Rosemary seedlings are obtained by vegetative propagation because the seeds present low viability. Despite being an expanding crop, there is little information on water consumption during the propagation stage. Water levels and irrigation frequencies were therefore applied using a completely randomised design having a 4 x 2 factorial arrangement. The first factor concerned irrigation frequency (4 and 8 days) and the second concerned water level (0.6, 0.8, 1.0 and 1.2 evaporation inside the greenhouse). A 1.0 coefficient combined with 4-day irrigation frequency presented the best results regarding height (39.3 cm), fresh weight, dry weight and branch length (146 cm). Water level affected the fresh and dry weight of leaves regardless of frequency. Relative water content in leaves did not present differences due to environmental conditions minimising treatment effect. Rooting percenttage showed no significant differences regarding irrigation frequency or water level. Irrigation frequency did not affect rosemary growing pattern because sphagnum retains high moisture content. The best branch number (34) was obtained with 1.0 coefficient and 4-day frequency, this being important from the production point of view because this is the material which is sold. Water management changes photoassimilate distribution in rosemary plants.