The paper has argued that the overall impact of the economic, social, political, cultural, legal, administrative and technological variables does not appear to be conducive for the desired and deserved growth of the forestry sector in India. The sector has a vast potential for contributing to the development of the local communities as well as the national economy. More importantly, it ca be used as a vehicle for economic growth with social justice-something that the nation has aspired to achieve since long. The forestry sector in India, however, seems to have lagged behind because of a number of reasons e.g. (i) the emphasis on the philosophy of sustained yield, (ii) State ownership and management of forest lands, (iii) private ownership and management of most forest based industries, and (iv) preference for short-term objectives while allocating developmental resources. The situation presents a challenge as well as an opportunity for the professional forester.