The watershed approach benefits the farmer through improved soil health, better drainage and more efficient use of rainwater for crop productivity. A study was conducted to analyze the effective implementation of watershed programme on source of irrigation, ground water recharge and crop productivity at Kanavisiddageri sub watershed which lies in Totaganti micro-watershed area of Hirekerur taluk, Haveri district of northern transitional zone of Karnataka. The study revealed that construction of water harvesting structures showed a significant increase in borewell yield. The maximum borewell yield (2.48 l/sec) was recorded in station S7 of lower reaches followed by S5 of middle reaches (2.39 l/sec) and S2 of upper reaches (2.3 l/sec). Among 110 borewells, 65 (59%) borewells were functioning and 45 (41%) borewells were non-functioning before watershed treatment. After watershed treatment, the number of non-functioning borewells were reduced to 10 (9.1%) and about 31.9% borewells functioning has been increased. There was a net increase in the crop productivity of some crops such as jowar from 3.0 to 3.7 q/acre, maize from 2.9 to 3.2 q/acre, cotton from 2.6 to 3.3 q/acre and red gram from 2.1 to 2.5 q/acre after watershed treatment when compared to before watershed treatment.  Hence, the present study revealed that watershed development programme has significant impact on water resources and crop productivity.