There are growing interests in environmental friendly cultivation for the matter of health concern. This study analyzes an economic efficiency of strawberry and tomato farming by considering the role of environmentally friendly cultivation. The Database of Rural Development Administration is used for strawberry and tomato farming households. We adopt a Bayesian stochastic frontier model to resolve a small sample property of the data. Empirical finding is that environmentally friendly cultivation improves the revenue of farming but the effect on net profit is not conclusive which calls for future research.

This case study surveyed management situations of environmentally friendly farming(EFF) producers’ organization and their main activities. Farmers are aging as an average age of 55-year old and producing fruit-bearing vegetables. The EFF did not increase farmer’s income, however, price and income was stabilized more than that of conventional farming because of contract farming. Farm household liabilities are caused by purchasing agricultural machinery, materials and so on. Farmers of EFF have been also cultivating conventional farming, but they don’t plan much conversion intention of conventional farming into EFF owing to lack of differentiated and stable market for their EFF products. And they are guessing that EFF income will increase a little. For increasing of EFF income, they think that it is necessary to reduce production cost, produce high quality production, develop processing foods, enlarge contract farming and so on.