Today there is adequate research evidence at national and international level regarding the health and mental health consequences of disasters. The realization of the larger impact of mental health on the recovery process has been instrumental in prioritizing mental health and psychosocial well-being of affected populations in recent years. Traditionally the bio medical models were used to understand the disaster mental health outcomes, however over the last two decade a gradual change is visible in the understanding of the mental health and psychosocial consequences of disasters. It is more inclusive of varied expressions of distress and the services to address the same. A review of various disaster mental health research and interventions documented since 2001 reveals that most studies/interventions attempt to list the various mental health problems and psychosocial consequences. There are very few studies which go beyond listing of consequences, to focus on implications of disaster mental health for long term disaster recovery. There is dearth of research based literature on the concept of community trauma, factors contributing to negative emotions and emotional distress/ problems, community response (social and cultural) to disaster mental health issues, long term emotional implications of psychosocial consequences of disasters and the life course of individuals with mental health issues in the long run following disasters. The paper attempts to address the above mentioned issues in the context of 2004 tsunami. The paper is based on a study carried out in India two years after the disaster. A Case study approach was used and 177 case studies were collected from 104 villages in 14 affected districts of three states in India. The paper contributes to understanding the long term implications of disaster mental health for disaster recovery and reiterates the significance of integrating disaster mental health services within humanitarian services.