ABSTRACT Beekeeping is one of the agricultural activities, which is the maintenance of honeybee colonies, commonly in hives for the production of honey and other purposes. However, in the present time this activity is affected by different factors. Therefore, this study was conducted in Dangila Woreda, Ethiopia to evaluate the contribution of honey production on rural households’ income, to assess the honey production performance of the traditional, transitional and modern/frame beehive types of honey production systems in the study woreda, and to identify the factors that determines the income of rural beekeeper households from beekeeping activity. In order to obtain the required information to meet the objectives of the study, mixed (purposive and random) sampling techniques were employed. Accordingly, from 29 rural kebeles four sample kebeles were purposely selected based on their high honey production potentials. For this study beekeeper households were purposely selected as sampling frame. From those kebeles a total of 121 sample rural beekeeper households were selected for data collection. Sample respondents were proportionally selected by using simple random sampling technique from selected kebeles. Data obtained from the mentioned households were then analyzed using descriptive statistics such as mean, median, Standard Deviations, frequency and percentage; and inferential statistics such as multiple linear regression models. The survey result found out that beekeeping contributed 10.2% of the total annual income of the rural beekeeping households with a mean annual income of 3001.85ETB. The honey production performance of each type of hive in kilogram was from the traditional, transitional and modern hives the average amount of honey produced was 4.9, 11.9 and 20.3kg/hive/year respectively. Farm experience, level of education, availability of credit, access to extension training, access to market information, saving habit, bee forage potentials of the area and the high modern hives price were found significant determinants of beekeeping activity. In addition, according to the perceptions of respondents’ pesticides and herbicides, shortage of bee forage, pests and predators, honeybee disease, shortage of honeybee colonies, and low level of extension training were identified as major beekeeping constraints in their order of importance. Therefore, program designers, government and funding agents should focus on these factors to improve the beekeeping activity in the study area. Key words: Beekeeping, Honeybee, Honey production, Dangila Woreda, Ethiopia.