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An extensive field survey was conducted in five major vegetable growing areas of district Anantnag and Kulgam of Kashmir valley (temperate region of India) during April to May 2013. The Fusarium wilt disease was first noticed in nursery during transplantation and was found maximum during flowering/fruiting stage. Redwani Payeen village of district Kulgam showed maximum disease incidence of 6% and 40% during transplanting and flowering/fruiting stage, respectively. Bangidar village of Anantnag district showed 4% and 24% disease incidence during transplanting and flowering/fruiting stages, respectively. During the survey, eleven isolates of Fusarium solani viz., C1-C11 and ten of Trichoderma harzianum viz. Tr 1, Tr 2, Tr 3, Tr 4, Tr 6, Tr 8 Tr 10, Tr 11, Tr 12 and Tr 16 were isolated from infected roots, shoots and rhizopheric soils of healthy plants. All the isolates of Trichoderma species significantly inhibited the growth of F. solani, but isolate Tr16 exhibited the maximum inhibition of 77% followed by Tr11 (72%) and Tr08 (68%) in dual culture technique, whereas Tr 8 showed maximum inhibition of 89% followed by Tr 2 (78%) and Tr 3 (56%), respectively, in volatile tests.