Depletion of natural resources and negative impact of fossil fuels on environment are becoming a global concern. The concept of biorefinery is one of the alternative platforms for the production of biofuels and chemicals. Valorisation of biological resources through complete utilization of waste, reusing secondary products and generating energy to power the process are the key principles of biorefinery. Agricultural residues and biogenic municipal solid wastes are getting importance as a potential feedstock for the generation of bioproducts. This communication reviews and highlights the scope of yeast and fungi as a potent candidate for the synthesis of gamut of bioproducts in an integrated approach addressing sustainability and circular bioeconomy. It also provides a close view on importance of microbes in biorefinery, feedstock pretreatment strategies for renewable sugar production, cultivation systems and yeast and fungi based products. Integrated closed loop approach towards multiple product generation with zero waste discharge is also discussed.