Rhododendron arboreum locally known as ‘Burans', that bears magnificent flowers is one of the valuable non timber forest produces (NTFPs) in Garhwal Himalaya. These flowers are good source of income for local populace and help them to their subsistence up to some extent. R. arboreum flower can help local population to improve their livelihoods if potential harvesting is carried out sustainably. An attempt has been made to estimate the flower yield, examine extraction techniques, marketing trends and various uses of flowers. Stratified random sampling method was carried out in eight sites varying in altitudes and geographic locations. Flower yield kg/ha for each site was calculated as standard process. Questionnaire based survey was carried out in selected villages for flower extraction and marketing trends. Projections of potential (probable/-could generate) income were made and cost–benefit analysis was also estimated. Tree density of R. arboreum ranked first and Q. leucotrichophora had second rank while 16–25 cm cbh class tree density for R. arboreum was found highest across the sites. Flower yield was significantly (p < 0.001) higher at Khirsu site with 26–35 and 46–55 cm cbh class. There was positively significant correlation (n = 446, p < 0.001, r = 0.53) between flower yield and actual cbh. Flower yield has a direct relation with size of tree whereas yield has been less impacted by the sites. Average yield of flowers across the sites was about 25.3 ton/ha. On average 30% households are engaged in the extraction and trade activities with the extraction rate of 25–350 kg/household/year. A net household income of Rs. 6000–37,000 (89–545 USD) per year was computed from Rhododendron flower extraction and marketing business. The total monetary benefit was significantly higher than the inputs for all value added items on a per day basis. R. arboreum plays important role in ecological and economic sustainability of poor rural people and unemployed youths in Himalayan region. This can reduce unemployment through development of small cottage industry and entrepreneurship at village level by making different food products i.e. juice, squash, sauce and pickle etc.