“Concrete” is a composite material that consists essentially of fine and coarse aggregates, cement and water. In order to produce concrete with required quality which satisfies strength and durability, it shall undergo quality tests for the constituents of concrete and the process products. In addition to this, every production process should follow proper and scientific material proportioning and mixing procedures. In this thesis, the mode of production of crushed coarse aggregate in and around Bahir Dar was assessed. Coarse aggregate samples, which are processed from predominantly basaltic rock quarry from in and around Bahir Dar were taken from crushing/ production plants. The physical and mechanical properties of these samples were analyzed in the laboratory. The test results of coarse aggregates are presented in graphical forms followed by interpretation and discussion. A C-30 concrete mix design was done with coarse aggregate selected from Werkemla source in order to know the effect of different coarse aggregate production method on the compressive strength of concrete. From the production source area, one small scale and one high-tech producer was selected. For the mix design other ingredients such as, water and cement were employed from the same source. Three different sets have been produced for coarse aggregate source and six concrete cube specimens were cast for each set; amounting to eighteen concrete cube specimens. Compressive strength tests for 7 and 28 days were carried out and comparisons have been made with control mix based on the test results obtained. The comparisons showed that, the required compressive strength of concrete containing both high-tech and small scale coarse aggregate product was not achieved. Conclusion drawn from the research that, conventional and small scale coarse aggregate production methods in and around Bahir Dar are back ward and not supported with technology and professional. In addition to the above result it is also concluded coarse aggregate producers produce less than 50% of the minimum recommended production capacity of crushers. Improving efficiency and product quality in the coarse aggregate industry in and around Bahir Dar could be addressed: In the short term, appropriate know how induction of plant operation and basic but essential training of key professionals. In the long term, by upgrading the man power involved to the level of qualified graduates from the mining or appropriate engineering field of study to take the industry to the international level of management.