Abstract : This research aimed to evaluate the economic impact of drip and traditional irrigation systems on sugarcane production and water saving in Egypt. So, this research based on preliminary data (questionnaire) through comprehensive inventory of all sugarcane farmers who apply drip irrigation system in Luxor and Aswan (30 farmer) and 30 farmer who applied traditional irrigation system were chosen randomly. Also, this research depend on descriptive and quantitative statistical analysis methods such as average, regression analysis, F test and T test. By applying drip irrigation system for sugarcane: productivity, total cost, net return, net return to the water unit and water unit productivity increased by about 53.8%, 8.8%, 177%, 340% and 144%, for each, respectively. While rated water and ton needs to water decreased by about 37.4% and 59.3%, for each, respectively. In case of if the drip irrigation system is applied, the increase in produced quantity of sugarcane in Egypt is estimated by 7.1 million tons and the increase in the quantity of produced sugar from sugarcane is estimated at about 650 thousand tons, it can save about 79.8% of raw sugar imports quantity from sugarcane and save about 73.5% of the total sugar imports, in 2021. Also it can save about 1.2 billion m3 in the quantities of used irrigation water for sugarcane in Egypt. This water saving can be directed to irrigate other crops.