The forest resources of Nepal after continuously dwindling for the last four decades are showing signs of rejuvenation. One of the main reasons for this has been active participation of community groups in carrying out long-term investment, development, management, and utilization of forest resources under a new type of forest management system called User Group Forestry. Under this programme, which takes its root in Nepal's own indigenous system of assigning local people the full authority of managing the resources, more than 3000 user groups are currently engaged in managing on an average of one hectare of primary and secondary forest for each family of 6. An evaluation was carried out in 2 of the leading districts in the Midhills area (Palpa and Kaski), which showed that while the handing over of the forest was yielding positive results in terms of forest resource growth, several factors needed to be more seriously understood by the planners in order to achieve long-term sustainability. Sustainability indicators could be grouped as socioeconomic, biophysical, or equity factors. Important socioeconomic variables identified were: well protected and stocked forests, absence of disputes, self-sufficiency in forest products, nondependence on common forests for fuelwood and fodder, existence of a common forest development fund, prior existence of an indigenous forest management system, sufficient provisions for achieving equity, a high degree of participation, and maximum user satisfaction. Sustainability was also examined based on sustained-yield concepts. Sustainable forest management as perceived by the people included recognizing the limits of forests to withstand concomitant socioeconomic and environmental changes, and in managing human needs, and striving for the maximum level of production of goods and services within these limits. The equity aspects included the distribution of benefits commensurate with investment in terms of traditional inheritance, protection, and contribution.
