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<i>Trichoderma</i> spp. has the ability to inhibit fungal plant pathogens through several mechanisms like the production of hydrolytic enzymes, mycoparasitism, coiling, and antibiosis and is therefore recommended as a potential and native biocontrol agent for effective control of soil-transmitted diseases. Various species of <i>Trichoderma,</i> like <i>T. virens</i>, <i>T. asperellum, T. harzianum,</i> etc., have been explored for their biocontrol activity against phytopathogens. There are different <i>Trichoderma</i> species and strains with respect to plant pathogens. Efforts have been made to develop effective and efficient methods, such as microencapsulation use of different polymers, adjuvants, or carriers, to increase the shelf-life and efficacy of <i>Trichoderma</i> formulations. The crucial aspects for the success of a biocontrol agent include developing and validating formulations, improvement in shelf-life, cost-effectiveness, easy accessibility, improved delivery systems, broad spectrum in action, robust performance (biocontrol), and integrative strategies for sustainable disease management. This review focuses on recent developments in the isolation, identification, preservation, substrates, consortium, quality control, mass production, delivery methods, field performance, registration, and commercialization of <i>Trichoderma</i> formulations for strategic development of next-generation multifunctional biological control formulations.