During the past socialism, the country had many state owned tree nurseries in northern Mongolia, especially in Selenge region. In early 1990s, when Mongolia started shifting to a market economy, the forestry sector has completely failed and practically all tree nurseries had to have closed down, except a few. With issuance of Community Forestry Regulations by Ministry of Nature and Environment in 1998, many communities in Selenge region are now interested in tree nurseries.

The project aims to establish a pine tree nursery to be run by a local community in order to supply Sukhbaatar and Altanbulag sums in Selenge area with pine tree seedlings.

To establish the nursery, a 2 hectar area was fenced first near Honda resort in Tujiin nars. Land was processed and developed for for raising pine tree seedlings. Watering/irrigation system was installed. 80,000 seedlings were raised in 2003. ( 130,000 seedlings in 2004 and 180,000 in 2005)

In paralell with great contributions to environment, the tree nursery supports livelihoods of the local community. They sold 80,000 two year old seedlings in 2005.

Approx. estimate: 80,000 seedlings x 25 Tg = 2,000,000 Tg or US $ 1,666.00