Abstract:The three-stage DEA method is used to study the relevant data of water for production in Jiangsu Province from 2010 to 2017 by selecting the water for production, labor forces and input of fixed assets of industrial sector as the input indices, the regional gross domestic product as the output index, and annual precipitation, compliance rate of water functional areas and ownership of water resources per capita as the environmental variables. The results show that there are five years which are non-DEA effective at the first stage, mainly owing to that the unreasonable allocation of resources affects the utilization efficiency of water for production. After eliminating the influences of environmental variables, non-effective management and random interference at the second stage, the efficiency values of the third stage are improved, and the environmental variables mainly affect the water for production. Although the comprehensive efficiencies of the first and third stages are different, the overall change trend is the same, that is, the utilization efficiency of water for production from 2011 to 2015 decreases to some extent, it gradually increases after 2015 and reaches the optimum status of utilization in 2017. Finally, some suggestions are put forward for improving the utilization efficiency of water for production in Jiangsu Province.