of alfalfa in 2016. Today, around 50 percent of water consumed in Saudi Arabia comes from desalination plants, a costly, high-energy process. 

Having depleted their own water resources back home, Saudi Arabia knows the dangerous consequences of unsustainable agricultural practices. Why should they — or any other company for that matter — be allowed to do the same in the American Southwest? 


design 36/shutterstock
Analysis | Middle East
US Navy
Top image credit: 250717-N-CT713-2083 SOUTH CHINA SEA (July 17, 2025) Sailors conduct flight operations on the flight deck of the Nimitz-class aircraft carrier USS Carl Vinson (CVN 70). Vinson, the flagship of Carrier Strike Group ONE, is underway conducting routine operations in the U.S. 7th Fleet area of operations. (U.S. Navy photo by Mass Communication Specialist Seaman Amber Rivette)

'First Among Equals': The case for a new realist internationalism

Global Crises

The unipolar moment is over, and the U.S. must adapt its foreign policy to an increasingly multipolar world. The old overly ambitious strategy of liberal hegemony is ill-suited to the new realities of the 21st century. Moreover, the U.S. is badly overstretched with too many commitments around the world, and it needs to chart a different course if it is to prosper in the decades to come.

To meet that need, Emma Ashford — a senior fellow at the Stimson Center — lays out the case for a new pragmatic grand strategy of realist internationalism in her valuable new book, “First Among Equals: U.S. Foreign Policy in a Multipolar World.

keep readingShow less
Israel’s foreign influence is the most unrelenting in US history
Speaker of the House Mike Johnson, R-La., right, and Israeli Prime Minister Benjamin Netanyahu, arrive to address the media after a meeting in the U.S. Capitol on Friday, February 7, 2025. (Tom Williams/CQ Roll Call/Sipa USA)
First order of House business: Protect Israel’s Netanyahu?

Israel’s foreign influence is the most unrelenting in US history

Washington Politics

In his farewell address to the nation, George Washington included a special pleading:

"Against the insidious wiles of foreign influence (I conjure you to believe me, fellow-citizens) the jealousy of a free people ought to be constantly awake, since history and experience prove that foreign influence is one of the most baneful foes of republican government."

keep readingShow less
Azov Ukraine
Top photo credit: Servicemen of the Azov battalion are attending a ceremony to remember the victims of the Olenivka camp explosion, in Kyiv, Ukraine, on July 28, 2024, (Photo by Maxym Marusenko/NurPhoto)

Far-right Azov quietly grew to tens of thousands in Ukraine military

Europe

Over the last several weeks, Russia’s 51st Combined Arms Army has achieved a penetration of the Ukrainian defenses northeast of Pokrovsk, seeking to isolate the Ukrainian forces defending the city.

To seal off the penetration, Ukrainian forces committed a large number of formations, spearheaded by the 1st “Azov” National Guard Corps.

keep readingShow less

LATEST

QIOSK

Newsletter

Subscribe now to our weekly round-up and don't miss a beat with your favorite RS contributors and reporters, as well as staff analysis, opinion, and news promoting a positive, non-partisan vision of U.S. foreign policy.