In this article we clearly showed that determination of spectral index of vegetation can be of great help in forest management, particularly on the regional and local levels. Forest detection technology based on remote sensing has advanced to a point where it surpasses all other types of wood detection techniques. The main goal of this paper is to present the results of the implementation of remote sensing in the analysis of forests in the municipality of Topola through the use of normalized difference vegetation index (NDVI). With regard to the fact that vegetation in Serbia is increasingly destroyed, the authors of this paper would like to suggest application of a method that is based on interconnectivity of surface evaluation and analytical deciphering of remotely sensed images. Forests are clearly distinguished on images in terms of their borders, forms, and tonalities, which makes them easily noticeable even on the small images. The application of this method is not limited only to analysis of the current state of forests. It may also cover degraded forest areas and help in the detection of illegal timber harvesting. Hence it can serve as the basis for the much better future local forest management of Serbian municipalities, and can easily be applied to other Balkan countries that have similar situations in the sphere of local forest management.