The coconut industry generates a relatively large amount of coconut shell and husk biomass, which can be utilized for industrial and environmental purposes. Immense potential for added value when coconut shell and husk biomass are turned into biochar and limited studies are available, making this review paper significant. This paper specifically presents the production and activation technology, economic and financial aspect and application of biochar from coconut shell and husk biomass. Pyrolysis, gasification and self-sustained carbonization are among the production technology discussed to convert this biomass into carbon-rich materials with distinctive characteristics. The surface characteristics of coconut-based biochar, that is, Brunauer-Emmett-Teller (BET) surface area (SBET), pore volume (Vp), pore diameter (dp) and surface functional group can be enhanced by physical and chemical activation and metal impregnation. Due to their favourable characteristics, coconut shell and husk-activated biochar exhibit their potential as valuable adsorption materials for industrial and environmental application including biodiesel production, capacitive deionization, soil amendment, water treatment and carbon sequestration. With the knowledge of the potential, the coconut industry can contribute to both the local and global biocircular economy by producing coconut shell and husk biochar for economic development and environmental remediation. The capital and operating cost for production and activation processes must be taken into account to ensure bioeconomy sustainability, hence coconut shell and husk biomass have a great potential for income generation.