Northeastern part of India comprising the states of Assam, Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Tripura and Sikkim possesses great physical and human diversities to project it as one of the most potential areas of the country in respect of tourism. The North-Eastern states of India are lesser explored as compared to the rest of the country, despite their scenic beauty. In the context of a globally growing sector like tourism, North-East India with both physical and human diversities is one of the most promising regions of the country in respect of tourism. Considering the significance of the tourism sector as a catalyst for regional development, an attempt has been made in this article to visualize the trend and development of tourism sector in Northeastern region and focus on the need for adoption of a sustainable tourism development strategy. Furthermore, the present study is also an attempt to address the key determinants of sustainability of tourism industry in the North- Eastern India and to establish the importance of the local entrepreneurship or local community participation in ensuring sustainable tourism development. It reveals from the study that tourism being a multi-dimensional activity, depends on the involvement of many other agencies for its success. Other departments like roads, culture, forest and so on, can play an important role in the development of the total tourism product.