Non-Timber Forest Products (NTFPs) are being increasingly recognized for their role in rural livelihoods, biodiversity conservation and export values. The market of NTFPs is expanding, and this is an opportunity as well as a challenge for a more sustainable, efficient and equitable management of NTFP resources. But unsustainable harvesting, inequitable benefits distribution and overall economic inefficiencies characterize the current NTFP practices. This paper seeks to review the current policy issues and their implications in sustainable management, utilization and trade of the NTFP resources. Policy issues have been clustered around 'inappropriate regulatory control' and 'inadequate enabling environment' for sustainable NTFP management and trade. These two categories of issues are dealt with in detail with specific cases and examples. By analysing observable economic, social and ecological consequences of such issues, implications for more directions of policy change are made for sustainable use and management of the NTFP resources in Nepal.
