This paper attempts to estimate the impacts of Alternate Wetting and Drying (AWD) irrigation system on modern varieties (MV) of paddy production in Bangladesh. This study was conducted using primary data. A total of 140 MV boro producers were randomly selected from Manoharpur village of Monirampur Upazila in the district of Jessore, of which 70 farmers used the advanced AWD irrigation technique and the remaining used traditional irrigation techniques in cultivating MV boro paddy. Information on inputs and output of MV boro paddy cultivation was collected through a structured questionnaire. The study findings indicate that AWD farmers used less chemical fertilisers (with the exception of TSP) such as urea, MP, Gypsum and Zinc compared to farmers using traditional irrigation. Moreover, the amount of chemical fertiliser used also varied significantly within the same farming system. The farmers used almost similar proportions of temporary hired and family (male and female) labour for MV boro paddy cultivation under both irrigation systems. However, per hectare yield of MV boro paddy, revenue and profit were significantly higher in farms that used the AWD irrigation technique. In addition, farmers using the AWD irrigation technique used excessive irrigation and urea per hectare compared to their traditional counterparts. AWD results in approximately 10 per cent increase in productivity. Another 4 per cent increase was due to differences in quantities of inputs used in the study area.