Slow progress towards the integration of rural policies at EU level is enco
uraging member states to promote strategic and local forms of integrated ru
ral development (IRD) at the point of policy implementation. In the UK, the
progressive agenda of devolution coupled with accumulating evidence on spa
tial trajectories of rural development suggests that it is at the regional
level that IRD needs to be fostered. This raises a number of issues for rur
al regions, concerning how to develop spatially sensitive strategies for IR
D and institutional structures conducive to integrated development needs. T
he purpose of this paper is to explore these issues by focusing on how well
the evolving institutional structure in Wales fits the needs of IRD, as ex
emplified by the objective of developing strong vertical linkages between a
gricultural production and the food sector. This provides a number of chall
enges for the new devolved tier of government in Wales, the Assembly, and h
as a number of wider implications for the progression of IRD across rural r
egions.