The study was conducted to analyze coffee value chain in Gedio Zone Yirgacheffe CoffeernFarmers Cooperatives Union (YCFCU). Yirgacheffe coffee is definitely among the mostrndistinguished coffee varieties grown in Southern Ethiopia, a region known for its fine coffees.rnThe specific objectives of the study were to identify the coffee value chain in YCFCU, to examinernthe relationship between actors and assess their linkage, to indicate each actor role in the valuerncreation activities and to explain the key factors that hamper the coffee value chain in the studyrnarea. The study was based on data gathered from one hundred twenty one coffee producers.rnDescriptive statistics and correlation analysis methods were employed to analyze the data.rnResult from correlation analysis using indicates that five variables are significantly affectingrnperformance of value chain of coffee. These are actors’ roles, marketing relation, competitionrnissues, government issue and market issue. The relative importance of marketing relation is highrnthan other independent variables. Therefore, the implication is that actors should take an activernrole in managing all aspects of their performance of value chain analysis of coffee in the study area