This research explores the existing harvesting and marketing practices of selected Non Timber Forest Products (NTFPs) species in the Makawanpur district of Nepal. Profit margin of lower belt collectors is found satisfactory, but due to high transaction cost of illegal export profit margin of Lichen collectors is found very low. Night halters have higher profit margins in comparison to non-halters and the number of former is increasing every year. Informal practices are found from NTFPs collection permit to their delivery to the Indian wholesalers. Average understanding level on regulatory, marketing and technical aspects is found higher in lower belt collectors than upper belt collectors, and forest night non-halters than forest night halters. For proper harvesting there is need of supply based regulatory system, proper allocation of property right and appropriate season/time and scientific methods of NTFPs collection. Likewise, policy needs attention on empowerment of collectors through formulation of cooperatives, trainings and flow of market information.