A survey was carried out in Salkhala Game Reserve to study the current status and distribution of important wildlife species, factors effecting biodiversity in the area and to propose a management plan for the protection and conservation of biodiversity in the reserve. During the survey 12 species of mammals and 28 species of birds were observed. Among them important being are; Musk deer (Muschus chrysogaster), Grey goral (Naemorhedus goral), Black bear (Ursus thibetanus), Common leopard (Panthera pardus), Leopard cat (Felis bengalensis), Common Otter (Lutra lutra), Grey langoor (Presbytis entellus). Western Horned Tragopan (Trapogan melanocephalus), Monal pheasant (Lophophorus impejanus), Kaleej pheasant (Lophura leucomelana hamiltonii), Koklas pheasant (Pucrasia macrolopha biddulphi) and Chukar (Alectoris chukar). Population of many species is currently under threat due to various factors such as poaching, shelling by Indian army, deforestation, weak law enforcement, Goochie collection (Black mushrooms), fuel and timber wood extraction and medicinal plant collection by the local people. Dominant and important plant species were also recorded. Among plants Sassurea lappa (Kuth) is considered as endangered species. Local people being poor and illiterate, depend heavily upon natural resources and do not know about their status and importance. In order to protect and conserve wildlife and other components of biodiversity in the reserve, it is recommended that a system may be established which ensures the involvement of local communities in the issues related to the conservation of resources, especially wildlife species. Educational programme about the biodiversity conservation should be formulated for local communities and alternate livelihood programmes may be started for them.