Vegetables play important role in food security and income for the poor farmers of Ethiopia, however production of vegetable in the last two years significantly decrease, the motive behind were identified in this study. Since vegetable production is market oriented factors that affect choosing the right mix of marketing channels to max profit is imperative. This research was conducted to evaluate the current value chain status of vegetable in North West Ethiopia. Both quantitative and qualitative data were used for the study. Data were generated from both primary and secondary sources and collected through face to face personal interview of 400 vegetable producer respondents using structured questionnaire. Concentration ratio of onion and tomato market was 43.63% and 48.7% which indicates weak oligopoly market structure and also the conduct and performance analysis showed deviation from competitive market norms. OLS regression model indicated that quantity supply of onion significantly and positively influenced by number of extension contact, experience in onion production, area allocated for onion production, involvement in off/non-farm activity and woreda dummy, and negatively influenced by distance to nearest market. Similarly, quantity supplied of tomato positively and significantly determined by education level, extension contact, experience, area allocated to tomato production and woreda dummy. Multivariate probit model results also showed that the predicted probability of vegetable producer households to choose wholesalers, retailers, assembler and consumers were 70%, 39.48%, 30.27% and 20.98% respectively. The model confirmed that vegetable producer decision to choose assembler market outlet was significantly and positively determined by volume of vegetable supplied, ownership of transport asset and woreda. It negatively influenced by distance to nearest market, area allocated to vegetable production and livestock holding. Vegetable producers’ decision to choose wholesaler market outlet significantly and positively determined by frequency of extension contact, distance to nearest market, livestock holding and woreda. It was also negatively and significantly affected by experience in vegetable production and ownership of transport facility. Livestock holding negatively influenced onion producer a decision to choose retailer market outlet. Consumer outlet negatively influenced by woreda. Based on the findings the study suggests improvement in value chain through establishing farmers cooperative, strengthening current extension service system for producing consumer oriented products, establishing reliable road infrastructure and empowering farmers for development of chain partnership as well as chain integration through contractual agreements with buyers and also adding value to the products produced. Key words: Value chain, Onion, Tomato, market supply, structure, conduct, performance, market outlet