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The CANWET (Canadian ArcView Nutrient and Water Evaluation Tool) and HSPF (Hydrologic Simulation Program - FORTRAN) models were applied to Upper Canagagigue Creek watershed of the Grand River basin in southern Ontario, Canada, for hydrology and sediment evaluations. Both the models have similarity in structure where CANWET is simpler, both in algorithms and use, than HSPF. The outputs of both the models for water budgeting components were compared on annual, seasonal, and monthly basis. The water budget components, evapotranspiration, surface runoff, and subsurface runoff produced by both the models were comparable on annual and seasonal time steps; however, there were some discrepancies in monthly and daily simulations. The seasonal, monthly, and daily Nash-Sutcliffe efficiency coefficient with observed stream flows were 0.83, 0.81, and 0.48 for HSPF, respectively, and 0.80, 0.67, and 0.24 for CANWET, respectively. The monthly and daily simulations by HSPF model were better since HSPF algorithm has more control on temporal variation in parameters sensitive for hydrologic simulations. The sediment simulations by both the models were consistently close for erosion and sediment yield on annual basis. However, superiority in predictions for total suspended sediment yield of one model over the other could not be concluded because of lack of observed data. The daily load of sediment modeled by HSPF followed flow peaks and available observed sediment data points.