The rapid decline in the number of Yellow-crested Cockatoos in their natural environment is mainly due to the illegal trade in caged birds. The destruction of their habitat by logging and the conversion of forests into agricultural land are further pressures.
 
A recovery plan for this species was put into place in 1998. Its main aims are to control trade, conserve habitats, establish captive breeding colonies to eradicate the demand for wild birds, study the ecology and dynamics of cockatoo populations, and organise awareness programs.