A study was conducted to analyze the land use pattern and land capability of a delineated watershed in Odisha India. The hydro-meteorological data for onset and withdrawal of effective monsoon, occurrence and duration of critical dry spells for effective rain water management, crop planning and design of soil water conservation structures were analyzed and the land and water allocation plan to different activities to maximize food, fodder, fuel wood production, labour employment generation and minimization of soil loss using multi-objective linear programming (MOLP) method were prepared.