The invention discloses a straw utilization method. The utilization method comprises the following steps that firstly, straw is pretreated, wherein straw raw materials are cut up, the cut straw, a mixed bacteria solution and a synergist are mixed, clear water is added, and a ferment mixture is obtained after uniform stirring; secondly, the ferment straw is stacked; thirdly, the straw is fermented; fourthly, drying and crushing are conducted; fifthly, granulation is conducted, wherein straw fibers are conveyed into a hoop standard granulator, compression formation is conducted by means of circular dies and compression rollers, and rod-like straw particles are obtained; sixthly, cooling formation is conducted, wherein the compressed straw particles are fed into a cooling machine, and smoothly formed particles are obtained. According to the straw utilization method, the fermented straw can be directly used for production of fodder, methane fermentation, organic fertilizers and poultry feed, through the processes of drying and crushing, granulation and cooling formation, the surfaces of the straw particles are smooth and free of obvious cracks, the straw particles can be used as clean biomass combustion energy, and the utilization method is suitable for large-scale application and popularization.