Phytase with wide ranging biochemical properties has long been utilized in a multitude of industries, even so, thermostability plays a crucial factor in choosing the right phytase in a few of the sectors. Mesophilic phytases are not considered to be a viable option in the feed industry owing to its limited stability in the required feed processing temperature. In the recent past, inclusion of thermostable phytase in fuel ethanol production from starch based raw material has been demonstrated with economic benefits. Therefore, considerable emphasis has been placed on using complementary approaches such as mining of extremophilic microbial wealth, encapsulation and using enzyme engineering for obtaining stable phytase variants. This article means to give an insight on role of thermostable phytases in feed and fuel industries and methods for its development, highlighting molecular determinants of thermostability.