To evaluate the influence of burrowing substrate on the rearing performance and ambicoloration of cultured flounder, Paralichthys olivaceus, we compared the daily food intake (DFI), feed efficiency (FE), survival, growth, proportion of pigmented skin on the blind side, and proportion of ambicolored fish. We reared juvenile flounders [total length (TL) $4.46{pm}0.06cm$, body weight (BW) $0.77{pm}0.03g$] in dark-green fiberglass-reinforced plastic (FRP) aquariums without (control) or with gravel substrate at a density of 200 fishes/ton for 120 days. While there was no difference in survival rate or growth, the DFI was lower and FE higher in the group raised with substrate than in the control. The proportions of pigmented area on the blind side and ambicolored fish were significantly higher in the control tank. Therefore, the supplement of substrate on the aquarium bottom positively affects the feeding efficiency, and inhibits abnormal pigmentation on the blind side in flounder farming at high density.