Is Japanese agriculture improving its eco-efficiency? –An application of the System of Environmental and Economic Accounting (SEEA)–

The world is facing serious resource shortage and environmental problems. Eco-efficiency is more attention for sustainable development not only in manufacturing sector but also agricultural sector. This study investigates whether Japanese agriculture improves its eco-efficiency. To conduct the analysis, we, first, develop a System of Environmental and Economic Accounting (SEEA) for agriculture and forestry, and then estimate the eco-efficiencies and Factor values (FVs) of the agricultural sector, using a case study in Japan. Eco/energy-efficiencies and FVs are estimated based on greenhouse gas emission, acidification, eutrophication, air pollution, and energy and water use in every five year from 1985 to 2005. The results shows that although the absolute amounts of environmental impact and resource use have declined, eco/resource-efficiencies have worsened and FVs are less than 1 throughout the estimation period. Further governmental support for farmers is required to achieve improved eco-efficiency.