In the past 100 years forest property regimes changed from the one to the other, each time alienating communities & generating conflicts. The State’s liberal distribution of natural forests (1940-60) created individual forest property regimes over large area. The State, however, failed to regulate utilization, ensuing widespread deforestation. The 1975 nationalization act & the subsequent policies further alienated users. At present conflicts over forest has become a defining factor of the relations between and among forest users. The creation & upholding of property institutions have always been the primary task of the State. Where the latter failed forest depletion occurred, something that still happens today. In Ethiopia the future of forestry & stable property rights regimes are closely interwoven. However, we need to avoid imposing a national blue print of property regimes for all forests. It is important to look into each forest differently because of diverse economic needs, cultural variations & environmental priorities