Liquid sludge, due to its low pH, elevated temp, dark brown hue, high ash content, a high proportion of organic and inorganic dissolved materials, and high biochemical oxygen demand, distillery wastewater is one of the most harmful pollutants that must be disposed off. The brightly colourful quality of the washed wash, which may obscure sunlight and reduce water oxygenation through photosynthesis, is the first way that the washed wash polluted the water bodies. This is harmful to aquatic life. The second problem is that it has a high contamination load that may lead to eutrophication in polluted water sources. Because of the numerous industrial uses of ethanol, including in chemicals, medicines, cosmetics, drinks, food, and perfumes, distilleries are expanding all over the world. The industrial manufacture of ethanol by fermentation results in the release of significant amounts of elevated BOD and COD levels. The food stock and different elements of the ethanol manufacturing process affect its features. To have a better understanding of the phenomena, the function of numerous microorganisms and their enzymes in wastewater treatment has been addressed. Without treatment, distillery wastewater can seriously endanger aquatic life by reducing the amount of dissolved oxygen in the water currents it enters. This paper includes a thorough analysis of current biological treatment methods as well as a list of issues related to distillery wastewater concerns.