Increasing temperature leads to increased evapotranspiration, ultimately creating limiting water environment. It also hastens life cycle of plants resulting in formation of poor biomass. Poor biomass often results in lower conversion from source to sink. Moreover, it also leads to contraction in seed-filling period. All these result in poor realization of yield potential of crop varieties.
As temperature increases, the rate of evapotranspiration increases. Evaporation increases because there is a higher amount of energy available to convert the liquid water to water vapor. Transpiration increases because at warmer temperatures plants open up their stomata and release more water vapor.