The article attempts to analyze the present land use patterns and effects of ecological degradation on land utilization in the Madi valley, Nepal. The article concludes that although the Madi valley is the biggest agricultural area in the Tinau watershed, which is ideal for paddy production, is not cultivated all the year round. The two main problems for agricultural land use in the Madi valley are drought and flood. That means provision of proper irrigation and conservation of water through scientific management is needed, and proper drainage and flood control measures are required. The article includes two maps. (Rajeev Ranjan Singh 2007-01-28)