The transition from the fossil fuel-based energy system to renewable and sustainable energy is being pushed forward by climate change, global warming, and energy security concerns. The ability of biomass to meet the energy requirements of modern-day cultures is quite high. As a clean energy carrier, hydrogen may be the most suitable option to replace fossil fuels. A versatile technique, biomass gasification is used to produce heat and electricity, hydrogen, biofuels, and chemicals. However, tar production is a significant issue preventing the commercialization of the technique. As a result of this problem, downstream applications and operations are adversely affected. Some factors affect the yield of hydrogen in biomass gasification. Gasification is more successful due to its positive effects on human health. This review article discusses biomass gasification, hydrogen enrichment, factors influencing biomass gasification, environmental impacts of biomass gasification, market trends, and constraints.