The agricultural and food productionsector plays a key role in fighting poverty and foodinsecurity in Moldova, but is facing critical challenges tomodernize and integrate into the international market. Thispaper focuses on smallholder farms, which make up 95 percentof all farms, and explores their potential for growth andthe poverty links. Findings reveal that structural change isslow and smallholder farm growth in Moldova is an exception,not the rule. Only a small share of smallholder farms havethe interest or capacity to commercialize but need targetedsupport policies to grow, intensify their farm activities,and integrate into the markets. For the remaining majority,enhancing their livelihoods calls for policies beyond theagricultural sector to help farm households diversify towardnon-farm income.