The ammonia sensing properties of BiFeO3 (BFO) multiferroic semiconductor were investigated. The material was prepared by solid state reaction method. The sintered sample was studied by X-ray diffraction analysis (XRD), Raman Spectroscopy and Scanning Electron Microscopy (SEM). Electrical conductivity of BFO was determined by Electrical Impedance Spectroscopy (EIS) in temperature range 100-700 ¡ãC at different gaseous atmospheres. The BFO resistance responses to ammonia concentrations of 0-2100 ppm in argon were recorded in the temperature range of 300-600 ¡ãC. Similar measurements were carried out in atmosphere containing 0-2100 ppm ammonia in synthetic air in temperature range of 350-450 ¡ãC. The effect of water vapor on sensor performance was investigated. The sensor working mechanism has been explained.