Land based livelihood options overwhelmingly predominate in an agrarian society like Nepal because nonagricultural
sectors, namely, trade, commerce and industry have not flourished and also have not been able to
generate employment opportunities to a large number of people. This paper is based on a survey research
conducted in the Far Western Region of Nepal during July 2007-Nov 2008. The study reveals that food is barely
enough for 0-3 months for the majority in the region. In fact, the poor engage themselves in wage earning in
agriculture and non-agriculture sectors, they move to India as seasonal labor migrants, supplement their earning
by cutting and sale of fire wood, and engage themselves in caste based occupation etc (true for Dalit) as
livelihood options. The paper argues that this situation is a product of, and also regulated by, various local age
long feudal social institutions like Khalo Pratha (System), Haliya Pratha (System), Land Mortgage System (Mate
Bandaki), Share cropping, etc which exhibit positive and negative relationship. It is also because of structural
constraints in land holding pattern (class), existing caste system, and gender disparity. By and large, the most of
these institutions have been found as discriminatory and exploitative to the land poor by giving them unfair wage,
debt burden, and treating them inhumanly like semi-slavery and social discrimination.