This report is a review of recent research progress and newly developed technology for the utilization of fats and oils in leather and textiles. Fatliquors, oils applied as aqueous emulsions to leather while it is still wet from tanning, are available in a variety of ionic and anionic forms. Fatliquors soften leather by preventing the formation of adhesions between fibers during drying. Recent research on the effects of fatliquors on the fibrous structure and resultant physical properties of leather has concluded that the concentration of fatliquor applied was more important to the outcome than the type of fatliquor. In addition, the sound-suppressing effect of fat in leather under test conditions supports acoustic emission testing as a way to monitor the degree of lubrication, and potentially optimize fatliquor usage. Oils and fats are important additives in the fiber spinning and fabric manufacturing stages of textile fiber processing. While fatty acids from natural oils still play a role in textile processing, oxidatively stable synthetic oils have superseded their natural counterparts. The textile industry is under pressure to reduce the amounts of or eliminate these additives, because of the environmental implications of the effluents. Recent developments to reduce the environmental impact of textile auxiliaries include the bio-scouring process, which utilizes enzymes to catalyze hydrolysis of warp sizes and impurities in cotton; specialty surfactants developed to allow combining of desizing and scouring without the use of amylase; a biodegradable stabilizer incorporated into a hydrogen peroxide bleach bath to reduce the load on wastewater treatment facilities; and reformulated surfactants to replace alkyl phenol products that biodegrade to materials that are toxic to aquatic life.