Forests and trees are essential for the welfare of people and play significant role in sustainable development. Extent of forest resources is one of the criteria for monitoring the progress towards sustainable forest management. The total forest and tree cover of Himachal Pradesh is 15,453 km² which is 27.76 percent of the state’s geographical area. As per National Forest Policy 1988, the aim should be to maintain two-third of the geographical area of the state under vegetal cover in the hills and in mountainous regions; but there is very little scope for realizing the envisaged target in near future in the state. There is no enough culturable land in the state, as large area of the state is covered under alpine pastures, barren and unculturable wastelands and snow bound areas where trees do not grow. Agriculture in the state is mainly subsistence, and hence there is not much scope of expanding agroforestry in these marginal lands. Therefore, it is prudent to focus more on protecting the existing unspoiled forests, eco-restoration and qualitative improvement of the degraded forests. Positive environment towards agroforestry plantation in the state will motivate the farmers to reap the incentives under Sub-Mission on Agroforestry which will not only fulfill the multiplicity of local requirements but also reduce the pressure on existing forests.