The increasing demand and rising price of wood-based materials have led to a need for alternative raw materials in particleboard production. Agricultural waste, such as waste wood and recycled wood waste, as well as food waste, can serve as ideal alternatives to traditional wood chips, which account for more than half of the production cost. Utilizing agricultural waste, food waste, and industry materials is not only cost-effective but also a key principle of the circular economy, leading to reduced carbon dioxide emissions. Nevertheless, there is a lack of an updated, comprehensive assessment of the exploitation of these materials in particleboard production. This article reviews the current state-of-the-art particleboard production using environmentally friendly agricultural and food waste materials and recycled wood waste. The review categorizes particleboards into three groups: particleboards made with agricultural waste, food industry waste, and wood-based waste. The purpose is to compare the mechanical and physical properties of the resulting particleboards and establish their use in building construction according to various particleboard standards. This study demonstrates that wood-based, agricultural, and food waste can be transformed into high-quality, eco-friendly particleboards that surpass industry standards and are suitable for various applications such as construction, furniture, and laboratory equipment. The integration of these waste materials into mainstream production highlights the role of innovative recycling techniques in promoting sustainable urban development and construction practices. This approach significantly contributes to reducing deforestation, preserving natural habitats, and providing affordable housing, supporting a more sustainable and responsible approach to resource management. This review is undertaken to address the critical need for sustainable alternatives in particleboard production amidst environmental and economic challenges. It aims to consolidate recent advancements in using waste materials, providing a comprehensive assessment essential for future research and industry application. This effort aligns with global environmental objectives and advances the circular economy.