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The correct option is 1, which means that only statement 1 is correct. The North-Eastern Region Community Resource Management Project is indeed a livelihood and rural development project. Its main objective is to uplift the lives of the poor and marginalized tribal families living in the upland areas of North-East India.
Statement 2, on the other hand, is incorrect. The Project is not initiated exclusively by the North-Eastern Council. The project is a collaborative effort between the Government of India, the North-Eastern Council, and the International Fund for Agricultural Development (IFAD). The North-Eastern Council is one of the implementing agencies of the project but not the sole initiator.
Therefore, option 1 only is the correct response.