Network coding (NC) makes content distribution more effective and easier in P2P content distribution network and reduces the burden of the original seeder. It generalizes traditional network routing by allowing the intermediate nodes to generate new coded packet by combining the received packets. The randomization introduced by network coding makes all packets equally important and resolves the problem of locating the rarest block. Further, it reduces traffic in the network. In this paper, we analyze the performance of traditional network coding in P2P content distribution network by using a mathematical model and it is proved that traffic reduction has not been fully achieved in P2P network using traditional network coding. It happens due to the redundant transmission of noninnovative information block among the peers in the network. Hence, we propose a new framework, called I2NC (intelligent-peer selection and incremental-network coding), to eliminate the unnecessary flooding of noninnovative coded packets and thereby to improve the performance of network coding in P2P content distribution further. A comparative study and analysis of the proposed system is made through various related implementations and the results show that 10-15% of traffic reduced and improved the average and maximum download time by reducing original seeder's workload. © 2015 M. Anandaraj et al.