A DISSERTATION SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF SCIENCE IN ENVIRONMENTAL AND NATURAL RESOURCE ECONOMICS OF SOKOINE UNIVERSITY OF AGRICULTURE. MOROGORO, TANZANIA.Land conflicts between local community and a protected area is a common phenomenon in most African countries due to eviction of local communities to provide room for wildlife conservation. Land conflicts are emerging because of the failure to resolve existing conflicts in different areas between stakeholders. Long term conflicts have negative impacts economically, socially and ecologically. The aim of the study was to provide a better understanding of land use conflict between local community and management of Mkungunero game reserve with its associated costs and impacts. Purposive sampling was employed to select 2 villages. Simple random sampling technique was employed in selecting 120 households. Quantitative techniques, Regression analysis and content analysis were used for data analysis. The variables which were found statistically significant at 5% level include number of livestock, distance to game reserve, household size, settlement area, grazing area and agricultural area. Majority (82%) of respondents reported that their life has been negatively impacted by the land use conflict. The impacts were destruction of properties like houses, utensils, bicycles, crops, and livestock but there is no significant difference in income per month between affected and non-affected respondents. Other impacts were physical injuries, decline in education, abandonment of farms and jobs. Moreover, Mkungunero game reserve encountered increase in management cost and destruction of habitat. Different conflict resolution strategies have been practiced but they were not effective. The interests of majority of local community were protection of their livelihood while interest of Game reserve management was conservation. In view of research findings, it is suggested that local community should be educated on importance of conservation and supported in creating diverse income generating activities to reduce dependence on livestock.