The present invention provides a method of producing primate retinal progenitor cells, comprising culturing primate embryonic stem cells as suspended aggregates in a serum-free medium, and obtaining retinal progenitor cells from the culture. The present invention further provides a method of producing photoreceptor precursor cells, comprising culturing isolated retinal progenitor cells differentiated from embryonic stem cells, under adhesive conditions, in the presence of a gamma secretase inhibitor, and obtaining a photoreceptor precursor from the culture.