The production of vegetables is very important to Ethiopia's economy and various types of vegetables can grow in Ethiopia. However, despite the existing potentials, smallholder vegetable farms are based on low input–low output production system in the country. The production is run by smallholder farmers and is located on a relatively small part of land. In the same way, there is inadequate knowledge on improved vegetables production practices, challenges and opportunities by smallholder farmers in the country and public research on vegetable crops was negligible. To this end, this review was aimed to assess practices of vegetable production and management, challenges of vegetable production and management and opportunity of vegetable production by small holder farming household. The review found that, vegetable production practices and management are not the primary activity for the majority of smallholder farming households in the country; rather, they are seen as a supplement to the production of major crops. It was mainly based on traditional farming system. Further the review found out that, lack of access to credit, limited supply of improved seed, marketing and market information, appropriate management techniques, appropriate disease and insect pest control measures, outbreak of new disease and pest are among the main challenges of vegetable production in the country. This is mainly because of the limited resource allocation to research and development including the extension services. Finally, the review recommends that, in promoting vegetable producer households, diversified and intensified agricultural farming, and problems related to extension service and research, credit service, disease and pest control, market and marketing information, and provision of modern agricultural inputs should be addressed by concerned bodies.