Forest provides livelihoods for hundreds of millions of people worldwide, through production of different products. The purpose of this study was to analyze the contribution of collected forest products for local livelihoods and forest conservation in Masha and Andracha Woredas of Sheka Zone in the Southern Nations and Nationalities and Peoples Regional State. Systematic sampling and simple random sampling techniques were employed to conduct survey of households and markets, respectively. Furthermore, vegetation data were collected in a total of 160 plots (20m x 20m) in four PAs following gradient of accessibility (village to deep forest). The analyzed household survey data results showed honey from beehives, kororima (Aframomum corrorima), timiz (Piper capense), wild honey and cultivated coffee were collected mainly for commercial purposes whereas bamboo culm, fire wood, medicinal plants, wild gesho (Rhamnus prinoides), lianas and wild coffee were collected for subsistence. Income from forest products support 71 % in Beto, 22.1 % in Abelo, 74.6 % in Chegecha and 26.8 % in Modi (PA) of the average annual income of local people.