Azadirachta indica (neem) can be considered as “Nature’s Chemist” due to its therapeutic, pharmaceutical, agro and medicinal properties. Neem tree is the most researched tree so far and has proven to be the most prospect target for the future drug discoveries. Its bioactivity has been associated with vast richness in phytochemicals whereas the terpenoids are the major medicinal components. Terpenoids are classified into different categories which display a wide range of biological activities. This article reviews the terpenoids reported in different parts of neem tree, classes, structures, their usage and application in modern medicine.