Ecolab and CDP have unveiled a new global benchmark aimed at transforming how companies manage water—one of the world’s most strained and essential resources.

Announced at the World Economic Forum Annual Meeting in Davos, the companies’ strategic partnership introduces the Water Use Efficiency Index, a data-driven tool designed to help businesses measure, compare and improve operational water performance.

The Index provides sector-specific benchmarks for best-in-class water efficiency and optimized targets, giving executives a clear view of how their operations stack up—and where improvements can deliver the greatest impact.

The initiative launches with a pilot focused on the Beverage and Brew segment of the Food, Beverage and Agriculture industry, one of the most water-intensive sectors globally.

Water efficiency is increasingly a business imperative, particularly in water-stressed regions. Improving operational performance can cut costs, strengthen resilience and reduce pressure on shared water resources.

Global freshwater demand is projected to exceed supply by 56% by 2030, while as much as 60% of global GDP depends on reliable access to water. Food, beverage and agriculture companies account for roughly 70% of global freshwater withdrawals, and new pressures are emerging as AI-driven growth accelerates—potentially consuming as much water by 2030 as the annual drinking water needs of the United States, alongside electricity demand equivalent to India’s annual use.

Against this backdrop, the Water Use Efficiency Index offers companies a clear, comparable view of what best-in-class operational water use looks like across industries. Businesses can benchmark themselves against peers, pinpoint efficiency opportunities and build roadmaps to scale circular water management practices enterprise-wide.

Improving water efficiency and reuse is central to advancing water circularity, particularly as population growth and expanding manufacturing and digital infrastructure drive demand. Stronger water performance can also reduce total operating costs—since up to 75% of manufacturing energy is tied to moving, heating and treating water—while improving product quality through more consistent processes.

“Water is the foundation of life and business. Every breakthrough depends on water, and the private sector has an incredible opportunity to reimagine how we manage this vital resource,” said Christophe Beck, Chairman and CEO, Ecolab.

“Our partnership with CDP aims to be the catalyst for industrial water use transformation. By championing best-in-class operational water performance, companies can embark toward a future of meaningful growth and positive impact.”

“Water is a critical economic input. It is integral to growth and success across industries including AI, semiconductors, and manufacturing. As water stress intensifies, companies that understand, manage and improve their water use will be better positioned to protect margins, secure supply chains and attract capital,” said Sherry Madera, CEO, CDP.

The Index is built on CDP’s database of more than 10,000 annual corporate water disclosures, combined with Ecolab insights from millions of customer locations across 40 industries and 170 countries, as well as data from leading trade organizations. Together, these datasets establish best-in-class benchmarks and spotlight industry-leading enterprise-level water performance.

“By combining CDP’s leading disclosure data with Ecolab’s industry water use expertise, we are giving companies a clear view of where they stand operationally compared to industry norms and best-in-class performance,” said Emilio Tenuta, SVP and Chief Sustainability Officer, Ecolab. “Together with CDP, we are helping companies turn disclosure into action to drive performance, improve efficiency and lower costs.”