Phoma Sacc. is an ubiquitous fungus, which has been reported from plants, soil, human beings, animals, and air. Some species of Phoma like P. sorghina, P. herbarum, P. exigua var. exigua, P. macrostoma, P. glomerata, Phoma macdonaldii, Phoma tracheiphila, Phoma proboscis, P. multirostrata, and Phoma foveata secrete phytotoxin and anthraquinone pigments as secondary metabolites, which have great potential for the biological control of weeds, and can be exploited for the production of mycopesticides, agrophytochemicals, and dyes. Some other species produce pharmaceutically active metabolites, viz., Sirodesmins, Phomenoic acid, Phomenolactone, Phomadecalins, Phomactin A, Phomasetin, Squalestatin-1 (S1), and Squalestatin-2 (S2). The secondary metabolites secreted by some species of Phoma are antitumor, antimicrobial, and anti-HIV. Equisetin and Phomasetin obtained from species of Phoma are useful against AIDS. The main goal of the present review is to discuss secondary metabolite production by species of Phoma and their utilization as antibiotics and as biocontrol agents.