This report presents an analysis of the nature of both indigenous and professionally sponsored community forest management systems in two districts in Tanzania. It describes various types of internally generated forest and tree management systems. It demonstrates that a gap exists between indigenous and externally sponsored management systems. In the externally sponsored projects, the concept of participation implies that rural people should participate in professionals' projects, rather than that professionals should participate in the livelihood projects of rural people. Interventions along these lines generate confrontations, as well as degrees of collaboration and participation between local farmers and projects. The study focusses on three key actor categories to be considered in community forestry projects, i.e. farmers, village extension workers and supervisors. The relations between these actor categories constitute the "middle ground" of community forestry development. This concept refers to the totality of social processes and fields within which the actors attempt to establish common ground for their negotiations over resources and development alternatives. The study seeks to understand how strategic actions and interactions of different actor categories shape the outcome of community forestry projects, as well as how to bridge the gap between internally generated activities and externally sponsored interventions.