The study was conducted in central part of Ethiopia in 2011 with the objectives to determine seroprevalence and associated economic impact on cattle feedlots. From the total of 38,187 bulls examined for foot and mouth disease (FMD) antibody, 5,536 (14.5%) was found positive and subsequently rejected from international market. The seropositivity of FMD varied from site to site and the variations were statistically significant (χ 2 = 3.28, df = 9, p < 0.001). Similarly, there was statistically significant (χ 2 = 4.55, df = 9, p < 0.001) difference between months of the year. The total annual (2011) economic loss due to bulls rejection from international market was estimated to be 3,322,269 USD which is equivalent to 56,345,682.24 ETB (1 USD = 16.96 ETB). This study indicates that FMD resulted in bulls' rejection from international market which affect livelihood of actors in the value chain and have a major threat to national economies as they tend to affect the international trade. Therefore, directing surveillance and controlling activities at pastoral production system where FMD risk arise and appropriate intervention measures along the market chain are critical factors necessary to prevent the introduction and spread into feedlots.