Worldwide, massive production of feather waste necessitates its justified utilization. The feather waste is generally dumped in soil. However, it must be treated because a variety of pathogens are associated with this waste. Treatment of feather waste by chemicals is not suitable for environment due to the production of secondary pollutants. Microbial treatment of feather waste is an emerging and eco-friendly technique. The technique offers dual benefits simultaneously, i.e., production of keratinase (commercially important enzyme) and treatment of keratin (recalcitrant pollutant). In this context, a research work was conducted at University of Veterinary and Animal Sciences, Lahore, Pakistan, comprising of three experiments. In the first experiment, isolation, characterization and potential utility of the fungal species for the degradation of chicken-feather waste was assessed in sub-merged and solid-state fermentation processes. The isolated fungus was identified and characterized as A. flavus. In a trial of 30 days, it was concluded that 74% feather weight was reduced by A. flavus. The second experiment was designed to investigate the keratinase production potential of two keratinolytic fungal species, i.e., A. flavus and A. fumigatus. The third experiment was designed to check the potential of keratinolytic fungal species for the production of biofortified compost. Three keratinolytic fungal species (Ch. queenslandicum, A flavus and A. fumigatus) were brought forwarded for the production of compost from feather waste. The best compost production activity was delivered by Ch. queenslandicum showing 53% degradation of keratin waste. However, A flavus and A. fumigatus could degrade feather waste 37 and 21%, respectively. The present research work will be helpful for the economical production of two agro-industrially important bioproducts, i.e., keratinase and biofortified compost with the concomitant remediation of potentially hazardous pollutant (feather waste).