Structural changes in agriculture have been going on in many countries all over the world during the last two decades. Developments were forced by radical reforms of countries concerned resulting in to establishing new farm structure. Large scale farm systems were broken up and tens of millions of small farms were established in Central and Eastern Europe (CEE) and former soviet states (CIS). Although small farms play a very important role in providing people with food, negligence and taking over the vertical coordination of food sector by multinational retail chains as well as severe competition have placed hard pressure on small farms. As a consequence number of small farms declined very much and this process still did not come to an end. The question arises: what is the future of small farms in the region?