Aflatoxin contamination of milk in the Greater Addis Ababa milk shed Ethiopiarnwas reported in 2016, indicating a that high probability of contamination of milkrncorning from the surrounding areas of Addis Ababa. Therefore, the objective ofrnthis study was to investigate the occurrence of aflatoxin M1 (AFM1) in milk andrndairy products (cheese butter and yogurt) in Bishoftu (Ethiopia). The effect ofrndifferent dairy production processes to the concentration of AFM1 was also investigated.rnIn addition, KAP (Knowledge attitude and practice) study was conductedrnon local producer and on employees from dairy industries. Milk (n=108),rncheese (82), yogurt (93) and butter (82) samples were taken from both industrialrnand local producers by purchasing from their shops and the level of AFM1rnwas determined using ELISA (Enzyme Linked Irnmuno Sorbate Assay) method.rnFrom 366 samples analysed 361 samples were found positive and the maximumrnvalue of aflatoxin among all the analyzed samples was found in cheese which isrn5.580+0.08I-'g/kg and the minimum (Not detected) in butter. Under comparingrnthe mean values of each dairy product type of local products with the industrialrnproducts all the industrial products have a higher mean value r~lative to the localrnone. In addition to this the KAP study shows though the local producers hadrnknowledge on mycotoxin related questions their knowledge specific to AFM1rnpractice towards reducing the contamination level of AFM1 is not enough. Butrnthey have a positive attitude towards reduction of AFM1 level. Unlike the localrnproducers employees in dairy industry had a better practice towards reducingrnthe level of AFM1 contamination. Even though researches have been done aboutrnlevel of AFM1 in milk so far, this shldy shows that the problem on the occurrencernof the toxin s till persists. Therefore, the government should establish a programrnto regularly cheek AFM1 levels and take corrective mitigation measures.rnKey words: Aflatoxin Ml, Milk, Cheese, Yogurt, ELISA, KAP assessment