The paper looks at the impact of water harvesting programs in ground water recharge through the case of the Sujala watershed in Karnataka. On comparison with areas of non sujala watershed and non watershed cases in one normal rainfall and one drought year, it was revealed that Sujala has been successful in recharging groundwater, improving farmers’ incomes and increasing crop production. Further the program is inclusive and the benefits were accrued even to the small and marginal farmers. In fact the net return for small and marginal farmers was higher that that for large and medium farmers. The study concluded that there is potential for expansion of Sujala pattern of watershed development program in other parts of Karnataka and India.