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Agarwood is an important non-timber forest product widely used in religious and cultural activities as perfume and fragrance and as traditional medicine in Asia．Today,at least 18 countries involve in the international agarwood trade，which covers hundreds of tones products worth millions of usdollars annually．The high value of agarwood and the inflated consuming market，have lead to constantly rising prices．The imperfection of classification system is a major challenge to the agarwood market．In general，the price of the agarwood is determined according to its quality,which can be divided into different grades．But up to now,there has not been any standard grading system which could be used ove rwhelmingly throughout the agarwood production，commerce and consumption．Therefore，a summarization of quality characteristic for various a garwood，together with the scanty and imperfect grading systems created this review．