Wood is one of the most used resources of all time. From wood carvings for the sake of art to perform our basic daily chores, we are helplessly depended on it. Nepal is rich in forest resource but not in the wood enterprise. According to forest experts Nepal has a great potential of firewood but we are lacking to produce the sufficient wood.The demand of wood is comparatively high in regard to the supply of it.We still need to import billions worth wood from the foreign market though the forest area has been increased in Nepal 39 percent to 44 percent as per Department of Forest Research survey research.

From business perspective private forest wood can be more resourceful in comparison to others. Private forest can enrich the wood market and help the failing economics of Nepal from going downhill.According to the Chairperson of the AFFON (Association of Family forest owners Nepal) Jog Raj Giri ,"The person has the right on the land but not on the trees of their land.Policies are the major obstacle for the enterprise of the wood."

According to the Forest expert Bharat Pokhrel, "Nepal has capacity to fulfill the demand of the wood inside the country as well as go for the international market such as Tibet and China. If the government made the policy for the selling of the wood in International Market, Nepal can prosper soon.” Furthermore, banking sector investment is needed in the private forest sector. Business mobility and planning is necessary in the field of private forest for the sufficient production of wood. Studies have identified the potential of family forestry i.e. 3.6 million hectares of land, but at present we have only 2,600 hectares that is registered under private forestry.

Though the Forest Act 1993 has mentioned about the private forestry and its promotion to improve the forest cover, there has not been adequate legal policies and programmes launched to encourage people towards private forestry. In the budget of Nepal 2073/74 scientific forest management program extends 6 districts to 11 districts. It is our government weakness not to think and cover all the 75 districts.Last year the forest sector collected 25 cores 85 lakh and 42 thousand rupees remittances only in eight months’ time. According to Finance Ministry economic survey 2072/73, 69 cores 72 Lakh remittance was collected from the forest sector.Remittance collected from the 69/70 remittance was increased to 1 million 39 cores. Scientific forest management is crucial for the maximum income source of the forest.