Traditional farming practices in remote highland regions are usually well adapted to the local agro-ecological and social conditions. There, introduced agricultural innovationAgricultural innovation geared toward sustainable intensification as a response to changing environments often faces multiple barriers. These may comprise limited market incentives for enhanced production, narrow pathways of knowledge transmission, and infrastructural hurdles. To quantify effects of innovation and sustainable intensification in enhancing small-holders’ livelihoods in the Karakoram Mountains of Northern Pakistan, the present study was conducted with 86 small-holder farmers. We chose interviewees who are involved in the cultivation, processing and/or trading of apricotApricot ( L.) (Prunus armeniaca L.), a L. (apricot) traditionally important currently eroding fruit crop of the Central Asian highlands. By investigating the status quo of apricot production and producers’ innovative farming practices, we generated an intensification index based on simple agronomic indicators. Explanatory farm and framers’ characteristics, production characteristics, knowledge, and apricot management were tested for their predictive power. Although the data show low average profits of 3.8 US$ tree−1, we found that intensified apricot production can contribute to the provision of nutritious food and increased household income. Age and training of farmers were key factors fostering innovation, while lacking awareness of innovative practices was attributed to slow communication. Rejection of intensification was either due to low-value attribution toward apricot farming or risk aversion. Commonly adopted innovations, particularly sulfur dryingSulfur drying, were either well integrated with traditional practices or characterized by low up-front costs and high returns on investment. Management intensification may increase farmers’ incomes and retard abandonment of apricot farming and the consecutive loss of associated benefits, such as diversified farm output and improved ecosystem servicesEcosystem services.