Based on the provincial panel data during 1999—2013, the agriculture water utilization efficiency under the constraints of resource and environment is studied using SBM-Undesirable and Meta-frontier model, and the influence factors of grain production water use efficiency is analyzed with random effect Tobit model. The results indicate that cause by the gap of grain production technology among different regions, there is big difference in the efficiency of grain production between the East and the West of China. The agricultural mechanization level, technical factor, per capita grain output and farmers' per capita net income all have influence on grain production. The influence of irrigation fee is not significant and the level of mechanization is rather significant, which means that water saving irrigation equipment has not been widely used, and irrigation and agricultural water price is not reasonable, in which case they do not play a role in promoting the efficiency of grain production.