Since the latest round of WTO negotiations began in 2001, world agricultural markets have evolved significantly. Production, prices and trade flows have been transformed while over the same period countries have also altered their agricultural trade and domestic support policies substantially. This study focuses on developments in world agricultural markets and in the policies (defined as domestic support policies and trade policies) of major agricultural producing regions that have occurred since 2000. World agricultural markets continue to face significant distortions from government interventions in the sector. While some of these are targeted towards correcting market failures, others are not and have the potential to distort incomes and welfare, reducing the potential benefits that are derived from the sector, the efficiency of global food production and the benefits from trade in its production (as a means of balancing food surplus and deficit regions at least cost to consumers).