The productivity of agricultural economy of Ethiopia is being seriously affected by unsustainable land management practices both in areas of food crops and in grazing lands. In the land-water interaction of Ethiopian agriculture, soil erosion mainly by water is a major constraint to agricultural production and food security. The problem is more severe in the highlands (more than 1,500 m above sea level and covering about 45% of total land area of Ethiopia) where nearly 88% of the population lives and 95% of the regularly cultivated lands are found. A national level study carried out by the mid-1980s estimated that soil erosion was putting out of use some 20,000–30,000 ha of croplands annually and projected that around 10 million highland farmers would have their lands totally destroyed by the year 2010 (FAO, 1986). The update scientific investigation for that projection is still needed. Measurements from experimental plots and micro-watersheds showed that the highest rate of soil loss occurs from cultivated fields, which is 42 t/ ha/ yr on average (Hurni, 1993). According to (Sonneveld, 2002), (Bewket, 2007) mentioned that the cost of soil erosion to the national economy is around US$ 1.0 billion/ year. Soil erosion is thus a contributory factor to the country’s structural food insecurity problem. (Bewket, 2007) described that soil erosion, and the resulted land degradation, has been recognized to be a serious natural-resource based problem in Ethiopia since the early 1970s, subsequent to the devastating famine of the time.