Forest provides livelihoods for hundreds of millions of people worldwide, throughrnproduction of different products. The purpose of this study was to analyze therncontribution of collected forest products for local livelihoods and forest conservation inrnMasha and Andracha Woredas of Sheka Zone in the Southern Nations and Nationalitiesrnand Peoples Regional State. Systematic sampling and simple random samplingrntechniques were employed to conduct survey of households and markets, respectively.rnFurthermore, vegetation data were collected in a total of 160 plots (20m x 20m) in fourrnPAs following gradient of accessibility (village to deep forest). The analyzed householdrnsurvey data results showed honey from beehives,kororima (Aframomum corrorima),rntimiz(Piper capense), wild honey and cultivated coffee were collected mainly forrncommercial purposes whereas bamboo culm, fire wood, medicinal plants,wild geshorn(Rhamnus prinoides), lianas and wild coffee were collected for subsistence. Income fromrnforest products support 71 % in Beto, 22.1 % in Abelo, 74.6 % in Chegecha and 26.8 %rnin Modi (PA) of the average annual income of local people. Analyzed market data resultsrnalso showed honey, kororima (Aframomum corrorima), firewood, charcoal and localrnconstruction materials were major traded forest products in local markets.The vegetationrndata analysis revealed that there were a total of 20 woody plant families were recordedrnin the four PAs. Where 27 species were found in sample plots in Modi PA, 29 speciesrnwere found in all three PAs.The Shannon-(H) of each PA woody vegetation were 3.0862rnin Beto,3.1373 in Abelo,3.0662 in Chegecha and 2.9402 in modi. The density of woodyrnspecies were 3681/ha in Beto,3190/ha in Abelo,3312/ha in Chegecha and 2886/ha inrnModi. There was no significant difference between the forest with more forest productsrnand with less forest products on forest conservation. However, forest with more forestrnproducts play important role on local livelihoods, hence conservation of forest isrnessential to sustain their livelihoods.rnKey words: Natural Forests, Forest Products, NTFPs, Forest Conservation, Livelihoods