Spices are produced in different agro-ecologies of Ethiopia and it is a source of income for producers and traders involved in production and marketing. They are very important cash crops used for food flavor and medication purpose. In spite of their importance, the sector is constrained by different factors. Being cognizant of the situation, this review paper was aimed at reviewing factors affecting production of spices, factors affecting marketing of spices and opportunities of spices production in Ethiopia. Reviewed empirical evidences showed that, traditional way of farming, absence of seeds and planting materials, high frequency of weeding, high input requirement, high input cost, lack of drying facility, taking long time to dry, shortage of access to credit and extension, different disease and pests, wild animal competition, poor quality of output, absence of proper post-harvest handling practices and others are factors affecting production of spices in Ethiopia. Low output price, poor market access and imperfect market information, capital constraints, limited processing of spices, adulteration, mismatch between demand and spices, transportation problems, unlicensed traders, theft, low government support, lack of value addition, price volatility, weak market research and promotion, poor market infrastructure, lack of effective linkage of stakeholders, lack of capacity building, low bargaining power of producers, limited ability of producers to enter in market due to limited time, skill, and resources are some of the factors that affect spices marketing in Ethiopia. Ethiopia is suitable area for spices production due to suitable climate condition and presence of various agro-ecologies, abundant land, cheap labor and favorable policy environment. Therefore, by reducing identified production and marketing constraints and exploiting available opportunities, the country can boost spices production and become competitor in the world spices market.