AbstractThe pulp and paper industry has started applying new, ecologically sound technology (biotechnology) in its manufacturing processes. Many interesting enzymatic applications have been proposed. Implemented technologies tend to change the existing industrial process as little as possible. Enzymes have great potentials in solving many problems associated with the use of recycled fiber, especially related to deinking, drainability, hornification, refining, and stickies. Based on the promising results of mill-scale trials, several mills in the world have started using enzymes for deinking. The potentials of cellulase enzymes have also been demonstrated for reducing the energy requirement in pulp refining, improving the machine runnability and stickies control when using recycled fiber. They have the important benefits in that they can be considered a “green” product. They are natural occurring compounds with little adverse impact on the environment. This paper deals with the importance of recycling of paper, problems associated with the recycling, and potentials of enzymes in solving these problems. A few case studies have also been included.