Collaborative forest management (CFM) is a joint forest management approach between government and community. It covers distant communities too, who live out of 5-km periphery of the forest and involves them in forest management. This paper assesses whether the distant communities are deriving benefits from CFM in the form of timber, fuelwood and fodder. A total of 350 households was surveyed using a structured questionnaire. The result indicated that distant users were getting more timber compared to the users who lived close to collaborative forest and it was opposite in case of fuelwood and fodder. About 75% and 85% of fuelwood and fodder needs was fulfilled from the private source- trees grown on private farmland. Although CFM approach is able to supply timber to distantly located households, rich and male-headed households are disproportionately receiving high benefits. Provisioning small timber to the poor for house construction in place of sawn timber which is very expensive, may enhance welfare of the poor.