The kendu leaf trade in Odisha faces major disruptions due to regulatory barriers, affecting forest-dependent communities and limiting income opportunities despite legal rights under the Forest Rights Act 2006.

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• In Koraput district, several gram sabhas are awaiting official approval to independently trade kendu leaves, a crucial seasonal income source for forest-dwelling communities, especially women involved in collection activities.
• Kendu leaves, often called green gold, are widely used in the beedi industry and form an essential part of forest-based livelihoods across tribal regions of Odisha.
• The Forest Rights Act 2006 recognizes kendu leaves as a minor forest produce, granting communities rights to collect, manage, and sell these resources for their economic benefit.
• A later amendment allowed gram sabhas to issue transit permits and manage trade processes, aiming to reduce dependence on state-controlled systems and improve local autonomy.
• Despite legal provisions, communities still require deregulation approval from the state government, without which they cannot directly sell leaves to private buyers or access better market prices.
• Due to absence of approvals this season, traders avoided purchasing kendu leaves, forcing villagers to sell their produce at significantly lower prices, reducing their income.
• In the previous year, delays in permissions led to large quantities of harvested leaves being damaged by rain, causing financial losses worth several lakh rupees.
• The ongoing challenges highlight gaps in policy implementation, affecting livelihoods, weakening local governance, and limiting the economic potential of forest-based communities.