We address the role of food demand and the agents’ mental models for the future of water scarcity. After briefly introducing fundamental facts concerning the water cycle and human water withdrawals, a system dynamics model containing a stylized water cycle and the interaction with a food producer is presented. The producer’s task is to maximize profits while conserving sufficient water reserves in the mid- and long-term. Simulation of various stylized decision policies shows a range of different outcomes, making the simulator a valid instrument for decision-making experiments. We close the contribution by discussing the role of decreasing precipitation in the water system and describing future steps.