Pervaporation is a process that employs dense membrane to separates liquid mixtures. Various types of membranes: polymeric, ceramic, or composite can be used. In recent years there has been significant academic as well as industrial advancement in this attractive membrane process. Novel types of membranes have been reported. These include nanocomposite including nano‐sized metal, metal oxide, and graphene/graphene oxide incorporated ceramic/polymer membranes, polyamine‐based thin film composite membranes (earlier commercialized for reverse osmosis membranes), copolymer/interpenetrating network types membranes, template type membranes, polyelectrolyte complex, gold and silver nanoparticle‐based membranes for plasmon PV, and so on. In the application area, besides the well‐known alcohol dehydration PV has been investigated for recovery of aroma and flavor in the food and beverage industries, desulfurization of gasoline, intensification of chemical reactions, and so on. Further, PV is being extensively used as a low‐temperature environment friendly “green technology” for safe removal of volatile organic compounds using highly selective organophilic membranes. The advent of metal–organic framework membranes has resulted in significantly higher selectivities as compared to conventional membranes. PV is also being investigated for desalination with hydrophilic membranes. This article provides a state of the art discussion on PV that includes basic principles, types of membranes/modules, and important industrial applications.