Agroforestry holds the key in providing alternative economically viable livelihood development and to support mountainous farmers to adapt to climate change. Innovative agroforestry interventions integrating animal production, horticulture etc into cropping systems exist that can help farmers improve yields and build resilience for supporting livelihoods particularly among marginal communities. But, the lack of knowledge, technical know-how and other information among the farmers are major barriers in adoption of agroforestry. Millions of the farmers of mountainous regions are already wrestling with water scarcity, which would be more severe in climate change scenario. The Himalayan regions are have been considered to be highly sensitive to climate change. Indeed, Innovative agroforestry interventions have the potential to conserve natural resources, improve productivity and provide resilience to climate change. The present paper highlights the need for developing innovative agroforestry interventions to promote various alternate livelihood options through diversification, adoption of high yielding varieties and development of innovative products from forest resources. Of these spice based agroforetry, silvi-medicinal systems, Van silk cultivation, bamboo and ringal cultivation and development and use of farm resources based products like bamboo based composite structures, Seabuckthorn herbal tea, Ghingaroo juice (Crataegus crenulata) and incense products etc holds a promising potential to be explored as better options for future scenario.