Cold plasma treatment is a promising intervention in food processing to boost product safety and extend the shelf‐life. The activated chemical species of cold plasma can act rapidly against micro‐organisms at ambient temperatures without leaving any known chemical residues. This review presents an overview of the action of cold plasma against molds and mycotoxins, the underlying mechanisms, and applications for ensuring food safety and quality. The cold plasma species act on multiple sites of a fungal cell resulting in loss of function and structure, and ultimately cell death. Likewise, the species cause chemical breakdown of mycotoxins through various pathways resulting in degradation products that are known to be less toxic. We argue that the preliminary reports from cold plasma research point at good potential of plasma for shelf‐life extension and quality retention of foods. Some of the notable food sectors which could benefit from antimycotic and antimycotoxin efficacy of cold plasma include, the fresh produce, food grains, nuts, spices, herbs, dried meat and fish industries.