Carbon based fillers such as, graphene, carbon nanotubes, and carbon fibres have generated great interest across material science research community. These fillers are known for their multifunctional properties. Thus when they are compounded with a polymer, they improve certain characteristic of the base resin. For example, carbon fibre brings in reinforcement, carbon nanotubes are good for electrical properties, and graphene are suitable for barrier applications. However, for commercial production there are several challenges involved in the manufacturing of the polymer compounds based on different carbon fillers. In the frame of this paper, challenges involved in the development of Carbon filler based polymer compounds and limitations in their applications are discussed.