In aromatic plants species, biosynthesis of essential oils oocurs through two complex natural biochemical pathways involving different enzymatic reactions. Isopentenyl diphosphate (IPP) and its isomer dimethylallyl diphosphate (DMAPP) are the universal precursors of essential oils biosynthesis and are produced by the cytosolic enzymatic MVA (mevalonic acid) pathway or by plastidic and enzymatic 1-deoxy-D-xylolose-5-phosphate (DXP), also called the 2-Cmethylerythritol 4-phosphate (MEP) pathway. In the particular plant cell part, prenyl diphosphate synthases condense isopentenyl diphosphate (IPP) and dimethylallyl diphosphate (DMAPP) further to form prenyl diphosphates, which are used as substrates for geranyl diphosphate, C 10 (GPP) or for fernesyl diphosphate, C 15 (FPP). Essential oils are final terpenoid products and are formed by a huge group of enzymes known as terpene synthases (TPS). Essential oils are important secondary metabolites of plants and have been used not only in different industries but also in ethnobotanical medicines for centuries. Hence, considerable research has been undertaken to understand the essential oils biosynthetic pathways. This review will be a valuable source of information in the field of natural products as we give detailed insights about biosynthesis of essential oils in plants, and thus indicate also new unexplored horizons for further research.