Agriculture is only profitable if the water used is super cheap. Piping in water from far away is really expensive, with the cost going up the farther away the water has to come from. Oil is pretty expensive already and people are OK paying a few extra dollars per barrel to pipe it far away, but a few extra dollars per barrel of water would be uneconomical for agriculture.
We do actually pipe water for agriculture and residential use but past a certain distance it doesn’t make economical sense. It would become so expensive that it would make more sense to invest in ways to reduce water consumption like more efficient irrigation, aquifer injection of treated wastewater, etc.
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