This study was designed to characterize the honeybee production practices, honey production potential of Apis melifera jemenitica honeybee races and to identify challenges and opportunities of honey production in Metema district. Four peasant associations were selected using a purposive sampling technique based on their potential for honeybee production and bee flora availability. A total of 120 respondents were randomly sampled using a proportional sampling method. From each peasant associations respondents were interviewed on prepared semistructured questionnaires. The collected data were coded and entered to the Microsoft excel work sheet then analyzed using a Statistical Package for Social Sciences v.22 (SPSS V.22) and priority index for rankings. Descriptive statistics was used to express the results using frequencies, means and percent. According to this study three types of honeybee production practices were registered; traditional honeybee production practice accounting for 95%. Top bar hive honeybee production practice 1.7% and frame hive honeybee production practice 3.3%. Analysis of variance revealed that honey yield is highly significantly (p<0.01) influenced by the beehive type and season. The overall honey yield recorded from frame, top bar and traditional hives was 17.25, 14.25 and 8.24kg/year respectively. Agro-chemical poisoning (1 ), poor management (2 nd ), knowledge gaps (3 rd ) and parasite, pest and predators (4 ) are the major challenges of honeybee production in the district. High demand of beehive products, availability of huge honeybee colony, presence of diversified honeybee flora etc. respectively are the major opportunities for honeybee production. From this study frame beehive systems are best for honey production. Finally, involvement of literate youngsters shall be taken part in modern honeybee production practices. Respondent farmers should be trained to construct top bar and frame hives from the locally available materials. Shifting production practice to frame hive honeybee production practice, extension of respondents and further studies on quality and marketing should be taking place for better production in Metema.