OFSDP-II Rewriting Livelihood Story of Odisha’s Forest Communities

Bureau,Odishabara

More than 7.55 lakh people have benefitted from the initiative in last two years

Bhubaneswar, 18 July 2026: Across Odisha’s forested landscapes, a quiet but powerful transformation is unfolding—one that is restoring livelihoods, strengthening resilience and rebuilding dignity for thousands of forest-dependent families. For many households, the journey of change begins with small but meaningful support that creates a lasting impact.

A few years ago, Sairendri Sidar of Devdhara village under Jharsuguda Forest Division faced an uncertain future after the loss of her husband. Struggling to support her family, she survived on daily wage labour with little stability. Today, her life has taken a remarkable turn, empowering her to emerge as a successful vegetable cultivator, with support from the local Vana Surakhya Samiti (VSS).

“After receiving a loan of ₹15,000 through our VSS, I started pointed gourd cultivation. It changed my life by giving me a stable income and confidence to move forward,” says a proud Sairendri.

Far away in Ganjam district, Upendra Nayak of Gundibira VSS under the South Ghumusar Forest Division reflects another story of change. With support from the project, he took up oyster mushroom cultivation and successfully produced 110 kilograms from 80 beds during the last winter season, earning ₹16,500. He credits his VSS association for strengthening his livelihood and bringing greater economic security.

These stories underline the expanding impact of the Odisha Forestry Sector Development Project (Phase-II) (OFSDP-II), a flagship initiative advancing livelihood security for forest-dependent communities while strengthening sustainable forest management across Odisha.

Implemented by the Odisha Forestry Sector Development Society (OFSDS) under the Department of Forest, Environment and Climate Change, Government of Odisha with support from the Japan International Cooperation Agency (JICA), OFSDP-II is being implemented across 14 forest and wildlife divisions in 10 districts. Through more than 1,210 Vana Surakhya Samitis, the programme has built a strong community-led framework benefiting over 6,37,365 individuals from 1,47,235 families.

Driven by community participation and convergence with other government programmes, the project has rapidly expanded its footprint over the last two years. In 2024–25, cumulatively though the convergence programme initiatives, it reached 3.41 lakh beneficiaries, followed by 4.14 lakh in 2025–26, taking the overall impact to nearly 7.55 lakh people under OFSDS in last two year alone. The initiative continues to create sustainable income opportunities across multiple livelihood sectors, including agriculture, forestry, livestock, fisheries, mushroom cultivation and millet processing.

A major step forward under the project has been the establishment of six Multi-Product Clusters (MPCs) across Odisha. These include Sal leaf processing units in Karanjia, Rairangpur and Baripada, a Cashew Processing Cluster in Dhenkanal, a Lemongrass Cluster in Jharsuguda, and a Pulse Processing Cluster in Boudh. The clusters have enhanced value addition, improved market access and generated direct employment for 2,526 VSS members. The initiative is set to grow further with three more MPCs ready for inauguration and five additional clusters planned in Kendujhar, Kendujhar Wildlife Division, Bonai, Deogarh and Rourkela under OFSDS–OMBADC partnership.

Access to finance has emerged as a key driver of change under the project. Through Revolving Funds managed by VSSs, loans worth ₹31.39 crore have been disbursed by March 2026, with ₹22.83 crore already repaid, benefiting 47,746 people, including 38,147 women. This support has enabled thousands of families to start or expand income-generating activities. Women have also emerged as entrepreneurs and decision-makers through self-employment and value-added forest produce enterprises, strengthening their economic empowerment.

Beyond livelihoods, OFSDP-II is also reinforcing community-led forest management, biodiversity conservation, and ecological restoration. By integrating environmental stewardship with economic empowerment, the project is showing how forests can drive sustainable development and transform the future of Odisha’s forest-dependent communities through continued success stories.