This report attempts to assess the status, trends and outlook for Nepal's forestry sector to 2010. It will serve as an input to the Asia-Pacific Forestry Sector - Towards 2010 being prepared by the Asia-Pacific Forestry Commission. The report tries to summarize the available forestry statistics and information together with an informed judgement and assessment of trends of Nepal's forestry sector. Most of the projections given here are based on the Master Plan for the Forestry Sector Nepal (MPFS, 1988) which spells out the forestry policy and programmes of Nepal. Up to date departmental reports and records have also been rigorously consulted. Comments from forestry officials on the draft version have also been incorporated in this report.